Coalition nuclear policy leaves traditional owners of Kakadu uranium mine worried

Mirrar traditional owner Corben Mudjandi does not want his land at Jabiluka to be mined. (ABC News: Jane Bardon)

Mirrar traditional owner Corben Mudjandi is desperate for his spectacular land at Jabiluka to be incorporated into Kakadu National Park, which surrounds it, rather than mined for its uranium.

"Its sacred to us, and it's a piece of human history, 65,000 years, we want Jabiluka not mined; we want to show people the beauty of nature, and what we call home," he said.

Mr Mudjandi is worried the federal Coalition's plan to open nuclear plants if it wins government could drive demand for Jabiluka's uranium.

The Mirrar are also concerned that almost a year after Energy Resources of Australia (ERA) applied to extend its uranium mining lease over Jabiluka for another decade, the Northern Territory and federal governments have not yet decided whether to reject or approve it.

ERA's current lease expires on August 11.

"The government are following process, but of course we hope they don't support the application extension," Mr Mudjandi said.

Senior Mirrar traditional owner Yvonne Margarula said she was worried that although ERA's Jabiluka lease agreement enabled traditional owners to veto mining, they felt under constant pressure to change their minds.

"The mining companies might come back asking again and again, it's annoying them asking more, enough is enough, so I hope the government is going to help us," she said.

Increased demand for uranium under Coalition nuclear plan

Professor of Archaeology at Griffith University Lynley Wallis has helped the Mirrar document hundreds of rock art sites on the Jabiluka lease.

She is also worried by the Coalition's nuclear industry plan.

"It is going to be powered by uranium and it's hard to believe that Australia, with its rich uranium deposits would go offshore for its uranium," she said.

"Which does mean that deposits such as Jabiluka, there may be increased pressure to use those resources in the future."

Professor Wallis said the Mirrar had a strong case for Jabiluka to be incorporated into Kakadu instead of mined, because of its 65,000 year-old-evidence of occupation.

"Archaeologically the escarpment that's encapsulated within the Jabiluka mineral lease is unparalleled," she said.

"There are hundreds of rock shelter sites, almost all of which have paintings in them, of which are incredibly well preserved, and then there are amazing objects that have been cached in those rock shelters, ceremonial wooden objects, grinding stones, spear points and scrapers.

"There are human remains buried as well, which are quite remarkable, and in an incredibly well preserved condition."

Lease extension won't lead to mining, ERA says 

ERA is arguing that extending its Jabiluka lease will not result in uranium mining unless Mirrar traditional owners change their minds.

That is because the lease agreement includes a traditional owner right to veto mining.

"If the lease is not renewed, the agreement and development veto lapses," ERA said.

"ERA believes the agreement provides the Mirarr traditional owners with the best mechanism to control the future of Jabiluka."

Lynley Wallis said the Jabiluka mining lease did not provide adequate protection.

"While a company holds a mineral lease over Jabiluka it is possible for them to apply to develop the resources in that land, and any development would pose imminent threat to the cultural sites that are within the lease," she said.

While some of ERA's minority shareholders want to keep the Jabiluka lease, which they estimate is worth $50 billion, its majority shareholder Rio Tinto does not.

Jabiluka is ERA's only potentially valuable asset, but Rio Tinto estimates the rehabilitation costs would be much more than potential profits.

The cost of ERA's rehabilitation of its neighbouring closed Ranger Uranium Mine on the Mirrar's land has now blown out to more than $2.5 billion.

ERA is expected to run out of funds by September, and Rio Tinto has promised to fund Ranger's rehabilitation.

But the ABC understands Rio Tinto is concerned ERA's application to extend the Jabiluka lease is worrying Mirrar traditional owners so much, that they could delay further agreements needed on how the Ranger mine rehabilitation continues, adding to the project's soaring costs.

Dave Sweeney, the Australian Conversation Foundation's nuclear policy spokesman, has called on both governments to end the prospect of mining at Jabiluka.

"ERA are not making any money," he said.

"They should be focused on getting the assured financial capacity on delivering on their legal obligations rather than appeasing minority shareholders in a fanciful push for a project that will never happen, but increases pressure on traditional owners who've had too much for too long."

A spokesman for the federal Resources Minister Madeleine King said it was up to the NT government whether to renew ERA's lease.

The spokesman said when Ms King provides her advice to NT government, she would "consider information about Jabiluka in good faith and with appropriate consultation".

The NT Mining Minister Mark Monaghan would not explain why his government had not made a decision on the lease.

"We're not delaying the decision, the decision is going through what is a process," he said.

NT Opposition leader Lia Finocchiaro has backed ERA's argument on why the lease should continue.

"Importantly that maintains the veto rights for the Mirrar people which we believe continues to be a very important right for them to have," she said.