Coal ban bill ‘dangerous’ says mining giant

In Exploration, Government/Policy, Latest News, Mineral Processing, Resource Extraction & Processing
Lucas Dow Adani Australia

New rules that ban coal mining in Central Queensland would bring great uncertainty to the state’s economy, a mining executive has warned.

Adani Mining chief executive Lucas Dow said at a March 4 public hearing it would be economically dangerous for Queensland to pass a retrospective bill that bans coal mining in the Galilee Basin.

“This bill would create enormous regulatory uncertainty and sovereign risk for Queensland, which would extend well beyond simply the Galilee Basin,” he said. “It would have far-reaching impacts, and there would clearly be a legal recourse for what has already been spent and for future profits.”

The proponent behind the $21 billion Carmichael Coal Project is threatening to sue the State Government for $1.4 billion plus future profits and other payments to third parties, if new legislation that bans coal mining takes effect.

State Greens MP Michael Berkman introduced the retrospective bill, which aims to cancel existing mine leases and permanently ban coal mining in the basin, so Australia can meet its targets under the Paris Agreement with the United Nations Framework Convention on Climate Change.

Queensland Resources Council chief executive Ian McFarlane backed Adani, saying the State Government cannot afford to ban coal mining.

“Without the mining royalty payouts, the Queensland Government would be in the red to the tune of $4.6 billion,” he told the Australian Associated Press.

Berkman admits the seaborne thermal coal market would jump 30 per cent if the entire basin is mined.

“That’s going to drive down prices, that’s going to increase the uptake of coal, and it’s going to mean that we completely blow our Paris targets,” he told the ABC. “That’s really what this is about. No amount of solar power, no amount of renewable energy of any type, can prevent the most catastrophic consequences of climate change if we dig up this volume of coal.”

You may also read!

Australian Energy and Minerals Investor Conference in Brisbane 2018

Emerging miners show the way forward for industry

Some of the nation’s most promising mining companies will be part of a new commodities boom. At least 35

Read More...
Australian money mine worker Adobe Stock Image Library

Industry proposes $1B Maroon Fund

Higher than expected mining royalties from Queensland should be invested in the Sunshine State through a Maroon Fund, the

Read More...
Cyclone Trevor Weipa courtesy of Queensland Police

Miners brace for cyclonic double whammy

Mining giants on both the East and West coasts of the nation are preparing for the worst as cyclones

Read More...

Leave a reply:

Your email address will not be published.

Mobile Sliding Menu