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Palaszczuk government approves New Acland coal mine expansion

The New Acland coal mine is set to expand after the Queensland government granted the project mining leases following years of legal wrangling and delays.

A new stage of the New Acland Mine is close to final approval. Picture: Josh Woning
A new stage of the New Acland Mine is close to final approval. Picture: Josh Woning

The New Acland coal mine is one step away from its long-awaited $900m expansion after the Queensland government granted the project mining leases after years of legal wrangling and delays.

Situated near Oakey on the Darling Downs, west of Toowoomba, the mine – operated by Australian miner New Hope – has been shuttered since last year when it ran out of coal while awaiting approvals.

New Hope announced the mining leases to the stock market late on Friday afternoon, declaring it a “watershed moment” 14 years after it first sought approval to expand the coal mine, which would create almost 500 jobs.

It leaves New Hope with one final hurdle – obtaining an associated water license – although the company fears its stage three expansion could be delayed by further legal action from farmers and conservationists.

“After careful consideration I have approved the mining leases for stage three of the New Acland project,” Queensland Resources Minister Scott Stewart said.

“The project also requires an associated water licence from the Department of Regional Development, Manufacturing and Water.”

Minister for Resources Scott Stewart. Picture: Shae Beplate
Minister for Resources Scott Stewart. Picture: Shae Beplate

New Acland manager Dave O’Dwyer said the approval of the mining lease was a long time coming.

“The granting of New Acland Stage 3’s mining leases is a watershed moment in the long-running approvals process,” Mr O’Dwyer said.

“Minister Stewart’s decision to grant New Acland Stage 3 its mining leases is proof the Queensland government believes the project makes sense environmentally, socially and financially.”

New Hope told the sharemarket it had “begun preparations for resumption of mining operations” and would start rebuilding its workforce, which was slashed from 490 to 20 over the past few years.

“New Hope and the local communities around Acland and Oakey are now only one step away from restarting the New Acland mine where there has been mining activity for over 100 years,” New Hope chairman Robert Millner said.

“Unfortunately after 15 years of seeking approvals, New Hope remains at risk of ongoing delays caused by objectors utilising the court system to engage in ‘lawfare’ to slow down the approval process, regardless of the merits.

“We are hopeful that the Queensland government can see a way to finally approve New Acland Stage 3 with certainty to secure jobs in the region and significant economic benefits for Queensland.”

The Oakey Coal Action Alliance, which has fought against the mine’s expansion in the Land Court, said its members were “devastated” by the news.

“Re-opening this mine now will divide this community once again and put at risk the groundwater resources that the local dairy industry, among others, absolutely relies on,” OCAA secretary Paul King said.

“Queensland Resources Minister Scott Stewart had the opportunity to put an end to this division and prevent this dangerous, unwanted project for good, but he blew it.

“We’re calling on Water Minister Glenn Butcher to show the courage Resources Minister Scott Stewart apparently lacks and reject a groundwater licence for the mine expansion.“

Queensland Resources Council chief executive Ian Macfarlane said the announcement was a “relief”.

“No resources project in Queensland history has been more scrutinised or assessed than New Acland Stage 3, so this is very welcome news for people in the Oakey district,” Mr Macfarlane said.

Charlie Peel
Charlie PeelRural reporter

Charlie Peel is The Australian’s rural reporter, covering agriculture, politics and issues affecting life outside of Australia’s capital cities. He began his career in rural Queensland before joining The Australian in 2017. Since then, Charlie has covered court, crime, state and federal politics and general news. He has reported on cyclones, floods, bushfires, droughts, corporate trials, election campaigns and major sporting events.

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Original URL: https://www.theaustralian.com.au/nation/politics/palaszczuk-government-approves-new-acland-coal-mine-expansion/news-story/6bfe2799dbb68b5370a89aded18938e3