B & R Mining Pty Ltd v Richard Magoffin Pty Ltd [2010] QLC 123

LAND COURT OF QUEENSLAND CITATION: B & R Mining Pty Ltd v Richard Magoffin Pty Ltd [2010] QLC 123 PARTIES: In the matter of Mining Lease No 95025 – Determination of compensation payable by B & R Mining Pty Ltd FILE NO: MRA112-10 PROCEEDING: Application for determination of compensation DELIVERED ON: 30 August 2010 DELIVERED AT: Brisbane MEMBER: Mr WA Isdale ORDER/S: 1. Compensation for access determined at $55 per annum. 2. The miner pay the total compensation of $550 to the owner within 60 days from notification by the Mining Registrar of the renewal of Mining Lease No. 95025. CATCHWORDS: MINING LEASE – Determination of Compensation Mineral Resources Act 1989 ss 279, 281 Re Wallace & Ors & Evans [2006] QLRT 93 APPEARANCES: Not applicable – Heard on the Papers Background [1] On 11 October 2007 B & R Mining Pty Ltd (the miner) made application for renewal of Mining Lease No. 95025 by filing its application with the Mining Registrar at Winton. [2] The area sought was 10 hectares, the term requested was for 10 years and the purpose was for the completion of open cut opal mining. [3] On 10 May 2010 the Mining Registrar referred the matter to the Land Court in accordance with s.279A of the Mineral Resources Act 1989 (the Act) for determination of compensation. The compensation is solely relating to access to the mine site across land owned by Richard Magoffin Pty Ltd (the owner). -- 1 of 3 -- 2 [4] On 8 June 2010 the Deputy Registrar of the Court wrote to the miner and the owner attaching to that letter a copy of Practice Direction 9 of 2009. The Practice Direction sets out steps to be taken by the parties so that the Court can assess compensation. The parties were required to supply the Court and each other with statements and evidence concerning their positions in regard to their claims and to advise the Court whether they would agree to the Court determining the matter of compensation on the papers. The Deputy Registrar’s letter set a timetable for taking the required steps and provided a process to be followed if either party wished to seek an extension of time to comply with the practice direction. Evidence [5] Neither party has provided the Court with any information or sought an extension of time in which to do so. [6] As neither party has provided the Court with any monetary figure to indicate the value which they place on the access which the miner seeks over the landholder’s land in order to travel from the public road to the mine site there is no guidance to be had in that respect. By failing to comply with the Practice Direction the parties have provided the Court with no information on which to make its decision. The Mining Registrar has provided a map which indicates the access route. The parties have failed to inform the Court of the proposed frequency of use of the access route and there is no evidence of what vehicles may be expected to be used. [7] The Court is not able to investigate the matters which the Practice Direction seeks to have disclosed and the parties must bear responsibility for their lack of participation in the process which aims to provide a just result to both of them. [8] I have adopted the analysis and methodology employed in Re Wallace & Ors & Evans1 in an endeavour to assess compensation in view of the lack of assistance from the parties. Determination [9] In the absence of more information, the Land Court will do its best to determine compensation which is determined in the sum of $50 per annum for surface access rights in accordance with s.281(3)(a)(v). [10] In accordance with s.281(4)(e) of the Act, I award an additional 10% of the amount that I have assessed under s.281(3). This additional amount is to reflect the compulsory nature of the action taken under the Act and will be $5 per annum. 1 [2006] QLRT 93. -- 2 of 3 -- 3 [11] Payment terms [12] Under s.281(5) the Land Court may determine the terms, conditions and times when payments aggregating the total compensation shall be payable. Accordingly, it is determined that the sum of $55 per annum be paid in respect of each year of the lease so that a lease for a period of 10 years will attract a total compensation of $550 for access. This amount is to be paid by the miner to the owner in full and final settlement of compensation for access in respect of the renewal of Mining Lease No. 95025 within 60 days from notification by the Mining Registrar of the renewal of the mining lease. WA ISDALE MEMBER OF THE LAND COURT -- 3 of 3 --