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Wollongong Coal admits regulator investigation

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World Coal,

Australian coal company, Wollongong Coal, has confirmed that it is under investigation by the New South Wales mining regulator following allegations that the company is not a “fit and proper person” to hold a mining license.

“This is a company on the bring of insolvency, seeking approval to undertake one of the riskiest mining operations in New South Wales under the catchment that supplies drinking water to our largest city,” said Nic Clyde, NSW Community Coordinator for anti-coal activist group, Lock the Gate Alliance.

Lock the Gate Alliance originally submitted a complaint against Wollongong’s standing to be a “fit and proper person” to hold a mining license last October.

The complaint alleges that the company’s risk of insolvency, poor record on environmental compliance and legal difficulties facing its parent company in India make it unift to hold a mining license under the New South Wales Mining Act.

Aside from confirming that an investigation is underway, Wollongong provided no comment on the specifics of the investigation. It did however assure that it would cooperate full with the mining regulator, calling the allegations “completely baseless”.

The company also indicated it would challenge any ruling against its standing to hold a mining license. “Wollongong Coal reserves the rights to take appropriate action in relation to any determination that it is not a fist and proper person for the purposes of the Mining Act 1992,” the company said.

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