The policy and
practice of the Department of Mineral Resources (DMR) towards mining
leases was that mining leases would be renewed "almost as a
matter of course" to applicants who largely complied with their
lease conditions and the application requirements.
The reason for
this was that mining leaseholders generally made large investments
in their mining operations, and those large investments may only
be economic if they can count on getting renewals and if the terms
and conditions of their leases do not change dramatically in a way
that threatens the economic viability of their operations.
The DMR was
concerned that if applications such as that from Emerald Peat for
continued peat mining was to be refused or approved with conditions
that adversely affect the economic viability of the mining operation,
then the confidence of mining companies throughout NSW would be
undermined and less mining investment would occur.
to the NSW Minerals Council:
mining operation with a valid consent, a good track record of
site management and at a site which has been identified in planning
instruments for that purpose should have a reasonable expectation
of security of tenure. Failure to renew the lease would therefore
have a negative impact upon investor confidence, throughout the
mining industry.(Annexure A10 to Exhibit 14)
to the Department of Mineral Resources (DMR):
perception of New South Wales sovereign risk will arise where
a lease renewal is refused for a reason other than failure to
hold a valid consent.
of Mineral Resources, Submission to Inquiry into Renewal of Mining
leases 567 and 568 at Wingecarribee Swamp, 1997.
by Mr Alexander William Ramsland, Manager, Titles Branch, Department
of Mineral Resources, exhibit 25?