Anglo Coal (German Creek) Pty Ltd & Ors, Re [2003] QLRT 61

LAND AND RESOURCES TRIBUNAL QUEENSLAND CITATION: Re Anglo Coal (German Creek) Pty Ltd & Ors [2003] QLRT 61 PARTIES: Re Application for Mining Lease No. 70311 by Anglo Coal (German Creek) Pty Ltd & Ors FILE NO/S: AML00054/2003 PROCEEDING: Application for mining lease DELIVERED ON: 12 June 2003 DELIVERED AT: Brisbane HEARING DATE: Heard on the papers PRESIDING MEMBERS: Koppenol P ORDER/S: 1. Tribunal constituted by President. (at [2]) 2. Hearing dispensed with. (at [3]) 3. Recommendation made that Application for Mining Lease No. 70311 applied for by the Applicants, be granted for the purpose, area and term applied for. (at [18]) CATCHWORDS: MINING – MINING LEASE APPLICATION – RECOMMENDATION Land and Resources Tribunal Act 1999, ss 39, 40 Mineral Resources Act 1989, ss 245, 252(1), 269(4), 270 Environmental Protection Act 1994 COUNSEL: N/A SOLICITORS: N/A AGENT/S: N/A Application [1] This is an Application by Anglo Coal (German Creek) Pty Ltd and Others (the Applicants)1 under s. 245 of the Mineral Resources Act 1989 (the Act) for a mining 1 The Applicants’ percentage interests are as follows: Anglo Coal (German Creek) Pty Ltd 52.704%, Anglo Coal (Roper Creek) Pty Ltd 33.660%, Marubeni Coal Pty Ltd 13.636%. -- 1 of 5 -- lease over a 2,563.7331ha area of land (Oak Park) situated 10km south-west of Middlemount for the open cut mining of coal and related purposes (stockpiles, environmental dams and haul roads). The Application was lodged with the Mining Registrar for the Emerald mining district on 3 February 2003. No objections to the Application were lodged during the public objection period which ended on 3 June 2003. Constitution of Tribunal [2] The Applicants requested that a single Presiding Member of the Tribunal hear the matter. I am agreeable to that course and in accordance with ss 39 and 44 of the Land and Resources Tribunal Act 1999, I direct that the Tribunal be constituted for this matter by me. Dispensing with hearing [3] The Applicants requested in their Additional Information and Statutory Declaration form (AISD form) that this application be heard by the Tribunal on the papers and without an oral hearing. Under s 270 of the Act, the Tribunal has a discretion to dispense with the hearing if 4 specified criteria have been satisfied. Because (for reasons which will appear) I am satisfied that (a) the provisions of part 7 (Mining Leases) of the Act have been complied with, (b) there were no objections to the grant of the Application, (c) no reserve land is involved, and (d) the owner of the affected restricted land (dam, stock water tank, stock water pipeline and stock watering troughs) has consented, I regard this an appropriate case to dispense with a hearing. I order accordingly. Section 269(4) criteria [4] In respect of the criteria specified in s. 269(4) of the Act (which are required to be taken account of and considered in a case such as this), I have relied upon the material lodged by the Applicant with the Department of Natural Resources and Mines and provided by the Mining Registrar to this Tribunal and also upon the AISD form dated 5 June 2003 and the Mining Registrar’s Report dated 5 June 2003. These reasons refer to the salient points, but not to all of the relevant evidence and other material, that I have taken into account in making my recommendation. Section 269(4)(a) – Have the provisions of the Act been complied with? [5] On 3 February 2003, the Mining Registrar issued a Certificate of Application. Pursuant to s. 252(1) of the Act, the Mining Registrar can only do so if satisfied that the Applicants are eligible to apply for the mining lease and have complied with the requirements of the Act with respect to the Application. The Applicants have lodged with the Mining Registrar statutory declarations certifying compliance with the statutory requirements for notifying the Application within the times required. I note that the land the subject of this application comprises a grazing homestead perpetual lease and that the native title provisions of the Act are therefore not applicable. A consent has been obtained from the owners of the affected restricted land. No reserve land is involved. I am satisfied that this criterion has been established. -- 2 of 5 -- Section 269(4)(b) – Is the land applied for mineralised or are the other purposes for which the lease is sought appropriate? [6] The Application seeks the grant of a mining lease for the open cut mining of coal. The Applicants’ AISD form said that the Applicants knew that the proposed mining lease area was mineralised because the Applicants have conducted an ongoing exploration program over that area, the results of which have confirmed the extent and quality of the coal resource. The application area abuts the Applicants’ existing German Creek East Mine—a conventional large open cut strip mine. I am satisfied that the area is mineralised and that the other purposes for which the lease is sought are appropriate. Section 269(4)(c) – If the land applied for is mineralised, will there be an acceptable level of development and utilisation of the mineral resources within the area applied for? [7] The Oak Park mine will be an open cut operation using the Applicants’ existing overburden