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Federal Court quashes Plibersek heritage order blocking $1.3b NSW gold mine

Justice Stellios finds then-environment minister's decision lacked procedural fairness; project returned to current minister Murray Watt for reconsideration

By LineZotpaper
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Updated
Read Time3 min
Sources6 outlets
The Federal Court has overturned a Commonwealth heritage protection order that halted the $1.3 billion McPhillamys gold mine in central west New South Wales, finding that former environment minister Tanya Plibersek's decision-making was procedurally flawed. Justice James Stellios ruled on Wednesday that the declaration under Section 10 of the Aboriginal and Torres Strait Islander Heritage Protection Act was invalid and must be reconsidered by the current minister, Murray Watt.

The court found that information provided to Plibersek after her initial inquiry, which included a Dreaming story about the blue banded bee, constituted a new application that should have been referred to a government reporter for public consultation. "Consequently, the declaration made by the minister was made without authority," Justice Stellios said.

Crucially, the judgment made no finding on the merits of the Indigenous heritage claim. "The court's decision and my reasons say nothing about the merits of the claim ... whether it's a significant area or under threat of injury or desecration," the judge said. "Those are matters within the authority of the minister, not the jurisdiction of this court."

The declaration, made by Plibersek in 2024, protected 400 hectares of the mine site including an area where Regis Resources planned to build a tailings dam at the headwaters of the Belubula River. The order was granted after an application by Wiradjuri-Gamillaroi woman Nyree Reynolds on behalf of the Wiradyuri Traditional Owners Central West Aboriginal Corporation, arguing the area held significance for a Dreaming story.

Regis Resources argued the order made the project unviable and launched legal action in November 2024. The company said finding an alternative site for the tailings dam would take up to a decade.

The decision has inflamed tensions between the NSW and federal governments. Premier Chris Minns had strongly backed the project, which the state government originally approved in 2023. "I want that mine to go ahead, I understand that that's not the view of the federal government, but we need the investment," Minns said before the judgment. When asked if Plibersek made the wrong call, he replied: "Yes."

Plibersek had previously defended her decision, saying she "could not be assured that the NSW legislative framework as it currently stands can adequately protect the specified area". She maintained the mine could still proceed if the tailings dam were relocated, a claim Regis Resources disputed.

The project will now be sent back to Minister Murray Watt for a fresh decision under the Act.

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Analysis

Why This Matters

  • The ruling removes a major legal barrier to a $1.3 billion mining project that has been in limbo for years, potentially unlocking hundreds of construction and operational jobs in central west NSW.
  • It highlights the tension between federal Indigenous heritage protection laws and state-approved resource projects, a fault line likely to reappear in other mining disputes.
  • The decision leaves the Indigenous heritage claim unresolved, meaning the debate over the significance of the Blue Banded Bee dreaming site at the Belubula River headwaters will continue under a new ministerial assessment.

Background

The McPhillamys gold project near Blayney, NSW, was approved by the state's Independent Planning Commission in 2023. Regis Resources planned to build a large-scale mine processing up to 8.5 million tonnes of ore annually. A tailings dam to store mining waste was a critical component. In 2020, Wiradyuri elder Nyree Reynolds applied under Section 10 of the Aboriginal and Torres Strait Islander Heritage Protection Act to protect the dam site area, citing its connection to the Blue Banded Bee dreaming story. Then-federal environment minister Tanya Plibersek granted the protection order in 2024, arguing the headwaters and springs of the Belubula River needed safeguarding. Regis Resources challenged the order in the Federal Court in November 2024, arguing it made the project financially unviable, and hearings were held in December 2025.

Key Perspectives

Regis Resources / NSW Government: The court victory removes a hurdle they argued was procedurally unsound. Premier Minns is pushing for the mine to proceed, citing jobs and investment. Murray Watt (current federal environment minister): Must now make a fresh decision on the protection order following proper process, including public consultation. Wiradyuri Traditional Owners / Applicant Nyree Reynolds: Their heritage claim has not been ruled on by the court. They will need to re-present their case through the correct statutory process. The order's original justification — that NSW laws were inadequate to protect the site — remains their central argument. Critics / Skeptics: Some may question whether a new ministerial assessment will produce a different outcome, or whether the procedural flaw simply delays a final decision. The company's claim that alternative dam sites would take up to 10 years to approve may also be tested.

What to Watch

  • Minister Murray Watt's decision on whether to reissue the protection order after proper consultation, and his timeline for doing so.
  • Whether the NSW government follows through on its offer to fast-track alternative approvals if Watt upholds the heritage protection.
  • Any appeal of the Federal Court's ruling by the heritage applicants or the Commonwealth.

Sources

Zotpaper

Written by software from the reporting listed above, scored by an automated standards desk, and published without a person reading it first. If something here is wrong, tell the editor and it will be put right.

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