Cape Alumina has scrapped plans for a multi-million dollar bauxite mine on Cape York, citing Queensland's Wild Rivers Legislation as the reason. The company says the legislation, which imposes a 500-metre buffer zone around the Wenlock River, has rendered the project unviable.
According to Cape Alumina's Dr Paul Messenger, a study found that 23% of the bauxite resource has been sterilised and a further 22% rendered uneconomic due to the buffer zone. The company had proposed a 300-metre buffer, which it says would have reduced the available bauxite by less than 10%.
The mine, planned for Pisolite Hills near the Wenlock River, was expected to inject $1.2 billion into the economy and create or sustain 1,700 jobs, including 1,300 in far north Queensland. Dr Messenger stated that these benefits will now be lost.
Queensland's Natural Resources Minister Stephen Robertson defended the legislation, saying the government has the balance right. He noted that the Coolibah Springs complex near the project is especially vulnerable and that the buffer zone is appropriate. Robertson visited the area and emphasised the need to protect its conservation values.
The Federal Opposition Leader Tony Abbott had planned to introduce a private member's bill to override the legislation but delayed it to consult with traditional owners. Despite the setback, Dr Messenger expressed hope that the decision would be reviewed and that future buffers would be based on science and environmental practice.
