Competing land use issues have impacted many coal projects in the state, and the NSW Coalition plans to add in requirements for specific agricultural productivity impact assessments, plus aims to introduce an aquifer interference regulation.

But in a presentation, NuCoal said its planning initiatives over the last 12 months will dovetail into the Coalition’s proposed policy.

A hydro-geological study at its Doyles Creek longwall project in the Hunter Valley has been underway since mid-2010 to better understand aquifers in the area.

NuCoal said the agricultural land uses will be reviewed and included in any environmental assessment application.

The project will also be designed to have a minimal impact on the neighbouring horse-breeding industry by using “best practice” underground mine planning techniques.

NuCoal aims to complete the prefeasibility study in June 2012.

The project is targeting a 30-year longwall mine capable of 4.5-5 million tonnes per annum of semi-soft coking coal.

NuCoal shares are down 1.5c to 51c this morning.