The Australian government approved an extension to a Glencore Plc thermal coal mine, sparking renewed concerns from environmental groups about the country’s efforts to tackle climate change.
Glencore’s Ulan Coal Mines Pty was given the green light to mine an additional 18.8 million tons of coal and operate the mine for two more years until 2035. Australia is the second-biggest exporter of the dirtiest fossil fuel, after Indonesia, shipping out 209 million tons last year.
The approval underscores the tension for Prime Minister Anthony Albanese, who is promoting Australia’s ambition to cut domestic emissions as it competes with Turkey to host next year’s UN climate summit, even while coal and gas exports remain pillars of the nation’s economy.
“It’s nonsensical to cut climate pollution with one hand while approving new coal projects with the other,” said Climate Council chief executive officer Amanda McKenzie.
Members of the Australian Greens Party also condemned the extension. Glencore said it was a “minor change to the current mine plan” that provides ongoing employment for the current workforce. The Department for the Environment and Water of Australia didn’t immediately respond to request for comment.
Miners have previously argued that Australia’s coal is cleaner because it is of better quality than that produced by rivals such as Indonesia, and that delays to approvals risk jobs and Australia’s reputation as a reliable partner.
The nation’s export earnings from thermal coal are set to fall to about A$22 billion ($14 billion) in the year through June 2027, from A$32 billion in the period to June 2025, according to government forecasts. Volumes are also likely to dip.
(By Keira Wright)
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