The Environmental Protection Authority (EPA) has recommended environmental approval for the planned expansion of Covalent Lithium’s Mt Holland operations, placing the protection of vulnerable Western Australian fauna at the heart of its decision.
Covalent Lithium is seeking to double the Earl Grey lithium project’s processing capacity to 4.4 million tonnes per annum. The expansion includes a duplication of the processing plant, additional tailings storage, and expanded infrastructure to support the growing global demand for battery minerals.
The EPA’s assessment centred heavily on the potential impact of clearing 1,443 hectares of native vegetation on two vulnerable species: the malleefowl and the chuditch, both listed as vulnerable species under the Environment Protection and Biodiversity Conservation Act 1999 and the Biodiversity Conservation Act 2016.
EPA Chair Darren Walsh noted that while the proponent designed the layout to utilise existing disturbed land for 20 per cent of its footprint, direct impacts on foraging and breeding habitats remained a concern.
“We recognise that malleefowl and chuditch may be directly impacted by clearing activities, so the EPA has recommended conditions which include undertaking pre-clearance inspections by fauna spotters and exclusion zones around active foraging and breeding habitats,” Walsh said.
To counterbalance the environmental footprint, the EPA has backed an offset strategy focused on land restoration and an aggressive predator control program. A key component involves the Jilbadji Nature Reserve, a biodiversity hotspot endemic to the Goldfields region.
Recognising that feral cats and foxes pose the greatest threat to malleefowl and chuditch populations, the EPA has proposed an offset that implements predator control across the entire reserve.
This approach, managed in coordination with the Department of Biodiversity, Conservation and Attractions (DBCA), aims to deliver a net environmental benefit that outweighs the loss of habitat at the mine site.
The expansion represents a major scaling-up of Covalent Lithium’s footprint. In addition to the plant duplication, the proposal includes expanded waste rock landforms and tailings facilities, increased accommodation village capacity and new conveyors between the mine pit and processing plant to improve efficiency.
The company also plans to add an evaporation pond and changes to water disposal locations.
By assessing the expansion in the context of the existing project and cumulative regional impacts, the EPA concluded that the proposal can proceed provided the rigorous fauna management and offset conditions are met.
The recommendation now moves toward final ministerial approval, with a three-week appeal period that closes on May 28.












