Xstrata has been given federal approval for its Wandoan Coal Project which is likely to develop into the largest open cut coal mine in the southern hemisphere.
The environmental approval for the 30 million tonne a year coal project located in central Queensland came last week from Federal Environment Minister Tony Burke. The decision of the approval was posted on the Xstrata website last week.
There has already been open criticism about the mine from environmentalists who claim that the emissions associated with it are unacceptable.
The Greens are not at all happy with the decision either. Greens deputy leader Christine Milne said that the Gillard government must explain how approving a mine that will produce coal equivalent to the total carbon pollution from 108 of the world's countries is consistent with its stated desire to act on climate change.
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Federal Environment Minister Tony Burke said that he was not swayed by the economical benefit of the project to Queensland and that Xstrata would have to meet strict environmental conditions to minimize the potential impact.
Xstarta hopes to commence exporting the thermal coal from the Wandoan coal project by 2014. The mine is a joint venture project in which Xstrata holds 75 per cent and ICRA (Itochu) and Sumisho Coal Australia each hold 12.5 per cent stakes. The mine will take $6 billion to develop.