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Magnetic South's proposed Gemini coal mine near national parks grinds life to a halt for neighbours

Living in limbo. (ABC Capricornia: Inga Stünzner)

Jason Steele loves showing off the Blackdown Tablelands National Park, a spectacular sandstone plateau that rises abruptly from the plains on Ghungalu country in central Queensland. 

At a lookout, he points to the flat below.

"The vista is an area of natural beauty, but at the base of it, it is pretty much going to be a coal mine," Mr Steele says.

This is the site for Magnetic South's proposed Gemini project, an open-cut coal mine with a rail loop and loading network, near the Dingo township and 120 kilometres west of Rockhampton.

Blackdown Tablelands on Ghungalu country has become a popular tourist destination. (ABC Capricornia: Inga Stünzner)

Magnetic South's manager James Xu says its 25-year project will deliver big economic benefits to the community, the state and the nation through jobs, royalties and taxes.

"We're a company that strives to build a community," Mr Xu said. 

But for Mr Steele, who runs the small tourism enterprise, Red Rock, the business's future is now on hold.

"We would have attracted in excess of 1,000 groups to the area over the past 12 months," he said.

Mr Steele says the rail loop will be a couple of hundred metres from these campgrounds. (ABC Capricornia: Inga Stünzner)

"We won't be able to advertise to get school groups out or kid groups because of that potential dust and noise pollution, which is only a couple of hundred metres away."

Heading to Land Court

Allan and Jane Vaughn, who moved to the region almost 40 years ago, own organic beef property Red Rock Park, where they run the tourism business with Mr Steele. They also have mining accommodation.

Their dealings with the company go back to 2015, when Magnetic South acquired a pre-existing tenure that sat over their property. 

Allan and Jane Vaughn are the only landholders objecting to the Gemini project. (ABC Capricornia: Inga Stünzner)

Mrs Vaughn said Magnetic South kept them in the loop for the next couple of years, but that all changed when the miner offered to buy Red Rock Park at a sum the couple rejected as too low.

"We basically haven't had any communication with them since," Mrs Vaughn said.

In October 2019, Magnetic South lodged its application for an environmental authority (EA) with the Department of Environment and Science. 

This included a mining lease over the Vaughns' property. 

The Vaughns engaged lawyer Gerard Batt to negotiate compensation several months later, but Mr Batt said communication with the company ceased in January last year. 

The proposed Gemini mine is flanked by two national parks and a state forest.  (Supplied: Department of Environment and Science)

Mr Vaughn said Magnetic South moved its mining lease to its own freehold property next door. 

"They've shifted it … just enough so we're not joining the mine, so we get no compensation whatsoever," Mr Vaughn said.

Their lawyer, Mr Batt, said it would be difficult for them to sell because the current situation suggested the value of the couple's property had declined.

The Department of Environment and Science (DES) approved Magnetic South's application for an environmental authority in December last year.

The Vaughns lodged their objection in February and their case will go to the Land Court in August.

"We don't know whether we'll get black coal dust all over us, we don't know whether we'll get noise from the railway line and the coal lay-out facilities are not even 2km from the house," Mr Vaughn said.

"They've got a lot more money than I've got, and I guarantee they're using it."

The Vaughns are concerned they may lose their organic beef status if coal dust enters their property. (ABC Capricornia: Inga Stünzner)

Mrs Vaughn said this could also impact their organic status, which required annual soil audits to show there were no chemicals.

Magnetic South's manager James Xu said the company had not been in contact with the Vaughns since they submitted their objection to the EA because it was now following legal process.

Mr Xu said the company moved the mining lease area from the Vaughns' Red Rock property because it "was refined over time, based on resource, economic, engineering and environmental studies".

Walton Coal has withdrawn its EIS, but Magnetic South says it's "investigating potential opportunities".  (Supplied: Department of Environment and Science)

The Vaughns' land is also flanked to the west by Walton Coal, and although that mine withdrew its Environmental Impact Statement (EIS) in May, Mr Xu said Magnetic South was "investigating the potential opportunities that Walton may provide".

"I'm not against coal mining. I am just against how they get to where they want to go without jumping through the hoops," Mr Vaughn said. 

"I want them to be a bit more accountable."

Flanked by national parks

Retired engineer Trevor Naughton lives next to Taunton National Park, a scientific reserve known as Wallaby Lane that protects the endangered bridled nail-tail wallaby.

Bridled nail-tail wallaby numbers have more than doubled in Taunton National Park in the past five years. (Supplied: Queensland government)

Mr Naughton gifted part of his land to the reserve.

