When changing the nature, scope or extent of operations in any
resources project in Queensland (whether coal, metals, petroleum,
gas or otherwise), resource companies may cause a "material
change in circumstance" to occur, which would allow
compensation to be reviewed under Queensland legislation.
A material change in circumstance could arise from attempts to
improve productivity or to minimise costs, or as part of a restart
or expansion of activities in anticipation of a return to better
economic conditions.
Potential effects of a material change in circumstance
Where there is material change in circumstance, compensation,
whether agreed by the parties or determined by the Land Court and
whether paid or not yet paid, is able to be reviewed. Either party
can apply to the Land Court for a review of the compensation. In
practice, the parties will most likely seek to negotiate any
changes to compensation before referring the matter to the Land
Court.
