Australian coal miner New Hope's teetering plan for expanding its New Acland thermal coal mine in the state of Queensland was thrown a lifeline Wednesday.
The Supreme Court of Queensland Wednesday ruled that an earlier decision be set aside and the proposal be referred back to the Land Court for further consideration, the company said.
The expansion plan was rejected by the state's Land Court in May last year after the longest hearing in its 120-year history. It recommended against granting a mining lease due to "major shortcomings," including ground water issues with the company's model for the expansion at the time.
The expansion plan, known as the New Acland Mine Stage Three Project, is intended to boost New Acland's production from about 4 million mt/year to 7.5 million mt/year for 12 years, with construction to commence in 2019 and take three years.
"We remain committed to securing approval for this project and in doing so being able to provide ongoing employment for the circa 700 jobs reliant on the project," New Hope said Wednesday in a statement.
The key opponent of the expansion, a farmer and local residents group known as the Oakey Coal Action Alliance, said Wednesday it would continue its fight to stop the mine expansion.
"We are currently still reviewing the very lengthy decision and taking further advice on it," Paul King from the group said.
"This is a long fight and our farmers and local community are committed to seeing it through to the end, until we can obtain permanent protection for the land and water resources we rely on," he added.
