Court ruling revives controversial $1 billion NSW gold mine

• The Federal Court has overturned an Aboriginal heritage protection order that stalled Regis Resources’ $1 billion gold mine in NSW.

• The McPhillamys Gold Project has divided locals over its potential economic benefits and the impact on Aboriginal heritage and the environment.

• The project will return to the federal government for reconsideration, with Regis Resources warning the process could take some time.

The development of a $1 billion gold mine has made a “significant” step forward, after a court overturned a federal Aboriginal heritage protection order.

Then environment minister Tanya Plibersek issued the protection order rejecting the proposed site of a tailings dam at Regis Resources’ McPhillamys Gold Project near Blayney, in central western NSW, in 2024.

The Wiradyuri Traditional Owners Central West Aboriginal Corporation asked the minister to protect the headwaters and the springs of the Belubula River as a site central to creation stories.

The NSW Independent Planning Commission approved the mine in March 2023, a process that involved consultation with the Orange Local Aboriginal Land Council, the elected body for local Indigenous leaders.

Council representatives told the commission it was not for or against the mine, but emphasised the importance of protecting Aboriginal culture and heritage should it proceed.

Federal Court Justice James Stellios on Wednesday set aside the order, but his reasons will not be published until Friday afternoon.

The project will go back to the federal government to consider.

In an announcement to the ASX on Wednesday morning, Regis Resources said the government’s redetermination of the application for a protection order could take some time.

The miner would continue with plans already underway to process mining waste at a different site.

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But the court decision was a “significant and welcome” step forward for the project, managing director Jim Beyer said.

“After considerable delay and uncertainty, and more than two years of time lost, we are eager to move forward,” Mr Beyer said in the statement.

Before the court decision, NSW Premier Chris Minns said Ms Plibersek’s ruling was the wrong one.

“I want that mine to go ahead,” Mr Minns told reporters on Wednesday morning. “I understand that’s not the view of the federal government, but we need the investment.”

Blayney mayor Bruce Reynolds said the town of 3000 lost up to $8 million in rates revenue while the project stalled.

Local businesses, including 100-bed accommodation set up for mine workers, had also lost out, along with the nearby cities of Bathurst and Orange, Mr Reynolds said.

The planning process must be fully transparent when the project returns to the federal government, he said.

“We found the previous one wasn’t and it needs to be,” the mayor told AAP.

“All parties need to be involved in any further review, including local governments and the communities.”

The mine has long been controversial in the region, with concerns from farmers and environmentalists about land use, risks of habitat loss, possible pollution, traffic and noise.

Many other locals and community leaders have welcomed the mine, in the hopes it would boost and diversify the rural economy.

-AAP