Re Fitzgerald & Anor

The Land Court of Queensland was asked to decide the compensation that should be paid to NBT Pty Ltd for a mining lease application by Kay Frances Fitzgerald and Dennis Bernard Fitzgerald. The application for Mining Lease 20394 was lodged on 30 June 2003, and the applicants sought a 21-year lease over an area of 17.67 ha for gold and silver mining and infrastructure. Section 281 of the Mineral Resources Act 1989 requires that compensation be determined by the court if no agreement has been reached between the parties. The court was required to consider the relevant factors set out in section 281(3) of the Act, including the size of the lease, the term of the lease, and the use of the land, among others. The court also had to determine the method of assessment, which was found to be flexible and dependent on the specific circumstances of each case.

The court considered the small area of the lease and the lack of formal valuation evidence. It noted that the land owner had lost the use of the lease area for the term of the lease and that prior determinations and agreements for leases and claims in the Mareeba area ranged from about $5 per hectare per year to $15 per hectare per year. The court awarded $5 per annum per hectare for the term of the lease, resulting in a total compensation of $1,940, and an additional $50 for access. The court ordered the miner to pay the total compensation in two installments, with $1,065 payable within three months of the notification of the grant of the mining lease by the Mining Registrar, and the balance payable five years from the date of the grant of the mining lease. The court made no order for costs.

In summary, the Land Court of Queensland determined the compensation payable to NBT Pty Ltd for the mining lease application by Kay Frances Fitzgerald and Dennis Bernard Fitzgerald. The court considered the relevant factors set out in section 281(3) of the Mineral Resources Act 1989 and awarded compensation of $1,940 plus an additional $50 for access. The court ordered the miner to pay the total compensation in two installments and made no order for costs.