[2026] FCA 153
General information, not legal advice.
Federal Court of Australia
2026-02-27
Smith J
Original judgment source is linked above.
(a) after the members of the Claim Group lodged notice of their claims by the 1996 notice, the NLC on their behalf sought to reach agreement with the Northern Territory on compensation including in relation to the conversion of the mine from underground to open-cut;
(b) the Northern Territory stated (prior to 2017) that its position on compensation was that it first required the Claim Group to obtain a determination of native title;
(c) the Claim Group did so, and the Determination was made in 2015;
(d) in 2017, after the Determination, the Northern Territory said it was prepared to engage in discussions to explore settlement options;
(e) in those circumstances, the Northern Territory represented, alternatively the Claim Group assumed, that provided there was first a determination then the Northern Territory would negotiate with them about compensation including as to the mine conversion and it was not necessary to lodge any further notice or claim;
(f) the Northern Territory induced or encouraged the Claim Group to assume the truth of the representation, or alternatively, adopt the assumption, by omitting to inform them (through the NLC) that if they did not lodge a further claim for compensation with respect to the enactment of s 4AB that validated the conversion of the mine, any entitlement to compensation under s 4B(1) of the Project Act would be disputed on that ground;
(g) in reliance on the representation, alternatively, on the assumption, the Claim Group abstained from lodging any further claim for compensation with respect to the conversion of the mine before securing recognition of their native title rights, and instead pursued the proceedings that culminated in the Determination;
(h) the Claim Group will suffer detriment if the representation or assumption as to the ability to seek compensation for the mine conversion is not fulfilled because the Northern Territory now seeks to rely on the absence of a claim within the three-year period under s 4B(2) of the Project Act as a defence to the claim for compensation;
(i) in the circumstances it would be unfair or unjust for the Northern Territory to resile from the position that it remained open to the Claim Group to pursue compensation by taking advantage of the absence of a claim being lodged with the Administrator within the relevant time period; and
(j) the Northern Territory is therefore estopped from resiling from that position.
In my opinion, to establish an equitable estoppel, it is necessary for a plaintiff to prove that (1) the plaintiff assumed that a particular legal relationship then existed between the plaintiff and defendant or expected that a particular legal relationship would exist between them and, in the latter case, that the defendant would not be free to withdraw from the expected legal relationship; (2) the defendant has induced the plaintiff to adopt that assumption or expectation; (3) the plaintiff acts or abstains from acting in reliance on the assumption or expectation; (4) the defendant knew or intended him to do so; (5) the plaintiff's action or inaction will occasion detriment if the assumption or expectation is not fulfilled; and (6) the defendant has failed to act to avoid that detriment whether by fulfilling the assumption or expectation or otherwise.
[51] In Newbon v City Mutual Life Assurance Society Ltd [(1935) [1935] HCA 33; 52 CLR 723 at 735] Rich, Dixon and Evatt JJ, speaking of a case where the party setting up the estoppel asserted a failure to take action in reliance upon an assumption allegedly induced by the conduct of the defendant, said:
Where inaction is the natural consequence of the assumption, the prima facie inference may be drawn in favour of the causal connection ... Any general presumptive connection between inaction and a belief in a state of facts must depend upon probabilities which arise from the common course of affairs, and accordingly must be governed by circumstances.
[52] In Gould v Vaggelas Wilson J, with whom Gibbs and Dawson JJ agreed, speaking of an action in deceit, said:
If a material representation is made which is calculated to induce the representee to enter into a contract and that person in fact enters into the contract there arises a fair inference of fact that he was induced to do so by the representation.
[53] It is apparent that in the passage cited from the plurality judgment in Newbon v City Mutual Life Assurance Society Ltd, their Honours were speaking of a 'presumptive connection' as the equivalent of the 'fair inference' of which Wilson J spoke.
[54] In Gould v Vaggelas, Brennan J said (footnotes omitted):
An inference of inducement may be drawn when a party enters into a contract after a material representation has been made to him, but it is no more than an inference of fact and it is settled law that such an inference may be rebutted by the facts of the case.
To establish that the belief to which she was induced by the appellant's representations was a contributing cause to the course of action or inaction which she took, the respondent needed to establish more than that she had the belief and took the belief into account when she acted or refrained from acting. She needed to establish that having the belief and taking the belief into account made a difference to her taking the course of action or inaction: that she would not have so acted or refrained from acting if she did not have the belief.
In the event that the compensation claims do proceed to the Supreme Court due to a lack of progress on the negotiations, it will obviously be necessary for the appropriate Court to have made a determination as to the existence of native title before the Supreme Court could consider the issue of compensation. My clients consider the most appropriate Tribunal to determine the existence of native title is the Federal Court under the auspices of the Native Title Act. Accordingly, I have today lodged at the National Native Title Tribunal two separate Applications for Determination regarding native title. These Applications will give our negotiations somewhat of a hybrid flavour in that they could be considered to be taking place under either the McArthur River Project Agreement Ratification Act or under the Native Title Act. At this stage, I do not consider it of great note pursuant to what legislation the negotiations are considered to be taking place provided both parties have in fact entered bona fide negotiations.
Clearly, neither application will have any effect upon the operation of your mine or the port facility. The Applications do not seek any form of compensation from your company. Further the Applications do not seek to challenge the validity of the mineral leases which you hold. Accordingly, neither Application can have any impact upon the commercial operations of your mine or the port facility.
...
There is one possible way that your company could become involved in the compensation issue but that would only arise with your complete co-operation. I envisage that my clients who are claiming native title in respect of the mine site would be prepared to accept as compensation for the impairment of their native title rights the ability to purchase on commercial terms McArthur River Station. My clients wish to have the ability to have McArthur River Station scheduled pursuant to Schedule I of the Aboriginal Land Rights (Northern Territory) Act 1976 so that the land became Aboriginal land.
...
We will be raising this possibility with the Northern Territory Government in the course of our compensation discussions. However, obviously such a proposal could not proceed without the agreement of your company as the present proprietor of the pastoral lease over McArthur River Station.
I would be grateful if you could provide us with some preliminary indication as to whether such a proposal would be of interest to you.
I noted that this conversation was basically not getting anywhere and I suggested to him that the Northern Territory Government has no intention of ever considering any native title claim until such time as the Court obliges them to do so. Tom agreed that this may well be the case. I then pointed out that in that case, the concept of bona fide negotiations would be a difficult one for the Northern Territory to entertain: notwithstanding that the Northern Territory's own legislation specifically contemplates this. Tom pointed out that the legislation also contemplates that the matter will be resolved in the Supreme Court. I pointed out that that provision is on the assumption that negotiations have taken place that had not proved fruitful. In other words, the legislation does entertain that the matter could be resolved by negotiation.
I refer to the recently announced proposed conversion and expansion of the McArthur River mine to an open cut operation, and consequent considerable increase in output and potential effect in relation to Aboriginal interests and environmental issues.
The McArthur River mine was the first mining development to be approved after the High Court's decision in Mabo No 2 in 1992 - although it predated the enactment of the Native Title Act 1993 (NTA). The legality of the mining lease was guaranteed by the McArthur River Project Agreement Ratification Act (1992) (NT), and is the subject of a specific provision in the NTA which ensures that native title has not been extinguished (s 46).
Negotiations were conducted in 1993 which resulted in a limited arrangement with the Commonwealth, but did not involve agreement with either McArthur River Mine Pty Ltd or the Northern Territory. Consequently in 1996 the traditional owners lodged a claim for compensation with the Administrator under s 4B of the McArthur River Project Agreement Ratification Act which, if resolution cannot be achieved, may be referred to the Supreme Court for decision. Relevantly, in Ward the High Court expressly declined to decide whether native title may include minerals in the Northern Territory (in contrast to Western Australia where it was held that native title to minerals was extinguished by legislation in the late 19th century: see Ward High Court para 461, cf WA at para 376 to 385).
The traditional owners in the 1993 negotiations did not have the benefit of mediation or arbitration before the National Native Title Tribunal under the current 'right to negotiate' procedures - since the NTA had not been enacted. Compensation discussions under s 4B have not yet been held.
The proposed conversion and expansion of the mine raises site and environmental issues which it is anticipated may be of significant concern to traditional owners. Depending on the nature of the proposal, native title issues may also arise. The Northern Land Council (NLC) is committed to ensuring that consultations are conducted in a manner which ensures that the interests of the traditional owners are incorporated regarding the proposed conversion and expansion of the mine.
In that regard the NLC considers that the proposal is an important opportunity to resolve the outstanding compensation issue. An important consequence of the enactment of the NTA is that there has been significant improvement regarding the recognition of Aboriginal interests by major mining companies. This has included negotiated benefits intended to recognise Aboriginal interests regarding, for example, Century Zinc in Queensland and the Merlin mine in the Northern Territory. Importantly some companies have taken the important step of negotiating agreements in relation to existing mines (eg Weipa, and current negotiations regarding Argyle).
