While some might champion the underdog farmers who found a legal technicality to remove BHP from their land in the Liverpool Plains, mining companies are now obliged to chase down mortgage providers and even electricity suppliers for access agreements as a result.
Although the state’s Mining Act gives a licence holder exploration rights on private property, the court found the legislation also defined a landholder as a registered person “having an interest in the land”
BHP subsequently lost the case because it did not ink access agreements with the banks that provided mortgages over the concerned property.
Last week, Rio Tinto shelved a $A5-6 million exploration program for its Northparkes copper-gold mine as further access agreements are required.
Northparkes general manager Craig Stegman told the ABC it had taken several months to get 178 voluntary access agreements with landowners but more title searches were underway to identify all those with a registered interest in the property.
A contract for 12 positions was also cancelled, according to the report.
NSW Farmers Association president Charles Armstrong said the mine’s decision to suspend exploration because of the court ruling was of great concern.
“Northparkes could easily confirm the certainty of their existing agreements by notifying any mortgagees or others mentioned on title,” he said.
“All it could take is a couple of extra letters or a phone call from the mining company.”
NSW Minerals Council chief executive Dr Nikki Williams begged to differ.
“The requirement is not a mere duty to consult, nor is it a matter of a simple phone call or a quick note to other registered parties,” she said.
“Rather, all those with a registered interest in the land must negotiate, agree and sign up to the terms and conditions of a single, new access agreement.
“Whilst it’s unclear how this judgement is a victory for landowner property rights, what is clear is that it’s bureaucratic, time-consuming, will draw the legal profession into what were previously relatively straightforward negotiations and it gives all other registered interests equal control over what happens on someone's land.”
China Shenhua Energy does not face the same problems with drilling access at its Watermark coal project near Gunnedah.
Shenhua has acquired at least 15 properties in the project area and plans to acquire a total of 31.