The long-standing community group fighting against Hume Coal’s plans to mine under Sutton Forest in the Southern Highlands has folded, saying it is unable to pay a court costs order running into the hundreds of thousands of dollars.
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The Southern Highlands Coal Action Group (SHCAG) has announced it will put the company behind it into liquidation, sending out its last newsletter on Friday.
This follows an unsuccessful court challenge to the consent given for drilling some exploration bores on farmland at Sutton Forest.
SHCAG had tried to overturn the validity of a consent given to Hume Coal to drill 25 exploration bores.
This case failed, and SHCAG filed a notice of appeal, but costs were awarded in the interim against SHCAG in favour of the applicants, Hume Coal and the Minister for Resources and Energy.
Group convenor Peter Martin told members the Government claimed costs of $108,000 but Hume Coal claimed costs of about $381,500, demanding SHCAG Pty Ltd pay $267,000 within nine days.
“Given that the funds are not available, the directors of SHCAG Pty Ltd have had no option but to place SHCAG Pty Ltd into voluntary liquidation,” Mr Martin said.
But a spokeswoman from Hume Coal said the nine-day deadline was for agreement to pay, not the payment itself.
“The court required the costs to be agreed by SHCAG or assessed by an independent assessor,” she said.
“The amount we proposed is substantially less than the actual legal costs incurred and SHCAG was given nine days to indicate their agreement. In the absence of an agreement as to the amount, all three parties are required to appoint an independent assessor to determine the fair amount.”
Hume Coal, which is owned by Korean steelmaker POSCO, is now a creditor of SHCAG Pty Ltd.
The website and database of members will be shut down, but it is unclear what will happen to another court case SHCAG has on foot against Hume Coal.
Mr Martin, one of a group of landowners who have resisted the miner’s plans to mine under several multimillion-dollar properties, said the battle was not over.
“The fight against Hume Coal … and its plans to build a massive new underground mine in Sutton Forest continues,” Mr Martin said.
“I will continue to be leading the charge as a spokesman for the Southern Highlands community. I trust that many other former SHCAG supporters and volunteers will continue to offer your help and support.”
Two more environmental groups have started up – called Battle for Berrima group and Water Not Coal.
