Shenhua Watermark’s project manager has asked the Gunnedah community to be patient, and says the operation will earn the respect of locals.
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Project manager Paul Jackson said Shenhua would “leave no stone unturned” in its bid to meet its requirements.
Mr Jackson also said it did not make economic sense to employ workers from China, despite fears the China-Australia Free Trade Agreement would see the project staffed by foreign workers.
“We will have to prove we still earn the right to mine, year in and year out,” Mr Jackson said.
“Hopefully the company will earn the respect it deserves.”
He said the Shenhua Watermark coal mine had been given a “social licence” through the results of the recent NSW election which saw mine opponent Peter Draper lose to Kevin Anderson, who promoted a “balance” between mining and agriculture.
Mr Anderson increased his margin, bucking a statewide trend for National Party candidates.
“We have a social licence to a degree because of the state election,” Mr Jackson said.
“It is very difficult to get a social licence and extremely easy to lose.
“We are going to make sure we do everything with a degree of diligence. We will leave no stone unturned.
“Everything will be done to our consent.”
Under the federal government’s approval, the mine can be shut down at any stage if it does not meet its conditions.
Mr Jackson said he believed the massive national outcry against the coal mine had come from a “fear of the unknown” combined with people who did want the mine in their own backyard.
“A lot of people out there, particularly in ‘Twitterland’ have blown this out of all proportion,” he said.
“We will take as much time as we need to do it right. We want to see this project a success for the people of Gunnedah and for Shenhua.
“If that means this is going to take an extra couple of months, then that is exactly what I am going to do. I am not going to be rushed into it until we have got everything right.
“I make no apologies for that. That is my job to do that. I need to do that.
“I ask for a bit of patience from the community while we get the checks and balances in place.”
The federal approval of the project has brought with it a huge community backlash.
A petition launched by the Caroona Coal Action Group has amassed more than 50,000 signatures. NSW Farmers has also launched an anti-mine campaign, and a social media campaign by Liverpool Plains Youth has won support across the country.
Chief among the stated concerns have been the impact of the mine on valuable water resources and agricultural land, with some questioning the difference between BHP’s water modelling for the Caroona Coal project and Shenhua’s modelling.
Mr Jackson said the projects, which are both alongside the Liverpool Plains, were like “chalk and cheese”.
“BHP is an underground mine and we are an open-cut mine, they are totally different,” he said. “They are mining under the aquifer, we are not going anywhere near it.”
He also said concerns about employment going to overseas workers were unfounded.
“The company will be localising the project,” Mr Jackson said.
“Building tenders are going to come down to a cost situation. Local builders and local construction companies should have the advantage because they are used to operating under local conditions.
He said under the Free Trade Agreement, workers must be paid Australian wages and abide by Australian conditions, claiming it “didn’t make economic sense” to employ 457 Visa holders.
What the Shenhua Watermark project manager had to say...
Shenhua Watermark project manager comments on some of the issues surrounding the mine:
On dropping coal prices:
Mr Jackson described the mine site as having “very friendly conditions” with good quality coal that was relatively close to the surface.
He said while the coal quality was not as good as that at Maules Creek, less money would need to be spent on construction, with a much smaller rail loop.
Mr Jackson said this would mean lower costs and a leaner operation, and profit was possible.
On the size of the mine:
“We will mine less than Maules Creek. This is not a huge mine.”
On people’s reaction to federal approval:
“It’s the fear of the unknown and ‘not in my backyard’. People think a 35 square kilometre hole is going to appear overnight and it’s not the case.
“People think: ‘I shouldn’t have to have it here, let someone else have it’.
“We understand that. If someone wanted to put a mine in my backyard, I would sell as well.”
On whether there have been past mines in the same area:
Mr Jackson said there had been only very small “family” operations in the area.
On clearing the land:
“We don’t have to clear much, the farmers have already done it for me.”
On whether Shenhua is looking at other investments in Australia:
“I haven’t been told that. They do no want to distract from delivery of this project.”