The fast-track approvals panel has issued a draft decision declining plans to mine the Taranaki seabed.
Trans-Tasman Resources (TTR) proposed extracting 50 million tonnes of seabed material annually for 30 years in the South Taranaki Bight.
Speaking in May, executive chair Alan Eggers said the company had discovered a world-class vanadium resource with the potential to generate $1 billion a year for the economy.
This was reported alongside approval of the project’s application to be considered by the Fast Track Panel.
In its draft decision on Thursday evening, the panel concluded the project posed a credible risk to Māui dolphins, kororā/little penguins and fairy prions.
It also found uncertainty around how extensive the sediment plume and underwater noise from the project would be.
The panel said the plan’s adverse effects were significant enough to outweigh its regional and national benefits.
TTR executive chairman Alan Eggers said he struggled to accept that the panel intended to decline the project’s environmental approvals.
“All the concerns raised by the expert panel were fully addressed in our application, which was supported by leading expert evidence and comprehensive responses to issues raised during the hearings process.”
Eggers said it was difficult to understand why the panel did not accept the evidence presented by the company. TTR has until 19 February to provide its response to the decision.
Chris Bishop, the minister overseeing the Fast Track regime, said the decision is still in draft form, with the final ruling expected on 18 March.
“This is an independent process run by the expert panel, and there is still more of that process to go, including a period for interested parties to provide comment. As such, it would be inappropriate to comment further.”