NSW Court Overturns Approval for Controversial Silver Mine

NSW Court Overturns Approval for Controversial Silver Mine
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A major legal victory has been secured by a local group opposing the development of a major silver mine near Lue in New South Wales. The NSW Court of Appeal has revoked the development consent for the mine, initially granted to Silver Mines Limited in April 2023. This mine was set to be developed on Australia’s largest known undeveloped silver deposit.

The local action group, Bingman Landcare, has long opposed the project, arguing that the mine posed a serious threat to the environment and public health. The proposed Bowdens Silver Mine, located about 30 kilometers from Mudgee, intended to extract over 30 million tonnes of lead, silver, and zinc over a span of 23 years. Residents feared that the mining operations could lead to harmful levels of silver and lead contaminating the air and groundwater.

The NSW Court of Appeal’s decision came after it was determined that a previous court ruling did not adequately consider the environmental impacts of a critical component of the project—a 13-kilometer power transmission line. Justice Richard White expressed concerns about the environmental, social, and economic impacts associated with the power line. He noted that the cumulative effects of both the power line and the mine should be fully assessed. Consequently, the court declared the Independent Planning Commission’s approval of the Silver Project as void, ordering an immediate halt to all related work.

As part of the ruling, Silver Mines Limited has been ordered to cover the legal costs incurred by Bingman Landcare. The group has expressed satisfaction with the court’s decision, though they emphasized their frustration at having to challenge the project in court. They criticized the initial approval process, questioning the logic of approving a large-scale lead mine so close to a primary school and a prominent agricultural and tourism region. The group has called for reforms in NSW’s planning legislation to prevent similar situations in the future.

In the wake of the decision, Silver Mines Limited experienced a sharp drop in its stock value, falling by 40 percent before recovering slightly. The company has indicated that it will evaluate the implications of the judgment for both the Bowdens Silver Project and the broader mining industry in New South Wales. Silver Mines Limited has temporarily paused trading on the ASX to assess the decision’s impact with its legal advisors.


Event Details
Court Decision NSW Court of Appeal revoked mine development consent.
Mine Project Bowdens Silver Mine, near Lue, NSW.
Planned Extraction Over 30 million tonnes of lead, silver, and zinc.
Environmental Concerns Potential contamination of air and groundwater.
Legal Outcome Development consent declared void; work halted.
Stock Impact Silver Mines Limited’s stock fell 40%, then partially recovered.
Future Actions Company reviewing implications with legal advisors.

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