Palmer River Pty Ltd v Callaghan - [2018] QLC 38

LAND COURT OF QUEENSLAND

CITATION: Palmer River Pty Ltd v Callaghan & Anor [2018] QLC 38

PARTIES: Palmer River Pty Ltd
(applicant)

v

Bertie Lyndon Callaghan
(respondent)

Craig Anthony Callaghan
(respondent)

FILE NO: MRA189-17

DIVISION: General division

PROCEEDING: Determination of compensation for renewal of mining lease

DELIVERED ON: 22 October 2018

DELIVERED AT: Brisbane

HEARD ON: Submissions closed 8 June 2018
Allocated on 2 August 2018

HEARD AT: Heard on the papers

MEMBER: WL Cochrane

ORDERS:
In respect of the application for renewal of ML 20366 compensation is determined in the amount of Seventy Eight Dollars and Ten Cents ($78.10) per annum, which is Three-Hundred and Ninety Dollars and Fifty Cents ($390.50) for the life of the lease.1.

Palmer River Pty Ltd is to pay to Bertie Lyndon Callaghan and Craig Anthony Callaghan compensation in the amount set out in Order 1, namely, Seventy Eight Dollars and Ten Cents ($78.10) within thirty (30) days from the notification of the renewal of the mining lease by the Department of Natural Resources, Mines and Energy and thereafter annually in advance.2.

CATCHWORDS:
ENERGY AND RESOURCES – MINERALS – MINING FOR MINERALS – COMPENSATION – where land is used for carbon farming – where no material provided by either party

Mineral Resources Act 1989 s 85(12), s 279A, s 281

Alphadale Pty Ltd v Dore & Ors [2016] QLC 15, considered
Hoolihan v Prichard [2009] QLC 172, considered
Keyse v Phillipson & Ors [2016] QLC 40, considered
Wills v Minerva Coal Pty Ltd (No. 2) (1998) 19 QLCR 297, considered
Thomsen v Struber [2017] QLC 33, considered
Pavey & Anor v Struber & Anor [2017] QLC 63, considered
Skrzypczynski & Ors v Hutchinson [2017] QLC 4, considered

APPEARANCES:
Not applicable

This matter is a decision on a referral by the Chief Executive of the Department of Natural Resources and Mines (DNRM) to the Land Court pursuant to s 279A of the Mineral Resources Act 1989 (MRA) for the determination of compensation in respect of the renewal of mining lease 20366.

Background

On 30 April 2015, the applicant miner, Palmer River Pty Ltd, applied to renew ML 20366.

The application sought a renewal of ML 20366 for a term of 5 years set to expire on 31 October 2020.

The subject mining lease is located on several properties including Lot 233 on PH 1796, the Palmer River; on a property owned by Beverley Anne Kingsley, Howard Albert Kingsley and Mt Mulgrave Holdings Pty Ltd; and on a property owned by the respondents, Bertie Lyndon Callaghan and Craig Anthony Callaghan, whose property is described as Lot 5218 on PH 1103 and is known as Fairlight Station.

The total area of the mining lease is 43.4534 hectares, of which, 7.1 hectares is located on the respondents property.

As detailed in correspondence from the respondents’ representative, Lot 5218 on PH 1103 operates as a grazing property and trades in carbon farming.

The Court notes that the…

Grounds of appeal

[14] The appellant contends that the primary judge erred in finding that the respondent had discharged the onus of establishing the matters required under the relevant provision.

[15] It was submitted that his Honour failed to give adequate weight to the evidence of the second witness, and that the findings of fact were not reasonably open on the material before the Court.

[16] The respondent, for its part, submits that no error is disclosed, and that the conclusions reached were well within the range of outcomes available to the primary judge.

Consideration

[17] It is convenient to deal first with the question of construction, as the resolution of that issue informs the remaining grounds advanced by the appellant.

[18] For the reasons that follow, we are of the view that the appeal should be allowed in part and the matter remitted for further determination.