I would appreciate if the Government would consider its position regarding the question of compensation, with a view to supporting negotiations (between the traditional owners, NT Government, and McArthur River Mine Pty Ltd) to resolve compensation issues as part of the consultations for the proposed conversion and expansion of the mine.
The Northern Land Council (NLC), on the basis of comprehensive anthropological research, has no doubt that the Kurdanji would succeed before a Court in establishing that non-exclusive native title rights to the maximum extent ... existed in 1992, and that the enjoyment of those rights was impaired (but not extinguished) by the grant and operation of the mining lease.
This means that the Kurdanji will succeed in their compensation claim against the Territory, and that the NT Government with respect must proceed on the basis that it is subject to an unquantifiable financial liability. This liability, I understand, is not presently disclosed in the NT Treasury's financial statements.
...
The law of native title compensation is presently unclear, there having been no decided cases. It is clear, however, that the operation of [the] mine has damaged and interfered with major sacred sites and culturally significant areas, and thus impaired the important native title rights to access, maintain and protect those sites and to engage in cultural activities. This includes:
- damage to Mumunini, a major site, by a company bulldozer in the 1970s;
- damage to Malayarinini, a major site, by a company bulldozer in the 1970s;
- damage to Jirrinmini, a major site connected with a rainbow snake, by the intrusion of a water pipe.
Access to many sites has also been considerably restricted by the development.
This damage and interference is continuing, and would be substantially increased if the proposed river diversion and open cut expansion occurs.
Specifically, given concerns publicly expressed by traditional owners, the NLC has recently sought anthropological advice as to the cultural effect of the proposed expansion and river diversion. That advice, from an experienced anthropologist who interviewed custodians of sites and Kurdanji traditional owners, is that the proposed river diversion will have major and significant impacts in relation to the 'totemic essence' of the rainbow snake (which is strongly associated with water including the McArthur River on the mining lease), with further research required to ascertain whether rainbow snake and associated sites are directly affected. The cultural significance of the river vis-a-vis the diversion has been raised for some years, and was indicated as far back as 1976 in research conducted for the NT Museum.
This research suggests that, bearing in mind information now available, review and reconsideration is required regarding the adequacy of current Authority certificates.
Separately, regardless of whether current certificates are adequate, it is clear that the proposed diversion concerns land and sites of great cultural significance and that Kurdanji traditional owners will be entitled to considerable compensation from the Territory for impairment of their native title rights.
The NLC considers that compensation for impairment of these, and other, native title rights would be considerable.
Notwithstanding that the damage and interference to sacred sites and culturally significant areas has been (or would be) caused by the mining company, which is extracting considerable wealth from the mine, it is the Territory which is liable for compensation ...
The issues relating to compensation are complex. As you would be aware, my Government's policy is to, where possible, attempt to negotiate agreements rather than proceed to litigation. In this case, it remains the Government's view that any liability for native title compensation would be dependent on the establishment of native title. Therefore, I am not convinced that there is any realistic option available to us that does not first require a determination of native title in the area.
I understand that following discussions in 2003 over these matters between senior Northern Territory Government and Northern Land Council officers, you were invited to put your views on the legal position relating to compensation. Presumably this was overtaken by the events relating to the Xstrata take over bid and subsequent events. I am now inviting you to provide that advice in order that an informed discussion of the options available to us can occur.
The native title holders to the areas covered by the relevant mineral leases on which the mine is situated are Gurdanji and Yanyuwa Peoples. They have asked the Northern Land Council (NLC) to negotiate with your government in order to try and achieve agreed compensation outcomes without the need for litigation, and to right the historic wrong by which the mine was established on their country without consultation. The opportunity to settle this long overdue and outstanding matter is in keeping with your government's commitment to dialogue with Aboriginal Territorians about a treaty.
...
However, compensation is payable for the effects of the grants, and the mining activities done under the grants, pursuant to both the Ratification Act and the Native Title Act. The Ratification Act provides that compensation may include providing facilities, services and property (s 4B) and the Native Title Act has similar provision for non-monetary compensation (s 51).
Representatives of the Gurdanji and Yanyuwa Peoples lodged a claim for compensation under the Ratification Act for the effects of the mine on their native title rights on 25 June 1996. In a series of correspondence between 27 August 1996 and February 2007, the NLC sought to negotiate the quantum and nature of this compensation with the [Northern Territory Government] without success. The then‑Territory government would not entertain such negotiations unless a native title application was lodged and successfully determined in relation to the mineral lease areas ... The then-Territory government maintained that position during the time plans were made to expand the mine to an open cut operation that involved diversion of the McArthur River.
On 26 November 2015, native title was determined in respect of the McArthur River Pastoral Lease (Ngajapa v Northern Territory of Australia [2015] FCA 1249), including in relation to the mineral lease areas (the non-extinguishment principle applies in respect of the mineral leases, meaning that when the mineral leases come to an end in 2043, the native title will have full force and effect: Native Title Act, section 46). As such, we see no reason why negotiations cannot now commence in respect of the NTG's liability for the grant of the mineral leases. Such negotiations would address liability under the Native Title Act and the Ratification Act.
...
The NLC, on behalf of the Gurdanji and Yanyuwa Peoples, therefore invites the Territory to engage in a dialogue to settle the compensation claim centred on the acquisition or surrender of the McArthur River Station pastoral lease and its scheduling as Aboriginal land. The arrangements of the kind I have outlined should be in place before approval of the latest revised mine project as a measure integral to the success of an approved closure plan for the mine.
The Gurdanji and Yanyuwa Peoples, through the NLC, are also seeking to engage with Glencore to make an agreement for the operation of the mine beyond 2018, that is, for the renewed term of the mineral leases up to 2043, and further beyond that for the rehabilitation and closure of the mine as may be required under the revised mine project.
Although compensation by the Territory for the effects of validating the mineral leases on the native title rights of the Gurdanji and Yanyuwa Peoples is distinct from any agreement they may make with Glencore about the future operation of the mine, it is desirable that a dialogue be opened up among all interested parties ...
Notwithstanding this, the Northern Territory Government is prepared to engage in discussions with the native title holders/NLC on a confidential, and without prejudice, basis in a spirit of goodwill to explore what settlement options might be available. The Northern Territory Government prefers to resolve these issues by agreement, rather than through litigation, wherever possible.
PART H - WERE GRANTS OF NON-PASTORAL USE PERMITS RELEVANT ADMINISTRATIVE ACTS?
The Territory, its Ministers, instrumentalities and authorities and any local government authority are authorised, empowered and required to do all things necessary or expedient for the carrying out or giving full effect to the Agreement.
(1) To the extent that a relevant legislative or administrative act results in the acquisition of property on terms that would not (apart from this section) be just, the Territory is liable to pay compensation sufficient to remedy the injustice.
...
relevant legislative or administrative act means:
(a) a grant effected by section 4A; or
(b) a validation effected by section 3 of the McArthur River Project Agreement Ratification Amendment Act 1993; or
(c) the enactment of section 4AB; or
(d) anything done under this Act.
(1) A pastoral lessee who wishes to use all or any part of the land the subject of his or her lease for a purpose that is not a pastoral purpose may, in such form as the Board requires, apply to the Board for permission to do so.
(2) Before considering an application under subsection (1) the Board may request from the applicant such additional information relating to the proposed use as it thinks fit and may defer its consideration until the information is provided.
- Assessment of application
(1) In considering an application under section 86(1) the Board shall:
(a) take into account current government policy known to it in relation to the type of use proposed; and
(b) consider the likely effect of the proposed use on the environment and the pastoral enterprise of the lessee,
and may consider or take into account such other matters as it thinks fit.
(2) For the purposes of subsection (1)(a) the Minister may issue guidelines to the Board.
- Decision of Board
(1) After considering an application under section 86(1) the Board may, in its discretion, give its written permission for the use of the land by the pastoral lessee for a purpose that is not a pastoral purpose and, subject to subsection (2) and section 4(d) and Part 6, but notwithstanding anything else in this Act or a provision of the relevant lease document, the lessee may use the land accordingly.
(2) Permission under subsection (1) may be granted for such period, not exceeding 5 years, and subject to such conditions (including as to the payment of an annual fee, if any, prescribed under section 7 by the Minister) as the Board thinks fit and specifies or provides for in the permission document.
Application lodged under section 86 of the Pastoral Land Act by McArthur River Mining Pty Ltd of ...Winnellie NT on [date] for permission to use part of Perpetual Pastoral Lease No.1051 McArthur River Station for a non pastoral use being the continued operation and management of dredged spoil ponds.
In the granting of this permission the Pastoral Land Board does not authorise the doing of any act that may affect any native title rights and interests (as defined in the Native Title Act) that may exist over the land the subject of this permission.