The Gemini project lease borders Taunton National Park, as well as Mr Naughton's property, and Walton State Forest is 6km to the west.

"If they start the coal, it will interfere with Wallaby Lane, and our biggest problem is our property is worth nothing unless you'd like to buy a coal mine," Mr Naughton said. 

"We've been left hanging, and that's the worst part.

"What do I do? Do I do more fencing and improve my waters? Am I going to throw good money after bad?" 

Trevor Naughton says if the mine goes ahead his property will be worth nothing. (Supplied: Trevor Naughton)

Mr Naughton's property is also bordered by Walton Coal.

If it does take over Walton Coal, Magnetic South would most likely use Gemini's proposed rail loop and load-out facility, which will be within 4km of Mr Naughton's property and within 1 kilometre of the Vaughns'.

Who is Magnetic South?

Magnetic South is owned by Mr Xu's uncle, Sam Chong, the founder of and a shareholder in the Jellinbah Group, which operates two coal mines in central Queensland: Jellinbah Mine, north-west of Dingo, and Lake Vermont, near Dysart. 

If Magnetic South wins its case over the Vaughns in the Land Court, its next step would be to apply for a mining lease through the Department of Resources and then the Resources Minister for a final tick of approval.

The Vaughns say the situation has taken an emotional and financial toll. (ABC Capricornia: Inga Stünzner)

The 25-year project anticipates digging each year 1.9 million tonnes of metallurgical and pulverised coal injection coal, which can be used as either thermal or steel-making coal.

The annual tonnage is just shy of the threshold needed to trigger an EIS – a rigorous assessment of environmental, social and economic impacts.

A DES spokesperson said a lack of EIS did not provide an exemption from the regulator "undertaking rigorous environmental assessment".

A conceptual graphic of Magnetic South's Gemini project, which borders Taunton National Park. (Supplied: Department of Environment and Science)

"In this instance, it was determined that the application required an EA that was subject to public notification and robust environmental assessment," the spokesperson said.

"This included the assessment of impacts to flora and fauna in the area as well as other environmental values such as noise, air, surface water and ground water."

Asked about the proximity to the national parks, Mr Xu said the company was concerned with potential impacts.

"That's why we've done all the flora and fauna ecology – everything that the EA asks us to do," he said.

He said Magnetic South had taken in a larger study area than the proposed mining lease and found there was no preferred habitat for the nail-tailed wallaby.

Taunton National Park was set up for the endangered bridled nail-tail wallaby. (ABC Capricornia: Inga Stünzner)

If the government saw any potential impacts on flora or fauna, it would not grant the lease, Mr Xu said.

Flying under the radar

Central Highlands Mayor Kerry Hayes said the council knew very little about the mine project as there had not been extensive community consultation.

Mr Hayes said he had reservations about the proximity of the Gemini project to national parks, despite the mining company following state government guidelines.

Blackdown Tablelands is of great cultural significance to the Ghungalu. (ABC Capricornia: Erin Semmler)

"Blackdown Tablelands is a tremendously important tourism location for central Queensland and it's a very, very important Indigenous area," Mr Hayes said.

"I think they should do some really, really careful consideration of their impacts and that it should be at a local level and making sure that not just ticking boxes with the state is good enough."

Consultation – but not locally

Ghungalu elder Steve Kemp has spent more than half his life on country, living nearby at the Indigenous community of Woorabinda.

He was unaware of the Gemini project until contacted by the ABC, and discovered Magnetic South had liaised with the cultural heritage group based in Brisbane.

Steve Kemp says those living in Woorabinda have not been properly consulted. (ABC Capricornia: Inga Stünzner)

Mr Kemp said no-one locally had been consulted. 

"The people of Woorabinda have been living there all their lives, so it's pretty disgusting," he said.

"When they do cultural clearance, they bring in people from Brisbane or whatever that have never even lived in the area."

Mr Kemp said he was concerned for the wildlife, particularly the bridled nail-tail wallaby and impacts of coal dust on their vegetation.

Magnetic South response

Mr Xu said Magnetic South had bought nine properties covering 260 square kilometres since 2016.

He said the company has been in communication with the community, including the Ghungalu cultural heritage group and the Woorabinda Pastoral Company, the Central Highlands Regional Council and the Dingo reference group.

Mr Xu said under the environmental impact assessment provided to DES, the company had undertaken noise and air baseline and impact studies.

Mr Xu said it also carried out visual amenity assessments in terms of its location near national parks, which DES had assessed, and proposed management and mitigation measures as part of the EA application and assessment.

The next community meeting will be held in Dingo on July 21.

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