Rio Tinto waits for green light on $1.3b Weipa mine expansion

Rio Tinto Alcan expects construction of its $1.3 billion bauxite mine expansion near Weipa to start this year.

The company has delivered its final environment impact statement to the Federal Government and is hopeful of approval of South of Embley for a construction start before the wet season begins in November.

Federal Environment Minister Tony Burke has 40 working days to assess the EIS, which gives him until May 17. The company then needs to get board approval to proceed.

While Rio Tinto Alcan is not commenting on the EIS, the report says "it is anticipated that construction would commence in or about 2013 subject to the grant of relevant environmental or other regulatory approvals and the determination of internal investment approvals for the project by Rio Tinto."

"Project-related bauxite shipping would be expected to commence in or about 2016 (or approximately three years after the commencement of construction) subject to the grant of relevant environmental or other regulatory approvals, the determination or internal investment approvals for the Project by Rio Tinto and the construction schedule," it said.

The EIS said during construction 950 people would be hired on the $1.32 billion project, injecting $264 million into the Weipa economy and $527.9 million in the Far North.

At full production of 50 million tonnes a year 1346 people, including contractors, would be employed, with $1.5 billion being spent each year across Australia.

A key component of the final EIS demanded by Mr Burke is the impact of ships carrying the bauxite through the Great Barrier Reef between Weipa and the refineries at Gladstone and Yarwun. The EIS said there would be a maximum of 60 ships a year or 0.4 per cent of all shipping movements through the inner Reef passages, an increase of 30 a year.

"Based on the outcomes of this assessment, coupled with the relatively small increase in shipping activities and the fact that, in over 40 years, there have not been any shipping incidents causing environmental harm in the Commonwealth Marine Area (CMA) associated with RTA-owned or contracted vessels, the impacts of project-related shipping on the CMA were determined to be negligible," it said.

It concludes that with the proposed avoidance and mitigation measures, the impacts with the construction and operation of the project on all listed threatened species, non-avian and avian migratory species as well as the Reef, would "not be significant".

Mr Burke said the final EIS must address the concerns raised during the public consultation period.

"I now have 40 business days to make a decision on whether or not this project is acceptable under national environmental law," he said.

"I am absolutely committed to the protection of the Great Barrier Reef, the largest living thing in the world and one of the planet's most important environmental assets."