All activities shall be in accordance with the Mining Management Plan and Dredge Management Plan approved by the Chief Executive, Department of Primary Industry, Fisheries and Mines.
5. LEASES, LICENCES, EASEMENTS AND RIGHTS OF WAY
The Territory shall use its best endeavours to grant or cause to be granted to the Company, upon such terms and conditions as shall be agreed upon in writing between the parties, mining tenements, licences, easements and rights of way reasonably required or incidental to the construction and operation by the Company of the McArthur River Project, for a term terminating no later than the termination or expiration of the Mineral Leases or any renewals of the Mineral Leases.
(1) Construction of the barge loading facility (in this clause referred to as the 'port') to be located within the Mineral Lease over an area situate within the Bing Bong Pastoral Lease No. 686 and adjacent Territory waters, shall be the responsibility of the Company.
(2) The Company shall be the manager and operator of the port and shall be entitled to license or permit the use of the port or parts of the port by other persons and to charge users of the port such fees as are necessary to recover the Company's costs of the port.
(3) The Territory shall use its best endeavours to issue all necessary consents, permits, licences and approvals to allow construction, maintenance and operation of the port and if requested so to do will join with the Company in seeking any consents, permits, licences and approvals which may be necessary from any Commonwealth Department or Authority.
a decision of an administrative character made, proposed to be made, or required to be made, under an enactment (whether or not in the exercise of a discretion).
The plurality rejected a construction of s 4(a) turning upon the identification of the 'immediate' or 'proximate' source of power to make the relevant decision as deflecting attention from the interpretation of the Review Act (and the AD(JR) Act) in the light of legislative subject, scope and purpose. They also rejected a construction turning upon the 'true lawful source' of the power to make the decision. Their Honours identified cases in which a decision, required or authorised by an enactment, is nevertheless not 'made under' that enactment. These included where the decision derived its capacity to bind from contract or some other private law source; where a decision to vote at a creditors meeting was not given statutory effect by the sections relied upon and only affected legal rights because of the cumulative effect of votes later cast; and where the power to make the decision was not sourced in a relevant statute, even though the decision, once made, had a critical effect for the operation of that statute.
The determination of whether a decision is 'made ... under an enactment' involves two criteria: first, the decision must be expressly or impliedly required or authorised by the enactment; and, secondly, the decision must itself confer, alter or otherwise affect legal rights or obligations, and in that sense the decision must derive from the enactment. A decision will only be 'made ... under an enactment' if both these criteria are met. It should be emphasised that this construction of the statutory definition does not require the relevant decision to affect or alter existing rights or obligations, and it will be sufficient that the enactment requires or authorises decisions from which new rights or obligations arise. Similarly, it is not necessary that the relevantly affected legal rights owe their existence to the enactment in question. Affection of rights or obligations derived from the general law or statute will suffice.
The decisions did not affect legal rights and obligations. They had no impact upon matters to which the University Act gave legal force and effect. The respondent enjoyed no relevant legal rights and the University had no obligations under the University Act with respect to the course of action the latter adopted towards the former.
Difficult though it is, the constructional choice can and must be made in the application of workaday interpretative methodology. Nothing simpler or more sophisticated is involved than attempting sympathetically to determine which construction of the contested statutory text better fits the context of the statutory scheme of which that text forms part. Linguistic indications are important. More important is the 'purpose and policy' reasonably attributed to the provision within the statutory scheme.
This clause amends existing sections 4B(1) and (2) to include the ratifications effected by section 4AB in the class of actions for which just terms compensation is payable should an acquisition of property be effected. Any existing claims under section 4B are not affected by the amendment.
PART I - WERE COMPENSABLE ACTS ACQUISITIONS OF PROPERTY?
The pleaded acquisition - diminution or impairment
(a) the extinguishment or diminution of an interest in or right in relation to land; and
(b) any effect on such an interest or right, being an effect of a kind referred to in section 174B or 174D of the Mining Act in relation to private land.
(a) being deprived of the use of the surface or part of the surface of the land;
(b) damage to the surface of the land through mining activities conducted thereon;
(c) being deprived of the use of improvements on the land;
(d) the severance of the land from other land owned or occupied by them; and
(e) all other damage to the land or improvements on the land arising out of mining or other work under the mining tenement.
(a) Mining, processing, treatment and concentration of the Ore including the treatment of tailings or other mining material and removal of Ore, Concentrate, tailings or other mining material from the Lease Area;
(b) the erection of machinery, conveyor apparatus, plant, buildings or other structures, or use thereof;
(c) impounding and retaining of waste resulting from the Mining, treatment or processing operations;
(d) the erection and use of residential premises or recreational facilities for persons engaged in or connected with the McArthur River Project;
(e) the cutting and construction of water races, drains, dams and roads for use in connection with the McArthur River Project;
(f) the boring or sinking for, pumping or raising of, water for the use of that water for or in connection with the McArthur River Project;
(g) exploring for minerals on the Lease Area;
(h) the Mining and use of extractive minerals for or in connection with all or any of the purposes specified in paragraphs (a), (b), (c), (d), (e), and (f) of this clause; and
(i) such other purposes necessarily incidental to or in connection with paragraphs (a), (b), (c), (d), (e), (f), (g) and (h) of this clause, including the management, protection and rehabilitation of the Environment.
(8) The Company may from time to time vary or modify its operations on the Lease Area, but should those variations or modifications substantially affect the method, scale or location of those operations as set out in the Mine Plan, the Company shall, prior to the commencement of such variations or modifications of those operations, submit an amendment to the Mine Plan to the Secretary for approval in accordance with sub-clause (4) of this clause.
pastoral purposes means the pasturing of stock for sustainable commercial use of the land on which they are pastured or agricultural or other non- dominant uses essential to, carried out in conjunction with, or inseparable from, the pastoral enterprise, including the production of agricultural products for use in stock feeding and pastoral based tourist activities such as farm holidays, but does not include a use which, under section 91, is declared by the Board not to be a use for pastoral purposes.
[1110] I accept ... that, in the circumstances, the approvals of proposals do not affect native title to any greater extent than the grant of the initial mining lease in respect of which the Marillana State Agreement controls or regulates the location and rate of mining thereafter.
[1111] While each proposal, when approved, crystallises the mining to be undertaken, in my view the existence or enjoyment of native title is not relevantly affected because it has already been affected to the same extent contended for by the grant of the mining lease.
In my view the legislature has plainly evinced an intention to set aside the result of the litigation and to alter the rights of the parties to the benefit of the appellant and to the detriment of the first to seventh respondents. This Court must determine the rights of the parties in accordance with the facts before this Court and in accordance with the law today as it governs those rights.
... a pipe or system of pipes used or intended to be used for the conveyance of an energy-producing hydro-carbon, and includes:
(a) all structures for protecting or supporting a pipeline; and
(b) all loading terminals, works and buildings and all fittings, pumps, tanks, appurtenances and appliances, used in connection with a pipeline. ...
(1) Notwithstanding any Act or rule of law to the contrary, a pipeline constructed under the authority of this Act shall remain the property of the licensee or former licensee, as the case may be, or his assigns whether or not the pipeline is affixed to land and whether or not the licence granted in respect of the pipeline has been wholly or partly cancelled.
(2) A licensee, in constructing, testing, maintaining or operating a pipeline in respect of which a licence is granted under this Act, shall do as little damage as is possible and shall make full compensation to the owner of and any party having an interest in land, for damage sustained by them in consequence of the exercise of a power by the licensee in constructing, testing, maintaining or operating the pipeline, and the compensation shall, in default of agreement between the licensee, the owner or other party, be determined by a court of competent jurisdiction.
Yes under Project Act and admitted under Native Title Act
No under Project Act and no claim pursued under Native Title Act
Yes, where native title not previously extinguished (244 ha)
Yes, where does not overlap with Road where native title previously extinguished (110 ha)
Consistently with the aim of the Native Title Act that the economic value of full exclusive native title in land be equated to the economic value of a freehold title in that land, the economic value of non-exclusive native title in land falls to be determined by making an evaluative judgment of the percentage reduction from full exclusive native title which properly represents the comparative limitations on the non-exclusive title relative to a full exclusive native title and then applying that percentage reduction to the economic value of a freehold estate in the land as proxy for the economic value of a full exclusive native title in the land.
What the Native Title Act requires to be compensated is the cultural loss arising on and from the extinguishment of native title rights and interests. Given that the Native Title Act is a Commonwealth Act which, under Div 5, equates native title rights and interests to freehold for the purposes of dealing with native title, and is intended to provide compensation for the extinguishment of those rights and interests on just terms to all native title holders affected by a compensable act, ss 51 and 51A are to be read as providing that the compensation payable to the native title holders is to be measured by reference to, and capped at, the freehold value of the land together with compensation for cultural loss. Principles or criteria set out in a compulsory acquisition law for the Commonwealth, or for the State or Territory to which the compensable act is attributable, may be of assistance but they are not determinative of the issues arising under s 51(1).
