Government suspends coal exploration licence

Victorian Industry, Energy and Resources Minister Lily D’Ambrosio. (Supplied)

The state government has suspended an exploration licence for a coal project in Moorabool following significant pressure from environment activists.

The Greens and Moorabool Environment Group had been urging the state government to cancel Mantle Mining and Exergen’s exploration licence, which expired yesterday, for the 154 square kilometre Bacchus Marsh Coal Project.

Star Weekly last month revealed the companies had lodged a renewal application and expected the state government to renew their licence.

But Energy and Resources Minister Lily D’Ambrosio today announced it would defer its decision until the government’s coal policy was developed.

“It would be unfair to both the company and local community to make a decision while the review of coal programs and the development of the government’s coal policy is underway,” she said.

The site’s exploration licence will be held in abeyance by the state government.