7News investigation sparks major CSG mining inquiry
FIRST ON 7: A coal seam gas company with links to former Labor powerbroker Eddie Obeid has been referred to the New South Wales corruption commission.
The State Government has also announced plans to audit CSG sites across New South Wales.
On Thursday morning, the new NSW Energy Minister, Anthony Roberts, suspended Metgasco's right to drill an exploration well at Bentley in the state's north.
Anthony Roberts revealed exclusively to 7News that he wants to learn more about the company's shareholders, and its links to investigations before the ICAC.
"I was in receipt of some information yesterday with respect to shareholdings and interests within a particular company in NSW and its relationship with respect to matters before ICAC and I've sent that information off to the commission for further investigation," Mr Roberts told 7News.
7News understands that company to which the Minister refers is Australian Water Holdings, a company linked to former Labor Minister Eddie Obeid and that led to the downfall of Premier Barry O'Farrell.
When government investigators drilled down on Metgasco's corporate connections they found a rich seam of interesting characters including, Anthony Bellas, chairman of major Metgasco shareholder.
Bellas is also on the board of Australian Water Queensland, a subsidiary of Australian Water Holdings (AWH), which is under investigation by the ICAC for its links to Obeid, a former energy minister.
"When I came to this portfolio I was determined to clean it up," Anthony Roberts said.
He confirmed that he has written to the Commissioner of ICAC concerning the shareholders of Metgasco Limited.
"We are suspending operations of the well at Bentley because of failures to comply with certain conditions," Anthony Roberts told 7News on Thursday.
The office of Coal Seam Gas informed Metgasco of the intention to drill on the grounds that it did not fulfill a condition of its exploration licence, to undertake genuine and effective consultation with the community, which is required.
But Mr Roberts said that the move would not rule out the exploration well permanently.
"That's not for me to say whether anything moves ahead there. There are processes that are open and transparent."
"My department at arm's length has made the decision and my department at arm's length would make the decision as to whether they are compliant or not into the future."
Eighty-five percent of people in the NSW Northern Rivers region opposed coal seam gas mining, and protestors were delighted to learn of the Minister's intervention.
The minister's overnight suspension of Metgasco's drilling has effectually stopped what was shaping up to be a 'civil war'.
Thousands of community members and more than 800 police officers, including the riot squad were expected to face off at the drilling site known as the Bentley blockade.
"Coal seam gas is a corruption in itself and I look forward to dancing on the grave of coal seam gas in NSW," Reverend Jim Nightingale told 7News. "So yes, it's good news, good news for everyone."
Lismore MP Thomas George, whose son Stuart works for Metgasco said there were a lot of people who supported the well.
"I am very proud of the way I have represented my community and if anyone has any concerns about that they have appropriate authorities to take those concerns to," Mr George said on Thursday.
Whilst Lismore Mayor Jenny Dowell said she feared the 'war might not be over', despite today's 'win'.
"It is a suspension, I'm not fully celebrating at this stage. I know there will be a good process and I really congratulate the minister for the process, but I think this is only one thing," Ms Dowell said.
"We've got other mining companies in this area with licences, there's the potential for thousands of wells, this is only the first."
Metgasco shares have been placed in a trading halt.
