Shree Minerals Ltd (ASX:SHH) is continuing to work towards obtaining re-permitting for its proposed direct shipping ore (DSO) operation at Nelson Bay River Iron Project (NBR) in northwest Tasmania.
The re-permitting process has this week been delayed again with the Commonwealth Government’s Department of Climate Change, Energy, the Environment and Water (DCCEEW) referring the proposal for assessment under the EPBC Act.
This decision is particularly in relation to the Giant Freshwater Crayfish (A. Gouldi) with the company receiving correspondence in this regard from DCCEEW on Tuesday.
Ongoing delays
Shree’s executive director Sanjay Loyalka said: “We are disappointed that the proposal may now need additional approvals.
"Following a period of ongoing delays in the re-permitting of NBR, we have persevered with efforts over recent years to seek re-permitting against a backdrop of constantly changing and onerous requirements.
"We have diligently worked with the regulators and will engage with the department and with our consultants to progress the formal assessment of the proposal."
The DCCEEW correspondence has been received in response to the company’s correspondence dated April 13, 2022.
EPA Tasmania had previously advised on March 25, 2022, that the current development proposal for the DSO project would be referred to DCCEEW for determination under the EPBC Act.
“Not consistent” with previous approval
Shree has now been advised by DCCEEW that it has reviewed the Development Proposal and Environmental Management Plan dated August 2021 submitted by Shree to the EPA.
In a statement, Shree said: “After careful consideration, the department has determined that the changes in the proposal are not consistent with the EPBC approval previously granted in 2013.
“The department considers that the changes are not within the scope of EPBC Act approval 2011/5846 and holds the view that the proposed varied action should be referred for assessment under the EPBC Act.
“While expressing regret at the extended delay in responding to the company’s correspondence, the department advised that the matter is complex and required careful evaluation to ensure this advice is legally and technically robust.”
Shree to press on
In response, Loyalka said: "The company hopes to get an understanding of the process and timeline for the EPBC assessment once guidance is received from the department and we will continue to work in the best interests of our shareholders to potentially redevelop this company asset.”
While 2022 has been particularly challenging, Shree said it would continue business development efforts “to expand its project portfolio exploration activity for future growth and the creation of significant shareholder value”.