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Victoria grants 20-year licence for controversial mineral sands mine near Horsham

WIM Resource's Avonbank project approved despite stiff opposition from residents and local council

By LineZotpaper
Published
Read Time2 min
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Victoria's mining regulator has granted a 20-year licence for the Avonbank mineral sands mine near Horsham, a Chinese-backed project that has divided the community. The licence allows WIM Resource to extract zircon, titanium and rare earth elements from a 3,400-hectare site in Dooen, with construction expected to begin late next year and mining in 2029.

Resources Victoria has granted a 20-year licence to WIM Resource for the Avonbank project, rejecting the company's request for a 38-year term. The licence covers the mining of heavy mineral sands including zircon, titanium and rare earth elements, materials used in everyday technology and renewable energy infrastructure.

The company said construction could begin late next year pending finances and further approvals, with mining scheduled to start in 2029. WIM Resource plans to operate the mine for 36 years, extracting 12.75 million tonnes of heavy mineral concentrate.

"This is a major moment for Avonbank, but just as importantly, it is a major moment for the Wimmera Southern Mallee," the WIM Resource executive team of Eddy Wu and Michael Winternitz said in a statement.

Resources Victoria director for regulatory operations Laura Helm said the licence was granted after "diligent assessment work by numerous agencies and departments at both the state and Commonwealth level". The regulator determined the company had an appropriate program of work that it could finance and complete.

However, the decision has been met with dismay from the Horsham Rural City Council and local residents. Council previously labelled the company's attitude towards community concerns as "disgusting".

"Going by my phone calls ... I think there's some people absolutely devastated in the community," said Mayor Brian Klowss. He said many felt their voices had not been heard, and that he was "dubious" about the site's rehabilitation plans.

The council has raised concerns about dust issues, use of the nearby intermodal freight hub, and prospects for rehabilitating the land. Resources Victoria said mineral handling procedures, real-time onsite monitoring and operating hours would be finalised as part of the work plan assessment.

Cr Klowss said questions remained about real-time air monitoring and a potential mining licence for the freight hub. He said he was told to expect a licensing decision in January, and that former planning minister Lily D'Ambrosio and other officials were involved.

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Analysis

Why This Matters

  • The mine will operate around the clock for up to 36 years in a rural farming region, raising concerns about dust, noise, and long-term land use.
  • The project supplies critical minerals for technology and renewable energy, positioning the development within Australia's push to secure supply chains.
  • The decision sets a precedent for how the Victorian government balances economic opportunity with community opposition in resource approvals.

Background

The Avonbank project is a mineral sands mine proposed for the Wimmera region of western Victoria, near the town of Dooen. Mineral sands operations extract heavy minerals like zircon, titanium and rare earth elements found in sand deposits. WIM Resource is a Chinese-backed company that has pursued the project for several years. The Horsham Rural City Council has consistently opposed the mine, criticising the company's engagement with locals. The licence approval follows environmental and regulatory assessments at both state and Commonwealth levels.

Key Perspectives

WIM Resource: The company sees the licence as a major milestone that will bring economic benefits to the region and supply critical materials for modern technologies, including renewable energy infrastructure. Horsham Rural City Council and residents: They are devastated by the decision, believing their concerns about dust, rehabilitation and the freight hub have not been adequately addressed. Mayor Brian Klowss has expressed deep scepticism about the company's rehabilitation plans. Resources Victoria: The regulator maintains it conducted a diligent assessment and granted the licence on the basis of an acceptable program of work. Conditions around monitoring and operating hours will be finalised later.

What to Watch

  • Whether WIM Resource secures the remaining construction and environmental approvals needed to begin building late next year.
  • The specifics of the work plan assessment, particularly real-time air monitoring protocols and operating hours.
  • The community's response and any potential legal or political challenges to the licence.

Sources

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