In this Court, all parties accepted that the economic value of the native title rights and interests should be determined by application of conventional economic principles and tools of analysis, and, in particular, by application of the Spencer test adapted as necessary to accommodate the unique character of native title rights and interests and the statutory context. The difference between the parties was as to how the Spencer test should be applied.
the test of value of land is to be determined, not by inquiring what price a man desiring to sell could actually have obtained for it on a given day, ie, whether there was in fact on that day a willing buyer, but by inquiring 'What would a man desiring to buy the land have had to pay for it on that day to a vendor willing to sell it for a fair price but not desirous to sell?'
[84] ... Just as compensation for the infringement of common law land title rights and interests is ordinarily comprised of both a component for the objective or economic effects of the infringement (being, in effect, the sum which a willing but not anxious purchaser would be prepared to pay to a willing but not anxious vendor to achieve the latter's assent to the infringement [footnoting Spencer]) and a subjective or non-economic component (perhaps the most common instance of which is an allowance for special value), the equality of treatment mandated by s 10(1) of the Racial Discrimination Act, as reflected in s 51 of the Native Title Act, necessitates that the assessment of just compensation for the infringement of native title rights and interests in land include both a component for the objective or economic effects of the infringement (being, in effect, the sum which a willing but not anxious purchaser would have been prepared to pay to a willing but not anxious vendor to obtain the latter's assent to the infringement, or, to put it another way, what the Claim Group could fairly and justly have demanded for their assent to the infringement) and a component for non‑economic or cultural loss (being a fair and just assessment, in monetary terms, of the sense of loss of connection to country suffered by the Claim Group by reason of the infringement).
[85] Admittedly, there is a degree of artificiality about applying an adapted Spencer test in circumstances where it may be assumed that the Claim Group would not have been at all interested in selling their native title rights and interests and it is plain that no one could lawfully have bought them. But, at the same time, the native title rights and interests unquestionably existed and they had a recognisable economic worth which lay in the sum that might fairly and justly have been demanded for their lawful extinction in favour of the Crown. In those circumstances, it is no more artificial to seek to assess their economic value by means of the Spencer test of what a willing but not anxious purchaser would have been prepared to pay to a willing but not anxious vendor in order to buy them (or, more accurately, to obtain the latter's assent to their extinguishment) than it is to apply the Spencer test to the assessment of just compensation for the compulsory extinguishment of, say, a general law easement or profit à prendre.
[86] At one point in the Full Court's reasons, their Honours reflected as to whether it might have been preferable to approach the assessment task on an 'holistic' basis without the division of value into economic and non-economic components. Their Honours were correct to avoid that approach. There may be exceptions, but ordinarily the only way of achieving the degree of precision envisaged by s 51A of the Native Title Act - which, as has been seen, stipulates that the total compensation payable for an act which extinguishes native title must not exceed the amount that would be payable if the act were instead a compulsory acquisition of a freehold estate in the land or waters - is by the determination of economic value according to established precepts for the valuation of interests in land. Given that there is no range of decided comparable cases such as those which may be called in aid, for example, in sentencing or when fixing damages for personal injuries, an holistic approach would mean that the determination of the economic value of native title rights and interests would be largely dependent on idiosyncratic notions of what is fair and just.
[104] It is not clear that the trial judge made that error. It may be that all his Honour had in mind was that, as with the economic value of any other encumbrance, the economic value of native title rights and interests accords to what a willing but not anxious purchaser is prepared to pay to a willing but not anxious vendor to obtain the latter's assent to their extinguishment. But either way, the benefit of extinguishment to the Northern Territory was relevant only in so far as it would have informed the amount that the Northern Territory, as the sole, hypothetical willing purchaser, would have been prepared to pay for the consensual extinguishment of the native title rights and interests.
As will be apparent, the principal difficulty with Mr Lonergan's thesis is that what it purports to value is not the economic value of the native title rights and interests in the subject land as required by the Native Title Act, but rather what the Claim Group might have been prepared to pay to acquire other land at a different location on which they might have lived and behaved in much the same way that they had been entitled to live and behave in the exercise of their native title rights and interests in the subject land.
There is, too, a further, pragmatic reason to eschew the sort of approach favoured by Mr Lonergan. An opinion of the kind that the Northern Territory commissioned Mr Lonergan to produce is a complex and expensive exercise, and, as experience shows in litigation, where one party introduces an expert report of that complexity and expense it more often than not leads to another party commissioning another expert to produce a similarly complex and expensive report to rebut the thrust of the first, leaving it to a trial judge, often after extensive cross-examination of both experts at further considerable cost, to decide between the two. That degree of complexity and cost can be avoided if economic value is determined by the comparatively simple and relatively thrifty means of assessing the freehold value of the subject land and applying the appropriate percentage discount according to the nature of the native title rights and interests in suit. Given the presumably limited resources of most native title claimants, such simplicity and economy is surely to be encouraged.
Given the Claim Group's native title rights and interests were essentially usufructuary, ceremonial and non-exclusive, without power to prevent other persons entering or using the land or to confer permission on other persons to enter and use the land, without right to grant co-existing rights and interests in the land, and without right to exploit the land for commercial purposes, the trial judge's estimate of the economic value of the native title rights and interests as 80 per cent of the freehold value of the land was manifestly excessive. But so, too, with great respect, was the Full Court's estimate of 65 per cent. Granted, the determination of the appropriate percentage calls for an evaluative judgment about which reasonable minds might sometimes differ. But here, given the native title was devoid of rights of admission, exclusion and commercial exploitation, a correct application of principle dictates on any reasonable view of the matter that those non-exclusive native title rights and interests, expressed as a percentage of freehold value, could certainly have been no more than 50 per cent.
Valuation is not a science. It is an imprecise, opinionative activity involving the consideration of many variables, sometimes with equally legitimate outcomes.
Now 'compensation' is a very well understood expression. It is true that its meaning has been developed in relation to the compulsory acquisition of land. But the purpose of compensation is the same, whether the property taken is real or personal. It is to place in the hands of the owner expropriated the full money equivalent of the thing of which he has been deprived. Compensation prima facie means recompense for loss, and when an owner is to receive compensation for being deprived of real or personal property his pecuniary loss must be ascertained by determining the value to him of the property taken from him.
This accords with the widely prevailing meaning of compensation adopted for decades in this Court. There are many authorities affirming that the role of compensation is to 'put that party in the same position as he or she would have been in if the contract had been performed or the tort had not been committed'. As Mason CJ, Dawson, Toohey and Gaudron JJ said in Haines v Bendall, the concept of compensation was cognate with 'the rule, described by Lord Reid in Parry v Cleaver, as universal, that a plaintiff cannot recover more than he or she has lost'.
The extent of the non-exclusive native title rights
[68] ... Native title rights and interests are not the same as common law proprietary rights and interests but the common law's conception of property as comprised of a 'bundle of rights' is translatable to native title, and, as has been held, draws attention to the fact that, under traditional law and custom, some but not all native title rights and interests are capable of full or accurate expression as rights to control what others may do on or with the land. So, therefore, just as it is necessary to determine the nature and extent of common law proprietary rights and interests as a first step in their valuation, it is necessary to identify the native title rights and interests in question as the first step in their valuation.
[69] As the trial judge found, the Claim Group's rights and interests were essentially usufructuary, ceremonial and non-exclusive. The Claim Group's rights and interests were perpetual and objectively valuable in that they entitled the Claim Group to live upon the land and exploit it for non-commercial purposes. But they were limited. As earlier mentioned, the historic grant of the pastoral leases extinguished the Claim Group's traditional right to control access to the land and to decide how the land should be used; and, once so extinguished, the right did not revive. Thereafter, the Claim Group had no entitlement to exclude others from entering onto the land and no right to control the conduct of others on the land. Nor did the Claim Group have the right to grant co-existing rights and interests in the land. And because the Claim Group's native title rights and interests were non-exclusive, it was also open to the Northern Territory to grant additional co-existent rights and interests in and over the land, including grazing licences, usufructuary licences of up to five years' duration and licences to take various things from the land.
(a) native title was non-exclusive;
(b) the Claim Group had no right to determine who could come onto the land or make decisions about who and by whom the land and its resources could be used (Ward HC at [88]);
(c) the native title rights were limited and essentially usufructuary (Griffiths HC at [69]);
(d) the Claim Group could only be accompanied by non-native title holders on the land in limited circumstances but could not invite them to exploit the resources;
(e) the Claim Group could not grant co-existing interests, for example, by leasing or mortgaging their interests;
(f) because the rights were non-exclusive, the native title co-existed with other rights and interests. The exercise of such other rights prevailed over the native title rights, leaving native title vulnerable to the grant of other prevailing interests, such as miscellaneous licences or other mineral leases (Northern Territory of Australia v Alyawarr [2005] FCAFC 135; (2005) 145 FCR 442 at [131]- [133]; and Griffiths HC plurality at [69], [79]‑[80], Edelman J at [297]).
