Clarence Modification 8

About Clarence Colliery

Clarence Colliery is an existing underground coal mine located approximately 10 km east of Lithgow and is accessible via Chifley Road. Clarence Colliery is managed by Clarence Colliery Pty Ltd, a wholly owned subsidiary of Centennial Coal Company Pty Limited (Centennial Coal).

Clarence Colliery operates under three separate development consents:

  • IRM.76.GE - development consent issued in 1976 by the then Blaxland Shire Council (now Lithgow City Council)
  • DA 174/93 - development consent issued in 1994 by Lithgow City Council 
  • DA504-00 - State significant development (SSD) consent issued in 2005 by the then Minister for Planning.
     

Key Facts

  • Clarence Colliery commenced mining in 1979 and mining operations produces high quality thermal coal that is supplied to both export and domestic markets.
  • Mining methods at Clarence Colliery are bord and pillar mining with both first workings and partial extraction methods (second workings). 
  • Clarence Colliery is approved to extract up to 3 million tonnes of coal per year.
  • Clarence Colliery employs approximately 300 full-time employees.
  • Clarence Colliery operates 24 hours, 7 days a week. 

Clarence Mod 8 Project 

Clarence Colliery Modification 8 proposes a targeted expansion of the existing underground mining area into Mining Leases 1353 and 1354, using a mix of shortwall, partial pillar and first workings mining methods. The modification also enables the transfer of stored underground mine water to support the Clarence–Wallerawang Pipeline Project, which will provide a long‑term, reliable water source for the region.

Importantly, Mod 8 does not change the mine’s current production rate, workforce, surface infrastructure or transport arrangements. By optimising use of existing approvals and adopting reduced‑impact mining methods, the project aims to maintain operational continuity, support local jobs and deliver regional infrastructure benefits while minimising environmental effects.

The extension supports the ongoing supply of high‑quality, low‑ash thermal coal to domestic and export markets, including Mt Piper Power Station—helping maintain energy reliability during the transition to renewables.

All environmental management, monitoring and compliance frameworks remain unchanged, ensuring continued protection of surrounding natural and community values.

Key Features of the Project

Coal production: Production rate of up to 3 Mtpa

Mining methods: Bord and pillar mining using a combination of shortwall, partial pillar and first workings extraction techniques. Low‑impact mine design that minimises subsidence and protects surface environments.

Employment: No changes to staffing levels—the existing workforce continues to be employed. Secures approximately 300 FTE jobs, with approval for up to 400 FTE. Supports ongoing local employment and skills retention in the Lithgow region. Provides indirect jobs across supply chains, contractors and local service providers.

Project life: Mod 8 aligns with the continuation of underground operations alongside Mod 11, which seeks a five‑year extension of the current consent, to 31 December 2031. Ensures continuity of operations beyond current approval period. 

Economic contribution: Maintains ongoing coal supply for domestic and export markets, supporting NSW’s energy transition and baseload generation needs. Supports regional economic activity through local employment, contractor engagement and supply chain spending. Enables the Clarence–Wallerawang Pipeline Project, which provides wider economic and community water‑security benefits.

Environmental management: No changes to surface infrastructure, water management systems or operating hours. Reduced‑impact mining methods anticipated to lower groundwater inflows and environmental effects compared to previous longwall plans. Comprehensive assessments underway for subsidence, biodiversity, groundwater, water resources, bushfire risk, greenhouse gas, social and economic impacts. Commitment to robust mitigation measures, monitoring and alignment with NSW and Commonwealth regulatory frameworks. 

Project Status

Completed
DPHI engagement and agreement of Modification requirements
In Progress
Prepare Modification Report Stakeholder and Community Consultation
In Progress
Modification Report Submission and Exhibition
Pending
Response to Submissions
Pending
DPHI Assessment Report
Pending
Minister determination - Approval or Refused

Community Consultation

Centennial Coal believes that successful projects are built on collaboration and understanding. That’s why we’re committed to engaging with the community throughout every stage of our development projects.

Community consultation is at the heart of our approach, as we recognise the invaluable insights and perspectives that residents, businesses, and stakeholders bring to the table. By fostering open dialogue and transparent communication, we ensure that our projects meet regulatory requirements and align with the needs and aspirations of the communities we serve. 

Stay in the loop

Contact

approvals@centennialcoal.com.au

0436 034 401

Ron Bush
General Manager
Development & Approvals