PERTH (miningweekly.com) – Diversified miner South32’s Illawarra Coal Holdings company has been ordered to contribute nearly A$2.9-million to a community project under an enforceable undertaking (EU) by the Natural Resources Access Regulator (NRAR) after the company allegedly took surface water without a licence at its Dendrobium mine, in New South Wales.

The NRAR alleges that the mine’s operations caused the incidental take of surface water without a licence over five years from 2018 to 2023. 

Under the terms of the EU, Illawarra Coal will acknowledge the alleged breaches occurring between 2019 and 2023. The company would also provide the monetary contribution for a community project that would improve the health of waterways or restore wetlands, and would have to start delivery on the project within three months of the NRAR accepting the project proposal.

The company has also been ordered to improve surface water management by investing in new technology and to report the results annually.

“In this EU, NRAR considers that we have achieved the most effective outcome for the people of NSW which redresses the alleged breaches that occurred, delivers benefits to the local community, and puts in place much improved processes to better manage water at this mine in the future,” said NRAR chief regulatory officer Grant Barnes said. 

“This enforceable undertaking also takes into account the impact of the alleged breaches on the local Aboriginal community and puts in place a commitment to dialogue between the company and that community.”

A spokesperson for South32 told Mining Weekly Online that the company was pleased the matter has been concluded.

“Since 2014, South32 Illawarra Metallurgical Coal has paid A$5.6-million to account for the passive take of water resulting from underground activities at Dendrobium mine. We understand that water is a critical resource and recognise our obligation to pay for all water used by our operations in the same manner all water users do.

“In lieu of an approved surface water licensing regime, the New South Wales NRAR engaged with us in 2019 in respect of past surface water usage at Dendrobium mine.

“We have cooperated with NRAR’s request and following discussion with NRAR we have committed to an enforceable undertaking which will involve providing funding for a community project,” the spokesperson said.

“Over the coming months we will work collaboratively with NRAR and other stakeholders to develop a suitable water- elated community project.”