Summary of the position of the parties on assessment
(a) whether there should be a discount for inalienability of native title rights where compensation is sought under the Project Act;
(b) whether other discounts should be applied to the proposed compensation having regard to so-called temporal and geographic limitations, and the extent to which evidence of subsequent events might be called upon in that regard;
(c) whether the freehold value is to be assessed on the basis of a hypothetical or actual freehold title;
(d) what finding should be made as to the freehold value of the relevant claim area; and
(e) whether any premiums are to be applied to such freehold value.
[213] While [s 51(A)] sets an upper limit for the economic compensation representing the direct value of the estate or interest in land or waters which has been acquired by the Territory, it does not follow that the value of exclusive native title is necessarily less than that freehold value because it is not inalienable, and is not transferrable. Such an assumption would fail to have regard to the real character of native title held by Indigenous Australians. Indeed, in the case of exclusive native title rights, where they are lost, I see no reason why their value should not be taken as the equivalent of freehold value. That appears to have been the undebated premise in Geita Sebea [Geita Sebea v The Territory of Papua [1941] HCA 37; (1941) 67 CLR 544] and in Amodu Tijani [Amodu Tijani v The Secretary, Southern Nigeria [1921] UKPC 80; [1921] 2 AC 399].
[214] Indeed, having regard to the express purposes of the NTA, and the recognition of the Aboriginal peoples as the original inhabitants of Australia, it would be erroneous to treat the nature of their original interests in land as other than the equivalent of freehold and the economic value of those interests as other than the equivalent of freehold interests.
[101] By contrast, although native title rights and interests are inalienable, s 51A of the Native Title Act equates the economic value of full exclusive native title to the economic value of unencumbered, freely alienable freehold title and thus, in practical terms, deems the inalienability of full exclusive native title to be irrelevant to the assessment of its economic value. Similarly, just as the inalienability of full exclusive native title is deemed to be irrelevant to the assessment of its economic value, so too must it follow that the inalienability of non-exclusive native title is irrelevant to its economic value; for the latter, as has been explained, falls to be determined by applying the appropriate percentage to the economic value of a freely alienable freehold title.
[102] The trial judge drew support for that conclusion from the decision of the Privy Council in Amodu Tijani and the decision of this Court in Geita Sebea. Those decisions, however, turned on the specific legislation under which land was acquired in those cases. The Native Title Act is different. Here it is s 51A of that Act, read in light of the extrinsic materials, which makes clear that inalienability of native title is irrelevant to the assessment of its economic value.
Whether other discounts for temporal and geographic limitations
Section 51(1) thus recognises that the consequences of a compensable act are not and cannot be uniform. The act and the effect of the act must be considered. The sub‑section also recognises not only that each compensable act will be fact specific but that the manner in which the native title rights and interests are affected by the act will vary according to what rights and interests are affected and according also to the native title holders' identity and connection to the affected land. As the trial judge held, s 51(1) does not in its terms require that the consequence directly arise from the compensable act. The court's task of assessment under s 51(1) is to be undertaken in the particular context of the Native Title Act, the particular compensable acts and the evidence as a whole.
In a practical sense, where [a compensable act] suppresses native title rights and interests in whole, for the period while those acts are suppressed, they have the same effect as a previous exclusive possession act. For the purposes of compensation, the difference between such acts is the existence of the contingency of the act or its effects being wholly or partially removed or otherwise ceasing to operate so that the native title rights and interests again have full, or partial, effect. In my view it is conceptually appropriate to make a downward adjustment for this contingency. There is no real evidence upon which that contingency can be assessed. That is why I have referred to it as a conceptual contingency. I have endeavoured to give it more than a nominal value or percentage. I do not think that it has any real significance. I would not, therefore, reduce the freehold value in those circumstances at all. In making that conclusion I considered that the removal either wholly or partially of the act or its affects is not likely ever to arise. ...
(a) starting point of 100% for freehold value;
(b) less 50% because non-exclusive and a further 25% because non-alienable, leaving a value of 25% of freehold;
(c) the 25% of freehold value is then reduced by 50% for geographic limitations, leaving a value of 12.5% (25 x 0.5 = 12.5); and
(d) the 12.5% is then reduced by 20% for temporal limitations, leaving a value of 10% (12.5 x 0.8 = 10).
(a) starting point of 100% for freehold value;
(b) less 50% because non-exclusive and 25% because non-alienable, leaving a value of 25% of freehold;
(c) the 25% of freehold value is then reduced by 75% for geographic limitations, leaving a value of 6.25% (25 x 0.25 = 6.25); and
(d) the 6.25% is then reduced by 20% for temporal limitations, resulting in a value of 5% (6.25 x 0.8 = 5).
(a) starting point of 100% for freehold value;
(b) less 50% because non-exclusive and 25% because non-alienable, leaving a value of 25% of freehold;
(c) the 25% of freehold value is then reduced by 50% for geographic limitations, leaving a value of 12.5% (25 x 0.5 = 12.5); and
(d) the 12.5% is then reduced by 50% for temporal limitations, leaving a value of 6.25% (12.5 x 0.5 = 6.25).
Consideration - temporal and geographic limitations
(1) Outside of the sphere of valuation, there is no general limit on the use of later events as evidence relevant to and assisting in determining a situation at an earlier point in time: Minister v NSW Aboriginal Land Council [68]. In other contexts relating to compensation and assessment of damages, the courts often express a preference for subsequent facts (occurring between the date of assessment and trial) over prophesies.
(2) In valuation cases, different considerations apply depending on whether the subsequent event is said to bear upon market value, real value, special value, injurious affection, severance or other notions of value.
(3) Special considerations apply when the question is one of market value. That is because the basic principle by which value is determined - the notional bargain of the hypothetical purchaser and vendor - directs attention to what was known and knowable at the time of valuation, and not to subsequent material.
(4) Because of that, in cases involving market value, the general preference of the court for subsequent facts over prophesies that applies in relation to questions of compensation and assessment of damages, has little role to play.
(5) The dictum of Hope JA that subsequent events may be admissible to prove a foresight was made in the context of a claim for special value, not market value. Moreover, the cases upon which Hope JA relied were not concerned with market value.
(6) Some subsequent cases have proceeded on the basis that the dictum applies to questions of market value. See, for example, Chino v TIDC; Sorell Council v Downie; Maggiotto v Roads and Traffic Authority (NSW); and Maidment v Roads and Traffic Authority (NSW). However, in none of those cases did application of the dictum result in the admission of any evidence of any real significance to the outcome of the case.
(7) I am not persuaded that, on a question of market value, post-taking evidence is admissible to 'confirm a foresight'. In other words, I do not consider that Hope JA's dictum applies to a determination of market value. I agree with the observations of Mahoney JA in Housing Commissioner (NSW) v Falconer (576-577); Talbot J in Multari v Roads and Traffic Authority (NSW); and Evans J in Sorell Council v Downie that I have referred to in section 3.3. I also agree with the summary in Hyam A, The Law Affecting Valuation of Land in Australia (4th ed, 2009), 502. In my view, acceptance of a 'confirmation of a foresight' exception on a question of market value is not consistent with the fundamental principles about the process by which market value is determined.
(a) the terms of the grant and its constating legislation;
(b) evidence contemporaneous with the grant that demonstrates the likely manner, nature, duration and geographic extent of the activities to be undertaken pursuant to the grant; and
(c) the subsequent activities actually undertaken pursuant to the grant and their effect on the ability of native title holders to exercise their native title rights.
Using this analogy, the assessment required is consideration of the 'natural and reasonable' consequences of the granted rights, including the likely frequency and magnitude of the disturbance and restriction on the underlying interest holder's use of the land. This analogy provides a direct parallel in existing authority as to how to ascertain the diminution in value caused by a non-extinguishing act.
Freehold - an actual or 'hypothetical fee simple' estate?
It seems evident that the fee simple mentioned must be taken as free from encumbrances which, if they impaired the value of his estate, nevertheless operated to confer upon some other person or persons an estate or interest in the land. Were it otherwise the taxable value of the land would be diminished but the correlative estate or interest would not come into tax, unless by some chance it were an interest falling under some specific provision imposing liability.
...
The interpretation of the Act which seems best to accord with the policy appearing from its provisions and also to flow from its language is that in assessing the unimproved value an estate in fee simple must be taken as the hypothesis unencumbered and subject to no condition restricting the use or enjoyment of the land.
The phrase 'the fee-simple of land' in s 6A(1) is a hypothetical and artificial concept adopted for rating and taxing purposes: Valuer-General v Fivex Pty Ltd [2015] NSWCA 53 at [44]. It enables the government to bring the first estate of land into tax irrespective of how the estate in the land may in fact be divided between various estate holders and interests.
