The PAC yesterday said there were too many risks in relation to noise, air quality and other impacts.
Hunter Valley thoroughbred studs told the PAC they would be forced to leave the area if the controversial mine expansion was approved.
Drayton South was intended as the next logical step for the existing Drayton mine, and an earlier approval would have secured 500 Drayton employees to transition seamlessly to the new operation.
However, continuity was not achievable following the 2015 PAC recommendation to refuse the project and, after 30 years of successful operation, Drayton mine closed its gates for the final time on October 28.
Anglo American NSW projects director Rick Fairhurst told the PAC the project had addressed all the issues raised by the previous PAC, made considerable concessions in response to stakeholder concerns, and demonstrated the economics remained robust and could exceed project forecasts.
He said the Drayton South project was one of the most valuable undeveloped resources in the Hunter Valley and the NSW Department of Planning and Environment had consistently recommended the project be approved.
“The numbers continue to stack up and prove that through downturns and upturns, Drayton South is a valuable and viable project, which should be approved,” Fairhurst said.
“It will deliver $60 million annually in royalties and taxes directly to the NSW government to spend on public services across the state and will inject $50 million annually into the local economy through procurement and local spend.”