GVK's coal mine project receives conditional nod from Aussie court

GVK welcomes proposals from Land Court that the environmental authority and mining lease be granted for its coal project subject to conditions

The Land Court of Queensland in Australia has granted conditional clearance to $10-billion Alpha Coal Mine project being developed by GVK Hancock, part of the Hyderabad-based GVK group. GVK on Tuesday welcomed the recommendations from the Land Court that the environmental authority and mining lease for its coal project be granted subject to conditions.

During the case, according to the company, objections were heard in relation to climate change, economics, surface water, groundwater, land-use, public interest and greenhouse gas emissions.

“This recommendation to grant the mining lease and environmental authority endorses the comprehensive environmental assessments of the Galilee Basin projects, approved by State and Federal governments (of Australia),” the company stated.

GVK Hancock’s Galilee Basin projects include the Alpha, Alpha West and Kevin’s Corner coal projects, and consists of associated infrastructure including a rail solution connecting the Galilee Basin to a new coal terminal (T3) at the existing Abbot Point Coal Port. When combined, these projects will create one of the largest thermal coal mining operations in the world.

The projects will provide direct employment to around 7,500 people across the nation during construction, and almost 4,000 once operational contributing over $40 billion in taxes and royalties over the life of the mines, GVK said.

GVK had acquired a 79 per cent stake in the Alpha Coal and Alpha West projects and 100 per cent stake in Kevin’s Corner coal projects from Hancock Prospecting Pty Ltd in 2011.

The projects, it said, would enable the company to bring online  high quality, low ash, low sulphur, low gas thermal coal basin with an ability to lower global emissions from coal fire power generation.

In December 2013, GVK Hancock received the Australian Federal Government’s approval for its Abbot Point Port Capital Dredging programme. This move finalised ministerial environmental approvals for its Galilee Basin coal assets and associated infrastructure.

Earlier in the year, the Kevin’s Corner Project gained Federal Government approval under The Environment Protection and Biodiversity Conservation Act 1999 (EPBC). In May 2013, the Queensland government had provided environmental clearance for this project and the Alpha Mine and Rail projects in 2012.