McArthur River mine court ruling sidestepped

The Northern Territory Government is ramming through legislation to override a court decision preventing a controversial mine expansion from going ahead.

Traditional owners from the Borroloola region on the Gulf of Carpentaria had successfully challenged Xstrata’s plans to transform the mine from an underground to open-cut mine.

Chief Minister Clare Martin says the machines at the McArthur River Mine will fire up again tomorrow, as soon as the urgent amendment is passed.

Work on the $110 million expansion ceased on Monday when the Supreme Court ruled that the Territory Government’s approval process was flawed.

Ms Martin has defended ignoring written advice from the mine that the approval process the Government followed would leave it open to a legal challenge.

She is convinced the Government did the right thing.

“The legal advice I’ve got is that we could appeal this but it will take months,” she said.

Ms Martin says the Government will change the original legislation that governs the mine to allow it to have an open-cut operation.

Traditional owners not told

The Government had not told traditional owners that it would be rushing through the legislation.

But Ms Martin says they know that the Government wants the expansion to go ahead.

“I think the TOs [traditional owners] understood the decision had been made,” she said.

“This is a technicality and the most direct way to act is a quick one, to say that the decision is one we’re maintaining.

“So we’re doing this with the greatest respect for everyone involved.”

Mines Minister Chris Natt is also defending the way the Government has handled the case.

“The processes we work through are very, very stringent and they were controlled and very, very thorough,” he said.

“It’s just one small word - the word ‘underground’ has provided a situation where we’ve got to amend the situation.”

http://www.abc.net.au/news/newsitems/200705/s1912609.htm

MRM/Xstrata says mine will close

MRM/Xstrata have been threatening to leave the Northern Territory for a long time. Maybe its time they did, then a more progressive, environmentally friendly company could mine without diverting the river.

To assist Xstrata I have provided some examples (below) of their threats to leave and how widely reported and believed it was. Its been reported in newspapers, online services, an NT Government Report and in the Australian Journal of Politics & History. The threat has been mentioned repeatedly in the NT Parliament and no doubt Prime Pinister Howard also believed it, that might explain his over enthusiatic support for the project.

Can we trust MRM/Xstrata to keep their word?

Disappointed with Minister’s recommendation

23rd February 2006

Mr Hearne said that if the proposal to develop the mine is not approved, the only next step is for it to close.

http://www.mcarthurriver.com.au/pdf/MRM_MediaRelease_23Feb06.pdf

 ———————————————————————

Xstrata environmental rejection ‘unfounded’

23 February 2006

The general manager of McArthur River Mine, Brian Hearne, says the operation will have to close altogether if the expansion is also knocked back by the Mines Minister.

http://72.14.253.104/search?q=cache:uFDJPul3Sz8J:abc.gov.au/news/items/200602/1577087.htm%3Fnt+mine+closure+xstrata+OR+hearne+%22mcarthur+%22&hl=en&strip=1 

 ———————————————————————

Rejection prompts Xstrata to threaten mine closure

24 February 2006

LONDON — Xstrata Plc has threatened to close the McArthur River zinc mine in Australia’s Northern Territory after a member of the state government rejected the diversified miner’s proposal to convert the underground operations into an open pit to feed demand in the tight zinc market.

http://goliath.ecnext.com/coms2/gi_0199-5310494/Rejection-prompts-Xstrata-to-threaten.html#abstract

 ——————————————————————— 

NT Govt Labour Market Review

24 February 2006

Xstrata has threatened to close its McArthur River mine… (p.4)

http://www.workplace.gov.au/NR/rdonlyres/BA045C7C-DF6C-4E63-8657-7876D1ABF78A/0/LEO_NT_February2006LabourMarketReview.pdf

 ———————————————————————

 Xstrata to threaten mine closure

27 February 2006.

Xstrata has said rejection of the open pit application would force it to close the underground operation.

http://metalsplace.com/metalsnews/?a=4068

 ———————————————————————

 The Daily Resource

2 March 2006

A territorial environment ministry has rejected Xstrata PLC’s bid to move to open pit mining, and referred the matter to the federal government. The company has responded by saying that if the open pit application is turned down, it will have to close its underground operation at MacArthur River in the Northern Territory. 

http://www.kitcocasey.com/displayArticle.php?id=575

 ———————————————————————

Xstrata says prompt decision on McArthur River mine critical

21 March 2006

The mining company has released a statement saying unless a prompt final decision is made, the mine will be forced to close.

http://72.14.253.104/search?q=cache:gM7l99oOHJAJ:abc.gov.au/news/items/200603/1596845.htm%3Fnt+mine+closure+xstrata+OR+hearne+%22mcarthur+%22&hl=en&strip=1

 ——————————————————————— 

 Australian Journal of Politics & History
Volume 52 Issue 4 Page 637 - December 2006

place all the jobs in jeopardy due to the mine’s threatened closure

http://www.blackwell-synergy.com/doi/abs/10.1111/j.1467-8497.2006.00437a.x 

 ———————————————————————

 Court blocks expansion of Territory zinc mine

30 April 2007

Mr Roche said it would be interesting to see if MRM, which threatened to pull out of the Northern Territory last year if its expansion plans were not approved, would continue to pursue plans for a river diversion.

“They said if they could not get this approval they would walk away,” he said.

MRM says on its website that the mine faces closure because underground mining is no longer viable.

http://www.theaustralian.news.com.au/story/0,20867,21645906-643,00.html