Many economic forecasts are gloomy, due to the low returns for the mining and energy industries as a result of the downturn of the world’s major economies.

Yet, in spite of these forecasts, over the past two years the state government has approved 1.86 billion tonnes of coal and is considering a fourth 1.2 billion tonnes.

BHP is conducting a feasibility study to extract 10 billion tonnes of thermal coal at Caroona.

There is a rumour that they intend to longwall mine under the Liverpool Plains.

The gloomy economics have seen Rio Tinto divest of $US4.7 billion of assets, the latest being the sale of Mount Pleasant mine for $AU319 million.

With the increasing economic pressures, conditions of government approval fall off the mine management priorities.

A tragic example is in the state of Minos Gerais, Brazil, where a mine operated by BHP in partnership with Vale Mining had two dams collapse, resulting in 19 deaths, the demise of 11 communities and the destruction of farm lands.

Governments and communities are seeking compensation, but dollars cannot replace lost lives, communities or farm lands.

Here in NSW, the Bangalla coal mine dam overflowed on three occasions and  is now under investigation by the NSW Environment Protection Authority.

Rio Tinto’s Warkworth mine sediment dam failed during January rains.

Peabody Energy’s Wombo Mine collapsed during heavy rain, and last July Continental’s Clarence Colliery works failed, resulting in 178 tonnes of coal fines having to be extracted from 4.8km of the river.

No estimate is available as to how many tonnes of mine fines still contaminate the catchment.

All mines operate under conditions of approval issued by the state government and these failures bring into question the approval process, standards required and possible low criteria used in design specifications for environmental works.

The Muswellbrook mayor has used the media to complain about the lack of rehabilitation of mine land overlooking the town.

The mine is operating under BHP management, which claims that drought conditions during the past seven years have impacted progress.

I would have thought that a drought would have been factored into any mine rehabilitation plan?

Our community awaits a final decision by the federal government on the proposed Shenhua Watermark project.

What a hotch-potch it will be, with both federal and state governments over-writing any approved conditions of operation.

Low coal, iron and oil prices, coupled with crawling world economies.

It makes me wonder about the future of any approved mine, let alone proposed mine, entering world markets.

AE Stannard

Tamworth