For while burdens on individual titles may naturally enough be treated as irrelevant under a general rating scheme, it would hardly be possible to expect that similar treatment was intended to be given when it came to valuing a person's individual interest for any of these other purposes [being various purposes such as death duties, resumption and mortgage valuations].
...
'Improved value' and 'unimproved value' are special terms to which is allotted a particular statutory meaning. They will be resorted to only where the taxing or other Act in question requires a valuation to be made with reference to these concepts. As has been pointed out, 'unimproved value' is fundamentally a rating concept and, it seems, is resorted to for virtually no other purpose.
...
The scheme of the Act, therefore, does not require that the highly artificial conception of unimproved value should be imported into valuations of estates and interests required for other purposes served by the Act.
Summary of respective approaches of the experts
I consider that in the absence of PPL sales data of a similar relative size to the much smaller individual tenements of the subject, a far higher value rate is applicable to the land contained within each individual tenement (assuming a PPL tenure). In this instance, the land value rates are more appropriately compared to the freehold sales, as this data is far more comparable in physical attribute to the subject tenements, in particular relative size comparisons which influences the rate per hectare of the individual property. In this regard I consider the smaller freehold sales provide a more comparable guide to value of the subject tenements, albeit a superior tenure than a PPL interest. As such, I consider the freehold sales set an upper limit of value comparison to the subject tenements, with the far larger PPL sales evidence considered to set the lower limit of value for the subject tenements.
(a) smaller lots have a different value on a rate per hectare basis, attracting a premium when compared with larger lots; and
(b) the notional tenements could not be sold separately as they have no separate title and no prospect of separate sale (a contention which, I note, ignores the hypothetical nature of the exercise).
Inferior property. Location far inferior, with one way road access that requires long drive for the transport of cattle, no through road, very different country to McArthur River Station (which has good year round access to bitumen roads), land system is inferior as on the edge of the desert and subject to risk of drought, may be more cost in running cattle but rainfall provides security to pastoral production, sale price to be treated with some caution as it required an apportionment for cattle.
Similar. Stronger cattle country. McArthur River requires greater expenditure to run cattle, higher rainfall affects cattle fertility, but 'pound for pound' the two properties 'square off', no basis to treat sale price with caution.
Has inspected a number of times, more comparable physical attributes. Updated information received about 1985 sale that was 'internal' (same purchaser/vendor, potentially for an upgrade to PPL tenure, records consistent). Ascertained further sale in 2005 and took that into account for relativity (had previously referred to 2021 sale for relativities).
Close proximity to McArthur River Station. Is on the southern boundary. More consistent values in this area.
Reduced initial rate per hectare assessment after further aerial and on-ground inspection, to take into account improvements. Observes non-standard sale. Prepared to put weight on the valuation as knows the property and has inspected it, smaller property.
Gave higher value to improvements, is smaller property, is an outlier compared with other larger properties, disregarded. Fails Spencer test.
Analysis - adoption of Mr Copland's freehold value
I would apply a significant discount to the rate per hectare derived from the [Leila] Creek sale when assessing the freehold value of PPL 1051. In my opinion, having regard to my experience of the sales of large properties in Queensland and the Northern Territory, a freehold ULV of $1.50/ha for PPL 1051 is in relativity with the analysed ULV of $5.72 for the sale of [Leila] Creek.
Highest and best use - Pipeline Licence and MLN 1126
I think it's over and above market value. It becomes a special value attributable under a circumstance to a particular vendor, and the circumstance must be there in order for it to be achieved. So if there was no underlying mine, potentially not. However, that would still be achievable, potentially, to an adjoining owner anyway, so it - it wouldn't necessarily. If the adjoining owner didn't want to buy it, then it's not achievable, and they revert to a market terms and condition, so that's why I say it would be above the market value as a special value applicable under circumstances to that vendor. That's how I treat it.
(a) freehold value of all compensable areas ([703], [785], [786] above) = 1,369,500;
(b) subtracting from 1,369,500 the non-pastoral use permits value (51,000) = 1,318,500;
(c) 55% x 1,318,500 = 725,175;
(d) 55% x non-pastoral use permit value (51,000) = 28,050;
(e) 65% (35% discount) of 28,050 = 18,232.50, rounded = 18,233;
(f) sum of 725,175 + 18,233 = 743,408.
(a) had I accepted Mr Lyons' approach to economic loss, allowing only the flat rate per hectare for PPL 1051 for each of the tenements, and applied the same 45% reduction to freehold value with a further 35% reduction for the non-pastoral use permits, the economic loss would have been approximately $10,695; and
(b) had I applied Mr Lyons' differential rates assessed for each of the tenements, and applied the same 45% reduction for freehold with a further 35% reduction for the non‑pastoral leases, the economic loss would have been approximately $91,975 (not including the Road).
Rejection of the hypothetical comparable bargain model in this case
(1) as the sum that might fairly and justly have been demanded by the Claim Group (as native title holders) for their assent to the infringement of their native title rights by the compensable acts;
(2) by adaptation of the Spencer (market) test to arrive at a sum that a willing but not anxious purchaser would be prepared to pay to a willing but not anxious vendor to obtain the latter's assent to the infringement;
being the principle identified in Griffiths (2019) 269 CLR 1 at [84]-[85].
(1) The economic loss is represented by the terms that might fairly and justly have been demanded by the Claim Group (as native title holders) for their assent to the infringement of their native title rights by [MLNs 1121-1126] in a hypothetical, voluntary bargain.
(2) The terms of a hypothetical, voluntary bargain include a risk and value sharing arrangement, referenced to returns contingent on Project outcomes (royalty stream), designed to compensate for the effects on the native title rights resulting from the compensable acts making up the Project established by ... [MLNs 1121-1126].
(3) The terms of a hypothetical, voluntary bargain are ascertained by comparison with instances where the holders of analogous rights had negotiated and agreed the terms upon which they assented to the infringement of their rights by the grant of mining interests over the land, that is, comparable bargains.
And so that's the event that I say should be undone - or at least we should put ourselves in the position of the hypothetical circumstances of where that bargain did take place.
My starting point ... was a very different starting point of seeking to compensate the native title holders for the native title rights they lost, rather than for an opportunity to negotiate.
(a) the negotiation of a unique bundle of property rights is undertaken through the lens of a bilateral bargaining framework. Each party would approach such a negotiation with a perceived value of the relevant property rights which determines their respective willingness to make or accept an offer from their counterpart;
(b) where the price a buyer is willing to pay is equal to the price a seller is willing to accept, the negotiating parties can reach agreement. The maximum price a buyer is willing to pay is the upper boundary of where the parties may voluntarily reach agreement, and the lowest price a seller is willing to accept forms the lower boundary;
(c) in the mining context of the present case, the perceived value of surrender of the native title rights to the seller, and hence the minimum price the seller would accept, reflects the value forgone by consequence of the surrender of these rights, reflecting the benefit that could otherwise be derived by way of continuing to enjoy the rights as they are;
(d) the perceived value of the native title rights to the buyer, and hence the maximum price the buyer would offer, reflects the value of the economic profit the buyer would receive as a result of surrender of the native title rights. That is so irrespective of whether the buyer is the Northern Territory or a mining company, because the objective economic value of mining activity is the same to both;
(e) the buyer's economic gains from trade are indicated by the difference between the agreed price and the maximum price they would be willing to pay. Similarly, the seller's economic gains from trade are indicated by the difference between the agreed price and the minimum price they would be willing to accept;
(f) most individuals and investors exhibit a degree of risk aversion, and so prefer outcomes or payments that are known with a higher degree of certainty over outcomes that are less certain, even when the expected return of all outcomes is the same. It follows that an increase in the degree of uncertainty involved in a transaction will reduce the buyer's maximum willingness to pay and increase the seller's minimum willingness to accept, resulting in a narrower price range at which parties may reach agreement and a reduction in economic gains from trade; and
(g) in the presence of uncertainty, parties can structure agreements to include risk sharing mechanisms. Such arrangements can be used to share the gains from trade arising under various potential future states of the world, such that both parties face less risk and are therefore better off. For example, a buyer negotiating the long-term supply of a key input to its production process from which returns may be substantial, modest or negative, may negotiate a risk sharing mechanism that compensates the seller based on a share of the revenue the buyer later obtains.
(a) the comparable bargains approach involves bargain of the right to benefit from exploitation of mineral rights, which the native title holders did not have;
(b) the bilateral bargaining framework adopted by Mr Houston will be more extensive and the scope for disagreement greater if the value of minerals extracted is taken into account. Further, the parties' willingness to accept and willingness to pay appears to be assessed through their particular perception of value rather than through an objective lens, as would be applied in the adapted Spencer test;
(c) the scope for disagreement in his bargaining framework is understated and will be informed by many matters, including information asymmetry, bargaining strategies and individual biases;
(d) contrary to Mr Houston's contention that the willingness to pay of both the Territory and MIM is equivalent, the identity of the buyer may affect the buyer's willingness to pay. This is because the Northern Territory and MIM may have different perspectives, incentives, interests or assessments of material issues such as the expected profitability of the mine;
(e) it is not necessarily the case that contractual arrangements such as a royalty can be developed to mitigate uncertainty from the perspectives of both parties. For instance, the native title holders might be so risk averse or have a high rate of time preference such as to prefer a lump sum payment over any royalty; and
(f) although there would be merit in reviewing native title agreements to assess whether a comparison exercise would be useful or warranted, it is likely to be a complex, uncertain and expensive exercise.
