Terramin Australia Limited (ASX: TZN) is appealing the rejection of its Bird in Hand Gold Project (BIHGP) in South Australia, citing contradictions between the ministerial decision and the Department for Energy and Mining’s (DEM) assessment.

The company claims that DEM confirmed the project meets all environmental and regulatory requirements, despite SA Energy and Mining Minister Tom Koutsantonis’s decision to refuse the mining application in February 2023.

This refusal was followed by a proclamation effectively banning future mining at the site.

Terramin argues that extensive peer-reviewed hydrological studies show no impact on local aquifers, addressing concerns raised by nearby landholders and wineries.

The company emphasises its commitment to best-practice water management.

The BIHGP is projected to contribute $220 million to South Australia’s economy and create 740 jobs, including 140 direct and 600 indirect positions.

Additionally, the project is expected to generate $42 million in mineral royalties for the state.

Despite the setback, Terramin remains committed to advancing the project.

The company is engaging with stakeholders to provide clarity on the BIHGP‘s potential benefits and environmental safeguards.

The appeal highlights tensions between economic development and environmental concerns in South Australia’s mining sector.

As the state pursues economic growth and job creation, the outcome of this appeal could have significant implications for future mining projects in the region.