Leichhardt remains confident it will be able to deliver its $280 million Pilbara salt mine by 2027, despite news today the plan would be subject to a public environmental review.
Leichhardt remains confident it will be able to deliver its $280 million salt mine in the Pilbara by 2027, despite news today its environmental impact would be subject to the highest possible level of scrutiny by the environmental watchdog.
Last month, the Subiaco-based company lodged plans to clear flora and fauna across its 14,300-hectare site to construct a concentrator pond, crystalliser pond, and processing and desalination plants as part of its Eramurra Solar Salt Project west of Karratha.
The project, which was awarded lead agency status by the state government in September last year, would involve using seawater and solar evaporation to produce 3.8 million tonnes of concentrated salt annually.
Leichhardt had planned to reach a final investment decision and begin construction over a four-month period in 2023 in order to begin harvest in 2025.
It had also planned to build a 1,500-metre trestle jetty at Cape Preston East to facilitate exports by 2027 ahead of the anticipated global salt shortfall of 20mt per year.
But the proposed site sits adjacent to the state protected Pilbara Inshore Islands Nature Reserve, which is home to at least 76 significant fauna species and is an important breeding ground for migratory seabirds and marine turtles.
In its submission to the EPA in July, the company acknowledged the clearing required had the potential to impact flora and ecological communities and alter the surface water regime and that Aboriginal heritage and cultural values likely still existed in the area.
In a determination published today, EPA chair Matthew Tonts found the proposal required a detailed assessment to determine the extent of its impacts and how they could be managed.
He said changes in surface water flows, bitterns disposal, increased light, increased sedimentation during construction and leaks had the potential to impact on marine fauna and regionally significant mangroves.
Additionally, he said changes to public and traditional owner access to the area, recreational uses and Aboriginal sites and heritage places warranted further review.
The EPA has requested the company lodge an environmental scoping document and an environmental review document, which will be released for eight weeks for public review.
The decision is not appealable.
Leichhardt chief executive Nathan Douglas told Business News the company welcomed the review and intended to continue working with environmental consultants and government departments and agencies to fulfill the necessary criteria.
As the project matures, Mr Douglas indicated the company would continue to optimise our future land use of concentrator fields, crystalliser ponds and port facilities to support its base case scenario of 3.4 million tonnes per annum.
“Our project schedule is in line with all the EPA review periods and documentation requirements and, subject to approvals being obtained and board final investment decision, the first loaded vessel for our quality solar salt is on track for 2027," he said.