There is a further difficulty in the contention that the means by which a right to negotiate is removed can be described as an act which 'affects native title' in the way described in s 227, although it is not strictly necessary to deal with it. It treats procedural rights under the NTA (defined in s 253) as if they were part of the bundle of rights which are native title rights. Clearly that is not correct: see s 223 of the NTA, which defines 'native title' and 'native title rights and interests' and Western Australia v Ward at [17] and [18].
(a) the Claim Group's submission that Griffiths HC utilises the language of and is consistent with user or licence fee damages, and so justifies reference to a hypothetical comparable bargain;
(b) the evidence of pre-1993 negotiations;
(c) the Pointe Gourde debate; and
(d) the procedural aspects that relate to this case.
(a) communications in July 1992 between the NLC and MIM indicated that the Claim Group had made a number of serious criticisms of the Project to the Northern Territory Conservation Commission - the NLC said it did not oppose the Project in principle but opposed its then current form because of environmental risks and social impact, and sought negotiation of an agreement with MIM to resolve such concerns;
(b) the NLC suggested a Heads of Agreement between the NLC and MIM including 'mining payments' (these did not include royalties, but concerned matters such as payment for loss of natural resources and social community disturbance, and support of community projects);
(c) MIM indicated in August 1992 it would not enter into a private agreement with the NLC;
(d) in February 1993 the NLC was instructed to negotiate with the Northern Territory, the Commonwealth and MIM, and informed them of this;
(e) MIM sought further details from NLC of the type of arrangement envisaged;
(f) in March 1993 the NLC informed MIM that some of the Claim Group may have rights to ownership of minerals and for compensation for minerals that were mined (and I note this was despite s 174B(2) of the Mining Act);
(g) in around May to June 1993 the NLC, MIM, the Northern Territory and the Commonwealth began negotiating a 'Social Justice Package' for the Project, and a number of meetings occurred;
(h) the McArthur River Project Agreement Ratification Amendment Bill 1993 (NT) was introduced on 27 May 1993;
(i) a draft 'Just Terms Agreement' was circulated by the NLC which included, for the first time, proposed payments in the nature of ad valorem royalties to the Claim Group;
(j) on 10 June 1993 the Commonwealth wrote to the NLC about the negotiations, indicating a new proposal would be presented to take account of discussions;
(k) on 14 June 1993 a new proposal was presented by the NLC to MIM (copied to the Commonwealth) that involved the grant of appropriate land interests in a cattle station or joint venture management of cattle stations, and did not refer to royalty payments;
(l) on 15 June 1993 the NLC wrote to the Commonwealth expressing concern about the status of the negotiations. The NLC noted that the Claim Group principally sought compensation by way of an income stream for the term of the Project (in contrast to what had been indicated to MIM the previous day), the provision of land and certain ongoing funding, and the NLC said the Claim Group's non-opposition to the Project had been based on the fact it would receive fair and just terms compensation;
(m) on 22 and 23 June 1993 the Claim Group met and rejected an offer from MIM, the Commonwealth and the Northern Territory and instructed the NLC to commence litigation to stop the Project proceeding until they received a proper agreement for adequate compensation. One of the matters apparently relied upon by the NLC in rejecting the offer was the fact that the Commonwealth, the Northern Territory and MIM refused to make mining payments in the form of royalties to the Claim Group; and
(n) the Project Amendment Act 1993 was assented to and commenced on 30 June 1993.
It is well settled that compensation for the compulsory acquisition of land cannot include an increase in value which is entirely due to the scheme underlying the acquisition.
Accordingly, in the context of s 51(1) of the NTA, there appears to be no room for any equivalent to the Pointe Gourde principle which, in compulsory acquisition law, requires any increase or decrease in value resulting from the government scheme of which the compulsory acquisition forms part to be disregarded. The majority of the High Court in Timber Creek [Griffiths HC] implicitly accepted this when they said 'the benefit of extinguishment to the Northern Territory was relevant only in so far as it would have informed the amount that the Northern Territory, as the sole, hypothetical willing purchaser, would have been prepared to pay for the consensual extinguishment of the native title rights and interests' [at [104]]. The fact that ss 51 and 51A of the NTA appear to operate differently in this respect from other compensation statutes may be significant in future claims depending on the value of the extinguishment to the government body.
(a) the authorities cited by the plurality in Griffiths HC at [104] are to the opposite effect of excluding Pointe Gourde or equivalent principles;
(b) having cited those authorities, one would expect the plurality to make it clear if they intended to depart from them;
(c) when the plurality did intend to depart from established precepts for the valuation of interests in land, it said so quite clearly, such as at [99] where it held that the inalienability of native title rights was not a relevant discounting factor in the assessment of their value; and
(d) it is not clear whether Justice Jagot offered support for the Claim Group's interpretation of [104] of Griffiths HC, particularly as later in her Honour's paper (at 848) the observation of the plurality at [104] was described as 'orthodox'.
But either way, the benefit of extinguishment to the Northern Territory was relevant only in so far as it would have informed the amount that the Northern Territory, as the sole, hypothetical willing purchaser, would have been prepared to pay for the consensual extinguishment of the native title rights and interests.
In my judgment, the word 'value' in the grant prima facie means the value to the owner arrived at by the process therein laid down, all the circumstances likely to affect the price upon a voluntary sale being taken into consideration. I do not think that there is any fact in this case which fastens on the word any other than its prima facie meaning. ... There can be no question that among the circumstances likely to affect the price are the nature of the title, assuming it to be good, with such restrictions as may affect sale value, and any restriction upon alienation, either by the terms of the grant or aliunde, or any other circumstance which may limit the number of probable buyers or the price which they may be expected to give. A good example is a set of restrictive building covenants in a lease. A broad rule for ordinary cases of resumption is laid down in Spencer v. The Commonwealth, where it was held that the basis of valuation is the price that a willing purchaser would at the date in question have had to pay for the land to a vendor not unwilling, but not anxious, to sell. That is the value to the owner. But, of course, the valuer must have regard to such circumstances as I have indicated, if they exist.
...
The question is, what is the loss that the Society has sustained by the taking of its land-that question being tested by the value of the land to them, not its probable value to the Government or the [National Association]. They are not to be put in a better position than they would have held if the land had not been taken from them. Hence any restriction or other circumstance which diminishes the value in their hands must be allowed for in arriving at the value.
... That being so, neither the value to the Crown, as the authority taking the land, nor the value to the National Association, the body in whose interest it is said to have been taken, are direct factors in this case.
Further, I am of opinion that, in ascertaining the value of the land in the sense which belongs to the term in this case, the right principle for a valuer to follow is that he should consider every circumstance that directly and materially affects or may reasonably be expected to affect the price which, on the basis laid down in Spencer v. The Commonwealth, any probable and capable purchaser would have to pay in order to obtain it.
The fundamental conception is the same whether the short and simple special provision of the grant is made by way of contract, or the more elaborate and general system is established by Statute. And the matter cannot be better stated than in the words of Lord Moulton (then Fletcher Moulton L.J.) in In re Lucas and Chesterfield Gas and Water Board [(1909) 1 KB 16 at 29]. The learned Lord Justice said:-'The principles upon which compensation is assessed when land is taken under compulsory powers are well settled. The owner receives for the lands he gives up their equivalent, i.e., that which they were worth to him in money. His property is therefore not diminished in amount, but to that extent it is compulsorily changed in form. But the equivalent is estimated on the value to him, and not on the value to the purchaser, and hence it has from the first been recognized as an absolute rule that this value is to be estimated as it stood before the grant of the compulsory powers. The owner is only to receive compensation based upon the market value of his lands as they stood before the scheme was authorized by which they are put to public uses. Subject to that he is entitled to be paid the full price for his lands, and any and every element of value which they possess must be taken into consideration in so far as they increase the value to him.'
It is not unworthy of observation, because it is confirmatory of the view above expressed, that the legislature evidently regards the value of land paid on resumption as unquestionably in the nature of compensation. ...