removal equipment and conventional draglines. Production levels are expected to be in the vicinity of 1mtpa, which is similar to current production levels at the operating German Creek East Mine. This production rate may be increased if market opportunities arise. Because of the extent of coal reserves, open cut operations may continue for another 20 to 30 years, depending on market demand, prices and costs. Although the proposed open cut operations are concentrated in the southern half of the application area, there is potential for expansion of the open cut to the north where coal is partially intruded. Environmental dams, haul roads and other required infrastructure will be constructed. After it is washed, the coal will be railed to Dalrymple Bay Coal Terminal for export. I am satisfied that this criterion has been established. Section 269(4)(d) – Is the land and the surface area of that land in respect of which the mining lease is sought of an appropriate size and shape? [8] The Application said that the area and shape applied for covered the coal deposit defined by exploration and allowed for haul roads and associated infrastructure. As previously noted, the application area abuts the existing German Creek East Mine. There is no evidence to indicate that the size and shape is not appropriate. Section 269(4)(e) – Is the term sought appropriate? [9] A term of 30 years is sought. That term was sought to effectively mine and rehabilitate the area of coal deposit with the flexibility to extract coal depending on market requirements. I am satisfied that the term sought is appropriate. Section 269(4)(f) – Has the Applicant the necessary financial and technical capabilities to carry on mining operations under the proposed mining lease? [10] The Applicants are experienced coal mining operators with substantial mining activities and access to appropriate financial, technical and other resources. I am satisfied that this criterion has been established. -- 3 of 5 -- Section 269(4)(g) – Has the past performance of the Applicant been satisfactory? [11] The Applicants have never had a mining show cause notice, mining tenure cancelled, penalty or conviction under the Act. There was no material before me to suggest any unsatisfactory past performance by the Applicants. Section 269(4)(h) – Will any disadvantage result to the holders of existing exploration permits or mineral development licences or existing applicants for exploration permits or mineral development licences? [12] The evidence indicates that the only relevant underlying tenure is a mineral development licence, the holder of which has consented to the inclusion of this land within the mining lease applied for. No disadvantage should therefore result. Section 269(4)(i) – Do the operations to be carried on under the authority of the mining lease conform with sound land use management? [13] The current land use is for grazing purposes. It is otherwise only capable of being used for mining purposes. The mining activities will be carried out in accordance with the draft environmental authority issued under the Environmental Protection Act 1994. After mining, the land will be appropriately rehabilitated. I am satisfied that this criterion has been established. Section 269(4)(j) – Will there be any adverse environmental impact caused by the proposed mining operations, and if so, the extent thereof? [14] The mining activities will be carried out in accordance with the draft environmental authority (mining activities) issued by the Environmental Protection Agency. The Applicants must comply with the numerous environmental conditions set out in that document. There were no objections to the issue of that authority. I am not satisfied that there will be such an environmental impact caused by the proposed mining operations as to warrant an unfavourable recommendation in the present application. Section 269(4)(k) – Will the public right and interest be prejudiced? [15] There was no evidence before me that indicated that the public right and interest would be prejudiced. No public infrastructure traverses the subject land. The underlying land tenure is grazing homestead perpetual lease. The proposed mining operation is located in a sparsely populated area. It is significant that there is no current objection to this application. Section 269(4)(l) – Has any good reason been shown for a refusal to grant the mining lease? [16] There was no evidence before me that indicated any good reason why this Application should be refused. -- 4 of 5 -- Section 269(4)(m) – Is the proposed mining operation an appropriate land use taking into consideration the current and prospective uses of the land? [17] On the basis of the evidence and material considered in relation to criteria (i), (j), (k) and (l) above, I consider that the proposed activity is an appropriate land use. Recommendation [18] Taking into account all of the evidence and other material before me and, in particular, that referred to above, I recommend to the Honourable the Minister for Natural Resources and Minister for Mines that Application for Mining Lease No. 70311, applied for by the Applicants for the open cut mining for coal, be granted over the whole of the application area (2,563.7331ha) for the term of 30 years. -- 5 of 5 --