Wollongong Coal's "dangerous plans" to extend mining at Russell Vale need to be rejected, according to a protest group.
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The embattled miner has lodged plans to extend its workings at the northern suburbs mine, which Planning Minister Rob Stokes referred to the Independent Planning Commission earlier this month.
Wollongong Coal is weighed down with just under $1 billion in debts, and the Fair Work Commission heard this year it was in a "dire financial position" and showing signs of potential insolvency.
Getting approval is the company's only option to become profitable again after the Wongawilli mine was closed.
But environmental group Protect Our Water Alliance doesn't want to see that approval granted and they let their opposition be known as Wollongong Coal executives and shareholders met for the annual general meeting.
Spokesman Nick Southall said the planning commission needed to knock back the proposal.
"Wollongong Coal's dangerous plans should now be halted," Mr Southall said.
"The NSW Government and the Independent Planning Commission must call an end to this fiasco and step up to protect our water, our environment, and our community.
"The only way to protect our precious water supply is to ban mining underneath our water catchment."
He said there were no conditions that could be attached to the Russell Vale expansion that would make it acceptable given "they've already failed to meet their obligations in the past".
One oft-cited defence for mine expansions is the extra jobs they create, but Mr Southall said that short-term gain wasn't worth it.
"The benefits of that fairly minimal number of jobs is not worth the costs, the long-term costs to the water catchment, to the environment and the rehabilitation cost to the mine.
"They just don't stack up. This is a company that is almost a billion dollars in debt and quite possibly insolvent."
Wollongong Coal was contacted for comment.
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Glen Humphries
I'm an award-winning senior journalist with the Illawarra Mercury and have well over two decades' worth of experience in newspapers. I cover the three local councils in the Illawarra for the Mercury, state and federal politics, as well as writing for the TV guide. If I'm not writing, I'm reading.
I'm an award-winning senior journalist with the Illawarra Mercury and have well over two decades' worth of experience in newspapers. I cover the three local councils in the Illawarra for the Mercury, state and federal politics, as well as writing for the TV guide. If I'm not writing, I'm reading.
