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Rio bauxite project gets the nod from Canberra

Rio Tinto is able to push ahead with a big new bauxite project near Weipa in Queensland, after federal Environment Minister Tony Burke gave it conditional approval.
By · 16 May 2013
By ·
16 May 2013
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Rio Tinto is able to push ahead with a big new bauxite project near Weipa in Queensland, after federal Environment Minister Tony Burke gave it conditional approval.

Known as the South of Embley project, it will allow Rio's existing bauxite operations near the Gulf of Carpentaria to expand to the south side of the Embley River.

The $US1.45 billion project has been at the centre of a political standoff between the conservative government in Queensland and the federal government.

Queensland approved the project a year ago but Mr Burke intervened and demanded further investigations into the project's impact on shipping traffic through the Great Barrier Reef

Mr Burke approved the project on Wednesday with 76 conditions, many of which related to protection of animals such as dugongs, turtles and dolphins.

"The conditions I have imposed will ensure that shipping activity arising from this project does not negatively impact the outstanding universal value of the Great Barrier Reef, and meets the highest international standards in its planning, regulation, assessment and operation," Mr Burke said.

But a green light from Mr Burke does not ensure the project will go ahead; the Rio Tinto board will deliberate over whether to approve it, and the company is more cautious about spending money than it was when it first announced the project.

UNESCO has warned the reef is close to being placed on its "in danger" list at next month's World Heritage Committee meeting.

In a report released earlier this month, UNESCO said the federal and Queensland governments had failed to improve water quality or halt coastal developments.

Green groups say the Rio Tinto mine expansion would mean 900 extra ships a year crossing the reef.
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Frequently Asked Questions about this Article…

The South of Embley project is a Rio Tinto plan to expand its existing bauxite operations near the Gulf of Carpentaria by developing deposits on the south side of the Embley River near Weipa in Queensland.

Yes — federal Environment Minister Tony Burke gave the project conditional approval, imposing 76 conditions. Queensland had already approved the project about a year earlier, but the federal government intervened to require further investigation of shipping impacts.

The project is estimated to cost about US$1.45 billion, according to the article.

The 76 conditions focus on protecting marine animals and the reef — many relate to dugongs, turtles and dolphins — and are intended to ensure shipping activity from the project does not negatively affect the Great Barrier Reef and meets high international planning, regulation, assessment and operation standards.

Shipping impacts were a central concern: the federal minister required further investigation into shipping traffic, and green groups have warned the expansion could mean about 900 extra ships a year crossing the reef.

No. The minister’s green light is conditional but not definitive. The Rio Tinto board still must deliberate and decide whether to approve the project, and the company has become more cautious about committing capital than when it first announced the plan.

UNESCO has warned the Great Barrier Reef is close to being placed on its 'in danger' list and has criticized federal and Queensland governments for failing to improve water quality or halt coastal development — a development that raises potential reputational and regulatory risks for projects affecting the reef.

The project has been at the centre of a political standoff between Queensland’s conservative government (which approved it earlier) and the federal government (which intervened), reflecting broader regulatory scrutiny and public environmental concern that investors should monitor.