Monday 31 July 2006
ABC NT Local News

The Federal Government is moving to fast-track a mining operation at the contaminated Rum Jungle site near Litchfield National Park in the Northern Territory.

Compass Resources plans to mine a mixed ore body at the site for nickel and cobalt.

Federal Resources Minister Ian Macfarlane says the project has been given major project facilitation status, meaning it will be eligible for speedy approvals and extra supports.

Mr Macfarlane expects production to begin next year and says operations could continue for a decade if the company is given approval to mine other deposits at the site.

But the Australian Conservation Foundation (ACF) holds grave concerns over the decision.

The ACF's Dave Sweeney says the decision could make it easier for the company to get permission to mine nearby uranium deposits.

He says the project has been inadequately assessed by both the federal and Territory governments.

"There has not been sufficient detail or sufficient documentation for approving or fast-tracking a project that would lead or may lead to a significant uranium development," he said.

"It's been done in a fraudulent really and staged way where it has not examined the projects consequences and impacts as a whole."

Compass Resources has declined to comment on whether it wants to mine uranium, but says it has followed government assessment processes.