Alcoa Anglesea Mine Lease Renewal
Alcoa’s coal mine and power station has been operational at Anglesea for over 40 years.
The original 1961 Agreement between Alcoa and the State of Victoria gave Alcoa the right to seek an extension for a further 50 years at the end of the initial 50 year term.
Alcoa informed the former Government in 2008 that it would exercise its option under the 1961 agreement to extend the lease on the Anglesea coal mine.
Alcoa’s decision to exercise its option presented an opportunity for Alcoa and the State to modernise the Agreement, and positive and constructive negotiations between Alcoa and the Victorian Government have taken place.
As a result of these negotiations, the original 1961 Agreement has been modernised to include additional benefits for the local and wider Victorian community.
The new Agreement represents a major step forward in enhancing environmental protections and sustainability in the leased area and Anglesea Heath, as well as delivering economic benefits to both the local Anglesea, Geelong and wider Victorian community into the future.
Alcoa will continue to jointly manage the Anglesea Heath with the Department of Sustainability and Environment and Parks Victoria.
While Alcoa, under the 1961 Agreement, had an automatic option to extend the Agreement for a further 50 years, under the 2011 Agreement any future extension requires the consent of both Alcoa and the State of Victoria.
As part of negotiations on the new Agreement, the Government and Alcoa have agreed to modernise the site’s environmental regulations.
Under the revised Agreement, Alcoa’s Anglesea mine will:
- submit a mine work plan for approval by the Government, mapping out planned mine activities, identifying potential environmental impacts and detailing how any impacts will be managed.
- be limited to less than ten per cent of the leased area (665 hectares out of a total of 7,145 hectares). The current mine area is 419 hectares, and any future mine expansion is limited to 246 hectares, or around three percent of the total lease area.
- be subject to a new environmental review process, based on the Mineral Resources (Sustainable Development) Act, for any future expansion of mining activity within the specified area.
- lodge a $13.94 million bond to ensure proper rehabilitation of the site.
- be subject to the Aboriginal Heritage Act and the preparation of a Cultural Heritage Management Plan.
Local Economic Benefits
The new Agreement ensures that a large employer will continue long term operations at Anglesea and Point Henry in regional Victoria.
This new Agreement supports:
- Around 1,100 direct employees across three operating locations in Geelong and the Surf Coast.
- Total employee and contractor wages of approximately $154 million per annum.
- Maintenance and contractor services valued at approximately $46 million annually, and
- Community sponsorships and support valued at approximately $1 million annually to more than 100 organisations
Plan Of Alcoa Work Plan & 2011 Mine Area
Counties Of Grant And Polworth
Parishes Of Angahook, Jan Juc And Wormbette
Please click the image above to view a larger version in a new window
The large shaded green portion of the map above shows the total area covered by the Alcoa lease (7,145 hectares).
The purple hatched area is the area of the current mine (419 hectares).
The red line extending beyond the hatched area shows the limits on the mining area agreed to by Alcoa (665 hectares).