PERTH (miningweekly.com) – The Western Australian Environmental Protection Authority (EPA) has approved the Thunderbird mineral sands project, which ASX-listed Sheffield Resources is developing, subject to a number of conditions.

Under the recommended conditions, Sheffield will be required to undertake progressive mine rehabilitation to restore habitat suitable for the Greater Bilby.

The company will also be required to establish and fund a Greater Bilby Research and Conservation Plan aimed at improving the conservation and recovery of bilby populations on the Dampier Peninsula.

The recommended conditions also establish exclusion zones around sites of Aboriginal heritage and restrict the area of groundwater drawdown to prevent impacts on other groundwater users.

Sheffield MD Bruce McFadzean said this week that the EPA approval was a "great outcome" for the company.

“Throughout this process, Sheffield has received a tremendous level of community support towards the development of the Thunderbird project. This was evidenced by the majority of public submissions made in favour of the project earlier this year.”

McFadzean noted that with clear environmental management plans in place for the mine, Sheffield now had the ability to deliver a project that would bring material benefit to all stakeholders.

“This is an important de-risking step in the evolution of Thunderbird as we move through our funding and offtake process and towards a final investment decision.”

The EPA’s report is open for a two-week public appeal period, which closes on October 23.

The Thunderbird Stage 1 development is expected to have an 8.5-million-tonne-a-year throughput, doubling to 17-million tonnes a year in the fifth year of operations, with the investment of a further A$195-million.

Over its 42-year mine life, Thunderbird is expected to deliver some 76 100 t/y of premium zircon, 68 500 t/y of zircon concentrate, 387 800 t/y of ilmenite and 229 800 t/y of titano-magnetite.

The company has pledged to create up to 280 jobs in the local community, and will pay some A$100-million in royalties to traditional owners over the life of the mine.

“We are committed to keeping jobs local and will not be running fly-in, fly-out when Thunderbird is in operation in 2019. That means salaries will stay local and will boost the regional economy,” McFadzean said on Tuesday.

“Great value will flow from Thunderbird to stakeholders. The value of local salaries together with the value to local businesses is expected to exceed A$1-billion over the life of the mine, and we will also contribute A$700-million to the state government and A$1.3-billion to the federal government in various taxes and royalties.”