This miner claims Plibersek’s decision sets them back a decade. She says it’s ‘nonsense’
By Caitlin Fitzsimmons and Mike Foley
Environment Minister Tanya Plibersek has rejected as “nonsense” a gold miner’s claims that its project in the NSW Central West has been delayed by up to a decade due to her decision to veto a tailings dam at the headwaters of the Belubula River on Indigenous heritage grounds.
The miner, Regis Resources, said on Tuesday it stood by its chief executive Jim Beyer’s estimate it would take five to 10 years to develop plans and gain approval to relocate the tailings dam. NSW Minister for Natural Resources Courtney Houssos met Beyer on Tuesday afternoon and said he had committed to continue to look for options for the mine to proceed.
The Western Australia-based company claims Plibersek’s decision has risked the future of the McPhillamys gold project and its potential to create 200 jobs and about $200 million in royalties for NSW.
Daniel Sutton at his home in Kings Plains, with the mine site in the background.Credit: Wolter Peeters
Plibersek told this masthead on Tuesday: “That’s nonsense. This is a small variation, but the big part of the project is approved.” She said the protected area was 400 out of 2500 hectares, and the company had the opportunity to find a new site.
“I totally understand that the company wants the cheapest and easiest option. That is them doing their job for their shareholders. But as environment minister, I have to apply the law.”
“Protecting cultural heritage and development are not mutually exclusive; we can have both, but projects have to be well-designed.”
Regis wanted to build the tailings dam over the springs that feed the Belubula River, a tributary of the Lachlan. This alarmed environmentalists and local farmers because of the potential to reduce water flows and degrade quality, but Plibersek said the decision was made “solely on the basis of cultural heritage”.
NSW Premier Chris Minns said on Monday he was “disappointed” by Plibersek’s decision, and Prime Minister Anthony Albanese weighed in on Tuesday, rejecting Regis’ claim that the project had been derailed.
Yet investors seem pleased by the hurdle – Regis’ share price has jumped 9 per cent since Plibersek rejected the tailings dam on August 16. The projected cost of building the mine has blown out to almost $1 billion and the company has told The Australian it is considering taking on a joint venture partner to derisk the project.
The project was approved by the NSW Independent Planning Commission and passed the federal environmental assessment but has now failed on Indigenous heritage grounds.
Plibersek made her decision under Section 10 of the Aboriginal and Torres Strait Islander Heritage Protection Act, finding in favour of the Wiradyuri Traditional Owners Central West Aboriginal Corporation. The group’s public officer declined to comment.
The minister said the area selected for the tailings dam was a significant initiation site and featured in two important creation stories.
Tanya Plibersek said her decision to impose heritage conditions on the McPhillamys mine would not prevent it from proceeding.Credit: Alex Ellinghausen
Despite some media coverage questioning its legitimacy, the Wiradyuri group’s standing on cultural matters was recognised by the former Coalition government as well. Former environment minister Sussan Ley rejected a go-kart track on Mount Panorama in Bathurst using the same Indigenous heritage laws after opposition from the same group.
The NSW planning system consulted the Orange Local Aboriginal Land Council, which did not respond to this masthead’s request for comment. Land councils, which have legal standing under the NSW Native Title Act, are elected by any Indigenous residents in an area but do not always represent the views of an Aboriginal Country’s traditional owners.
The McPhillamys mine is expected to produce up to 2 million ounces of gold over 11 years out of a void that will be more than a kilometre wide and 460 metres deep. The waste rock will be turned into a mound alongside the pit.
An illustration of the McPhillamys mine, with Kings Plain houses in the bottom left.Credit: Regis Resources
Minns told reporters on Monday that critical minerals, gold and other forms of mining were an opportunity to diversify away from coal, the state’s biggest export.
The operating workforce of about 200 people makes it a relatively small gold mine compared to the nearby Cadia mine, which has more than 1400 full-time workers.
Daniel Sutton, president of the Belubula Headwaters Protection Group, said the tailings dam would hinder the springs producing the water, while seepage or spills from the dam would reduce water quality. Downstream are several farms producing sheep, cattle, goats and honey, and Carcoar Dam, which is used for recreation.
Sutton said the company had chosen “the cheapest option” for the location of the tailings dam.
“The reason they’re now saying it’s unviable is because the project in itself was already effectively a break-even job and wasn’t going to make much money in the first place,” Sutton said.
Cattle farmers Rebecca and David Price of Blayney live downstream of the approved coal mine.Credit: Wolter Peeters
Rebecca Price said her three-generation family farm spans 10 kilometres along the river, where they graze their sheep and cattle.
She said it had been “devastating” that the environmental impact counted for so little, but she was “shocked but happily relieved” by Plibersek’s recent decision.
Georgina Woods, head of research and investigations at Lock the Gate Alliance, said NSW was the only jurisdiction in Australia without dedicated Aboriginal cultural heritage legislation – a gap highlighted by the inquiry into the Juukan Gorge scandal several years ago.
The Department of Planning, Housing and Infrastructure said Aboriginal cultural values were protected in other NSW legislation.
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