The state member for Maranoa Bruce Scott has urged the Queensland government to assess the Wandoan coal project, which is located in the Surat Basin near agricultural centre Toowoomba, under its forthcoming strategic cropping land laws.
The project would be developed on prime agricultural land in the Darling Downs and would fail the strategic cropping land legislation planned for implementation later this year, he told ABC radio.
"Will this be considered under their proposed strategic cropping land and the maps they've already released or will they ignore that?" he said.
"That to me would send the signal for many areas of the Darling Downs where there are already releases over that strategic cropping lands that they will not be considered under prospective legislation to be introduced into the Parliament.
"It's not to say there won't be mining operations in some form in that area.
"How is [the government] going to deal with those areas that have been declared strategic cropping land under the draft proposal?"
Xstrata is advancing its mine planning and biodiversity plan as part of the work underpinning the mining lease applications for Wandoan, which is expected to be the largest open cut coal mine in the southern hemisphere.
The approval also covers the construction and operation of an underground water supply pipeline, raising of the existing Glebe Weir and building an associated water pipeline to transport water from the Dawson River to the proposed open cut mine.
The approval allows Xstrata to advance to the final stage of its mining lease application for the project.
Expected production is slated from as early as 2014, but Wandoan remains subject to board approval with a decision not expected until the end of this year.
Xstrata Coal Queensland chief operating officer Reinhold Schmidt said the Wandoan project was an important part of the company’s organic growth strategy.
“Together with the proposed rail and port developments, the Wandoan coal project would help establish the Surat Basin as an internationally competitive coal export region,” he said.
Xstrata owns 75% of the Wandoan joint venture, while Japanese trading house Itochu owns 12.5% and Sumisho Coal Australia owns the remaining 12.5%.
Surat Basin explorer MetroCoal was encouraged by the approval, as its Wandoan West permit is adjacent to Xstrata’s project and its Columboola permit is 80 kilometres west of the Wandoan township.