Shenhua Watermark is planning to construct an open-cut mine to extract 10 million tonnes of coal a year from an area known for its fertile black agricultural soils.
Baird told the NSW Farmers Federation meeting in Sydney that the mine approval included strict conditions to make sure there was no adverse impact on water supply.
“It's been through the most significant and exhaustive review that's ever been done for any mining project,” he said.
“If there is any evidence that comes from the scientific committee that says this is going to damage the water towards the Liverpool Plains, then we will not be supporting it in any way.
“The science has come back and it says the impacts aren't there.”
The NSW Farmers Federation passed a motion demanding the state government halt the project.
The Shenhua project will be productive for 30 years but farmers claim it will leave a 35-square kilometre hole in some of the most fertile agricultural land in the state.
