New South Wales’ Independent Planning Commission (IPC) has approved Hunter Valley Operations’ (HVO) application to extend the life of its two coal mines by 12 years and 19 years, to 2042 and 2045, respectively.
HVO – a joint venture between Glencore and Yancoal – applied to mine 430 million tonnes of unprocessed coal by extending mining areas and accessing deeper coal seams, IPC said on 30 September.
“[But] there are still a number of further hurdles [that HVO] needs to clear before [staff and their families] get the certainty they need,” NSW Minerals Council Chief Executive Officer (CEO) Stephen Galilee told reporters at a press conference.
The joint venture requires Federal Government approval to progress its extension project, and could face legal challenges from climate activists, Galilee said.
“Mark my words, right now, the opponents of this project will be going through the [IPC’s] decision … and they will be looking for any small technical reason [to overturn the approval],” Galilee added.
HVO can only sell coal from its extension project to markets with greenhouse gas (GHG) emission-reduction policies consistent with the Paris Climate Accords, the IPC said in its approval decision.
“[But] GHG emissions from [HVO’s] project will contribute to climate change, with 98% of [project] emissions occurring … where [HVO’s thermal and semi-soft coking] coal is consumed,” the IPC added.
HVO produced 14.5 million tonnes of coal in January-June 2026, up 11% on the year, largely because of equipment utilisation, Yancoal said in a quarterly report on 20 July. The company has welcomed the IPC’s decision.
But climate activists have not. Every community in NSW, including those recovering from climate pollution-fuelled fires, will end up paying for the IPC’s decision, Climate Council Councillor Greg Mullins said.
The Climate Council has called on the Federal Government to reject HVO’s extension project. “Australian voters were promised a government that takes climate seriously. Approving this project would make that hard to believe,” Climate Council CEO Amanda McKenzie said.
“Australia should be cutting climate pollution further and faster, not adding to it. [The Government] must put people before corporate interests and refuse [HVO’s] project,” McKenzie added.
Yancoal expects the Federal Government to approve HVO’s extension project by the end of 2026, it said in July.
By Avinash Govind