Australia’s richest person Gina Rinehart has used the approval of her latest iron ore project to launch another blistering tirade in her war against “government tape”, warning it could stymie investment and compromise living standards.
On Wednesday, Rinehart’s iron ore empire Hancock Prospecting confirmed the federal government had given the final sign-off for its $600 million McPhee project, situated 30 kilometres north of Nullagine in WA’s Pilbara region.
Gina Rinehart proved her entrepreneurial skills with the development of the Roy Hill mine.Credit: Hancock Prospecting
The mine, which is tipped to produce about 10 million tonnes of ore annually from next financial year, was referred for environmental approval in early 2021.
But Hancock Prospecting’s projects chief executive Sanjiv Manchanda claimed the proposal experienced a “multitude of challenges” amid changing legislative requirements.
The mining magnate, estimated to be worth $46 billion, used the approval to again air concerns about the implications of bolstered environmental regulations for new projects, which she claimed were attacking the “mining golden geese”.
“Mines aren’t like wool that grow each year, they must be studied, invested in and developed if we want to be able to maintain living standards,” she said.
“This is serious. If we keep bringing in policies and adding government tape that keep attacking the mining golden geese, making projects more expensive and uncertain, there are other countries that have iron ore and other minerals, and investment will continue to move offshore, as we continue to see record business closures, upsetting many families, and falling standards of living affecting Australians across our country, six consecutive quarters so far.
“We’ve been very fortunate in West Australia that mining in the Pilbara region has given us high living standards and stopped us being a mendicant state.
“In my view, it’s important that we make investment and projects more welcome, and continue receiving the benefits of the mining industry and those businesses that they support.”
The comments come as the federal government struggles to progress its watered-down environment reforms amid a row with the Greens over the so-called “climate trigger”, which has drawn the ire of the business community.
The Chamber of Commerce and Industry WA had been lobbying against the laws with sections of the mining industry over fears they would duplicate approvals, delay and blow out costs on major projects and deter investment.
WA Premier Roger Cook had backed a watered-down iteration of the election pledge that would strip the new federal Environmental Protection Agency of decision-making powers.
But his MP Chris Tallentire broke ranks last week to flag concerns about what he described as a concerted campaign to derail environmental protection efforts, including by Kerry Stokes’ Seven West Media, owner of The West Australian.
Tallentire said international investment was dependent on state and federal government enforced environmental standards that keep pace with global expectations around environment, social and governance issues.
The McPhee mine is expected to create 500 jobs during construction and 300 once operational, with an anticipated mine life of 15 years.
Ore from the project will be transported 100 kilometres by road train to Roy Hill to sustain its production, roads the company intends to upgrade and expand in partnership with the WA government.
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