GVK’s $10 bn coal project gets approval

Environment Minister Tony Burke said in a separate statement that the approval has been granted with 19 strict conditions directed specifically at ensuring matters of national environmental significance are protected,including the Great Barrier Reef.

Mutual Funds Check for top funds

Stocks More on GVK

Company INFO More on GVK

Last year,GVK had acquired 79 per cent stake in the Alpha Coal and Alpha West projects and a 100 per cent stake in the Kevin’s Corner project in Queensland from Hancock Prospecting Pty Ltd.

“My approval follows a rigorous assessment process after I was forced to step in and complete the assessment.

This has ensured the highest standards of environmental regulation were applied to this project,” Burke said.

“While the decision has taken an additional three months since the Queensland Coordinator General’s report was released,I’m satisfied that we have now put in place the required additional conditions for the protection of the environment including the Great Barrier Reef,” he added.

Earlier,Federal Government had raised objections to the environmental clearance given by Queensland to the project. GVK Vice-Chairman G V Sanjay Reddy said this is an important milestone for the projects which will provide significant benefits to the Alpha and Bowen regions.

The projects are expected to provide 2,000 on-going jobs in operations directly,employ around 4,000 during construction and return to the government USD 1.5 billion annually in royalties and taxes at peak production,he said.

These projects hold total resources of 8 billion tonne and a peak capacity of 80 million tonne a year.

When combined,these projects will create one of the largest coal mining operations in the world,the company said in the statement.