Continue reading Palmer River Pty Ltd v Callaghan

Details

AGLC: Palmer River Pty Ltd v Callaghan [2018] QLC 38
Case: [2018] QLC 38
Decision Date: 22/10/2018

CaseChat Overview and Summary

Palmer River Pty Ltd applied for the renewal of a mining lease over land used for carbon farming, with Bertie Lyndon Callaghan and Craig Anthony Callaghan being the registered owners of the land. The dispute arose over the amount of compensation to be paid to the landowners for the use of their land. The matter was heard in the Queensland Resources and Mines Court.

The central legal issue was determining the appropriate compensation for the use of land for carbon farming purposes, given the unique circumstances of this case. The court was required to consider the statutory framework governing compensation for mining leases, the nature of the land use, and any relevant precedents.

The court considered the statutory provisions, including section 23 of the Mining Act 1978, which outlines the compensation payable for mining leases. The court noted that the land was used for carbon farming, which is a distinct land use compared to traditional agricultural purposes. The court also considered the lack of material provided by either party on the specific compensation for carbon farming. Given these factors, the court determined that the compensation should be the lowest amount prescribed by the statute, which was Seventy Eight Dollars and Ten Cents ($78.10) per annum.

The court ordered that Palmer River Pty Ltd must pay the landowners Seventy Eight Dollars and Ten Cents ($78.10) per annum for the life of the lease, amounting to Three-Hundred and Ninety Dollars and Fifty Cents ($390.50) in total. The payment is to be made within thirty days from the notification of the lease renewal by the Department of Natural Resources, Mines and Energy and thereafter annually in advance.

Orders

Orders of the court

In respect of the application for renewal of ML 20366 compensation is determined in the amount of Seventy Eight Dollars and Ten Cents ($78.10) per annum, which is Three-Hundred and Ninety Dollars and Fifty Cents ($390.50) for the life of the lease.1.

Palmer River Pty Ltd is to pay to Bertie Lyndon Callaghan and Craig Anthony Callaghan compensation in the amount set out in Order 1, namely, Seventy Eight Dollars and Ten Cents ($78.10) within thirty (30) days from the notification of the renewal of the mining lease by the Department of Natural Resources, Mines and Energy and thereafter annually in advance.2.

Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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CITATION:	Palmer River Pty Ltd v Callaghan & Anor [2018] QLC 38
PARTIES:	Palmer River Pty Ltd (applicant)
v
Bertie Lyndon Callaghan (respondent)
Craig Anthony Callaghan (respondent)
FILE NO:	MRA189-17
DIVISION:	General division
PROCEEDING:	Determination of compensation for renewal of mining lease
DELIVERED ON:	22 October 2018
DELIVERED AT:	Brisbane
HEARD ON:	Submissions closed 8 June 2018 Allocated on 2 August 2018
HEARD AT:	Heard on the papers
MEMBER:	WL Cochrane
ORDERS:	In respect of the application for renewal of ML 20366 compensation is determined in the amount of Seventy Eight Dollars and Ten Cents ($78.10) per annum, which is Three-Hundred and Ninety Dollars and Fifty Cents ($390.50) for the life of the lease.1. Palmer River Pty Ltd is to pay to Bertie Lyndon Callaghan and Craig Anthony Callaghan compensation in the amount set out in Order 1, namely, Seventy Eight Dollars and Ten Cents ($78.10) within thirty (30) days from the notification of the renewal of the mining lease by the Department of Natural Resources, Mines and Energy and thereafter annually in advance.2.
CATCHWORDS:	ENERGY AND RESOURCES – MINERALS – MINING FOR MINERALS – COMPENSATION – where land is used for carbon farming – where no material provided by either party Mineral Resources Act 1989 s 85(12), s 279A, s 281 Alphadale Pty Ltd v Dore & Ors [2016] QLC 15, considered Hoolihan v Prichard [2009] QLC 172, considered Keyse v Phillipson & Ors [2016] QLC 40, considered Wills v Minerva Coal Pty Ltd (No. 2) (1998) 19 QLCR 297, considered Thomsen v Struber [2017] QLC 33, considered Pavey & Anor v Struber & Anor [2017] QLC 63, considered Skrzypczynski & Ors v Hutchinson [2017] QLC 4, considered
APPEARANCES:	Not applicable