By Nick Toscano
Coal miner New Hope Group has accused anti-coal activists of undermining investment through the use of court cases to delay approvals for major projects, including the company's long-delayed expansion of a mine in southern Queensland.
Releasing the company's financial results on Tuesday, chairman Robert Millner also predicted demand for its thermal coal, although volatile, will be strengthened by developing Asian countries' expanding need for the fossil fuel as an energy source.
New Acland coal mine.Credit: Glenn Hunt
"Over 150 million people in India lack access to electricity," Mr Millner said. "How do the anti-coal activists morally justify withholding the benefits of affordable electricity from so many people?"
More than 12 years after first seeking approval for a $900 million expansion of the New Acland mine near Toowoomba, New Hope said the Queensland Court of Appeal last week ruled against the Oakey Coal Action Alliance.
The alliance is a group of drought-stricken farmers who have been fighting to stop the project, claiming it threatens their water supply.
While New Hope was committed to delivering the New Acland expansion project, legal fights and delays would cost jobs, Mr Millner said.
These approvals have not been forthcoming from the Queensland government and therefore the company has had to begin a redundancy process for 150 employees.
New Hope's Rob Millner
"Obtaining final approval in a timely manner is critical to ensuring the continuity of operations and therefore employment of approximately 300 employees and 500 contractors currently engaged at the New Acland mine," he said.
"Unfortunately at the time of release of this report, these approvals have not been forthcoming from the Queensland government and therefore the company has had to begin a redundancy process for 150 employees."
His comments come as New Hope unveiled a record net profit after tax before one-off items of $210.7 million for the year to the end of July.
That was up 41 per cent on the $149 million result the previous year.
New Hope chairman Robert Millner.Credit: Peter Braig
Mr Millner, who is also chairman of New Hope's major shareholder Washington H. Soul Pattinson, said New Hope continued to grow despite what he said were "impediments to growth" caused by "over-regulation" of the Australian resources industry".
"It is encouraging to see the establishment of a Productivity Commission inquiry into the unnecessary red tape holding back investment in the resources industry," he said.
"Hopefully, the tide is turning as a greater number of people become aware of the critical importance of the resources industry to the quality of living for all Australians. The resources industry generates high-paying jobs and not just in the regions but also in our capital cities."
Aileen Harrison, a spokeswoman for the Oakey Coal Action Alliance, said members of the group were "not activists ... we are farmers, graziers, who are trying to keep the land and water for all our future generations".
"We value our food and our water and our land and we are not giving up," she said.
Announcing its outlook to investors on Tuesday, New Hope said coal markets had been volatile, and were likely to remain so in the near term, but demand for high-quality thermal coal remained strong across Asia.
"For most Asian countries, thermal coal will continue to be a significant component of their energy mix for many years to come, underpinned by continued investment in new coal-fired power stations," the company said.
Shares in New Hope fell on Tuesday, to end the day trading 2.4 per cent lower at $2.45. New Hope declared a fully franked final dividend of 9¢ a share, to be paid on November 5.