Whitehaven wins approval to explore for coal in Gorman North, near Narrabri

Mr Danson lives just five kilometres north of the existing Narrabri Underground Mine, which was recently approved to extend its life to 2044.

Mining giant Whitehaven was last week granted the right to explore for additional coal deposits in the Gorman North area, nearby. If they ever exploited coal deposits in the area, Mr Danson would have mines to his north, west and south.

He said the existing mine already sucks water out of his house bore.

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"And the benefits to me there are zero; no benefits whatsoever," he said.

"To put it more sarcastically the benefits are high prices in Narrabri [driven up by high-paid coal mine workers]."

Whitehaven Coal was contacted for comment but declined the opportunity to do so on the record.

Lock the Gate Alliance national coordinator Carmel Flint described the decision as an "incredibly disappointing" one.

"Farmers of north-west NSW are being hung out to dry," she said.

North west farmer Sally Hunter said there were more than 220 private landholders - mostly small holdings - who would be affected by any development in the area.

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"No-one knows where the actual mine will be of course. Exploration license applications were for two areas within Gorman North," she said.

"In terms of who will be impacted, it's too early to know."

The Gorman North area was identified as an area for potential future mining operations in the state government's 2020 Future of Coal Statement.

An exploration licence gives the licence holder exclusive rights to explore for minerals within a designated area, but a proponent requires additional licences and development approval before undertaking mining operations.

The Gorman North licences were granted for six years, and Whitehaven must undertake an extensive process of design, environmental approval, access agreements and consultation before exploration can get underway.

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