It is often said in compensation proceedings that that which is to be assessed is the value of the land to the owner, and this expression is sometimes understood and applied as if the proposition meant that the owner is entitled to recover whatever loss he may suffer from losing his land. But the point of the phrase 'value to the owner' is not that the owner is entitled to damages for all his loss consequent upon acquisition of his land, but that the value to the acquiring authority is not the measure of compensation. The principle excludes any increase in value due to the necessities of the authority which acquires the land. Where, for example, a large enterprise is in contemplation on a block of land and a single allotment in the middle of the block is required and accordingly is acquired, it may well be that the value of that allotment to the acquiring authority is tremendously greater than the value which it would possess if it were not included within the area which the acquiring authority was about to use. Such a circumstance, however, is excluded in computation of value (Cedars Rapids Manufacturing and Power Co. v. Lacoste [(1914) AC 569]).
The value of land to the owner is what he can get for it. He can never get for it more than other people will give for it. But what other people will give for it is not unaffected by what the owner is prepared to take for it, and if the sale of the land would involve him in costs and expenses that fact may be an element which would affect the amount which he is willing to take.
Now 'compensation' is a very well understood expression. It is true that its meaning has been developed in relation to the compulsory acquisition of land. But the purpose of compensation is the same, whether the property taken is real or personal. It is to place in the hands of the owner expropriated the full money equivalent of the thing of which he has been deprived. Compensation prima facie means recompense for loss, and when an owner is to receive compensation for being deprived of real or personal property his pecuniary loss must be ascertained by determining the value to him of the property taken from him.
PART L - COMPENSATION FOR CULTURAL LOSS
(a) loss from diminution or disruption to traditional attachment to country, which they stated may be manifest in perceived damage and harm to country, Dreamings, laws and customs, self, kin, and community; and
(b) loss of rights to live on, and gain spiritual and material sustenance from, the land, which they stated may be manifest in an inability to hunt and gather, to conduct cultural activities, on the land, and to 'rehearse country in situ'.
(a) the award is to be made on an in globo basis for the totality of the claim area, not on any parcel-by-parcel basis, and for the native title holders as a whole, not on any individual group, sub-group or intramural basis;
(b) the loss is intergenerational as the composition of the native title holders changes, and has changed, over time, and the entitlement to compensation is a communal or group entitlement, consistent with s 223(1) of the Native Title Act;
(c) the effects of compensable acts are to be understood from the viewpoint of the laws and customs, and cultural beliefs and practices, of the native title holders; and
(d) the effects of compensable acts are not confined to the area or areas covered by particular or individual compensable acts. The effects need to be understood in a wider setting informed by the laws and customs, and cultural beliefs and practices, of the native title holders.
(a) the nature of the Claim Group's connection to country;
(b) the effect of compensable acts on connection to country;
(c) the exclusion of effects not derived from compensable acts - that is, prior diminution of native title rights and interests;
(d) environmental impact;
(e) temporal limits;
(f) geographical issues;
(g) protection of sacred sites and AAPA-conducted consultations;
(h) the relevance of agreed benefits as informing the assessment; and
(i) the risk of double-recovery.
As further observed by the Full Court in Bodney (at [93]), there is nothing in the Evidence Act that displaces this body of law. Indeed, it is accommodated by s 60(1) of the Evidence Act which provides that the hearsay rule does not apply to evidence of a previous representation that is admitted because it is relevant for a purpose other than proof of an asserted fact. Under that provision, hearsay basis material referred to in an expert report is rendered admissible for the purpose of showing the basis or foundation for the opinions expressed in the report: Quick v Stoland Pty Ltd [1998] FCA 1200; (1998) 87 FCR 371 at 377 per Branson J and 382 per Finkelstein J; Neowarra at [38] per Sundberg J. Unlike the position at common law, hearsay evidence admitted under s 60 is admitted for all purposes (including proof of a fact asserted in such evidence): Lee v R [1998] HCA 60; (1998) 195 CLR 594 at [39]- [40]. The Court may, however, exclude such hearsay evidence under s 135 of the Evidence Act if its probative value is substantially outweighed by the danger that the evidence might be unfairly prejudicial to a party, might be misleading or confusing or might cause or result in undue waste of time. The Court may also limit the use to be made of such hearsay evidence under s 136 if there is a danger that a particular use of the evidence might be unfairly prejudicial to a party or might be misleading or confusing.
The nature of the Claim Group's connection to country
Laws and customs and the effect when country is harmed
In a Yanyuwa view of their Law (narnu-yuwa), it is the Dreamings (yijan) which give them the rights and responsibilities entailed in belonging to a particular land-owning group and associated tracts of land, rivers, islands and sea. Each area of land has associated with it a patrilineal clan group. The Dreamings which gave meaning to each area of land also have the same patrilineal clan classification.
This is a hard question because Dreaming is a really big thing. The Dreamings made our Law. This Law is the way we live, our rules. This Law, is our ceremonies, our songs, our stories; all of these things came from the Dreaming. The Dreamings are our ancestors, no matter if they are fish, birds, men, women, animals, wind or rain. It was these Dreamings that made our Law. All things in our country have Law, they have ceremony and song, and they have people who are related to them. The Dreamings named all of the country and sea as they travelled, they named everything they saw. The Dreamings gave us our songs. Those songs are sacred and we call them kujika. These songs tell the story of the Dreamings as they travelled the country, everything the Dreaming did is in the songs, the country is in the songs, the names of people are in the songs.
The concept is of an inner essential distinguishing feature of many kinds of things, including areas of country, totems (Dreamings), people, animals and songs. The concept also refers to a person's sweat. In this sense, people affiliated to particular areas (estates) through patrifiliation, thereby standing as [ngimirringki] for the country, share an internal spiritual essence with the land and its Dreamings. Similarly, a person's maternal grandfather's country, for which they stand as jungkayi, is associated with one's mother's (and her patriline's) spiritual essence.
Damage to, or failure to protect, sites and country associated with this spiritual essence can generally be viewed as rupturing the connection between people and their ancestors, representing a failing of carefully balanced and reciprocal social responsibilities.
Performing different ceremonies, passing on knowledge to the younger generations, going out hunting and fishing, burning country and living on country ... which help us look after country and keep the connection between our people and the land strong.
Cultural landscape - Dreamings for the areas and the presence of ancestors
Although the accounts of the Rainbow Snake's presence in the river at around Jirrinmini vary in some specific details, there appears to be a general consensus amongst the custodians that it lies in the river with its head (damangga) located at Jirrinmini and its tail (wurrgaliyama) extending downstream to Bullocky Crossing. This makes the whole area including Jarimajbinna, the nearby Kabula [Garbula] tree, Bullocky Crossing and Jirrinmini a site 'complex' containing not only the separate and 'distinct' 'sites' mentioned here, but also the extant 'spiritual' or 'totemic' 'essence' of the Dreaming entity spread along the river and over the adjacent areas of land.
Mimbiri is on McArthur River Station; it's north-east from the Mine. I went there on a helicopter with Bruce Joy [(deceased)] and the sacred sites mob a long time ago. Bruce told me that the Snake went from Mimbiri to Warunguri. I don't know of any roads going in there; Bruce just followed the songline through the country. The Snake then went to Dadalani. He chased a kangaroo and went to Nanbadini and then to the Garbula Tree. This is a big white gum tree, really close to the open-cut. The Mine put up a fence around that tree; I've seen it. The Garbula Tree is where our family's Snake was looking at the Coolibah family Snake. Our Snake stopped at the Garbula Tree, and then lay along the River and finished there. Our family's Snake was cut when the McArthur River was moved around the open-cut.
when he got there he knew he was in the right place. Then he stretch himself along that creek ... and he stand up and he said 'I'm happy, I'm back my home, my Mamabaliya country'.
There's also a Barramundi Dreaming place called Damangani; that's Wurdaliya country. Damangani is a big ridge inside my family's Mambaliya country; the Dodd family are the main ngimirringki for Damangani. I'm jungkayi for the Dodd family; it's my job and the job of the other jungkayi to look after that place and that country. No one is allowed to go to Damangani without me or another jungkayi. There is a fence between the Mine and Damangani. The waste rock dump is so big and so close to Damangani that you can barely see that Dreaming from the Carpentaria Highway anymore. The only real way to see it is by asking the Mine mob to let you in. That makes me worry; if I can't see the Damangani I don't feel like I can look after it properly.
An important Wurdaliya Dreaming in the Port area is the Wundunyuka (Sea Turtle) Dreaming. In Yanyuwa language, we call the sea turtle wundunyuka and in Marra we call it yundanyuka. The Sea Turtle comes down Mule Creek from Wilarri, then heads across the sea to Liwintha. Liwintha is a reef in the sea between West Island and the mainland. The Wundunyuka went along the coast of West Island and stopped at Maabayj too, on the north western side of West Island. In the sea to the north of the Port is a reef we call Aburri. This is a sacred and dangerous place ... The Wundunyuka also visited Aburri. Through my mother, I'm jungkayi for that Wundunyuka Dreaming
The country around the Mine still looked alright in the early 1990s. It wasn't badly damaged like it is now. People used go fishing and hunting around there. I used to go out for the day with the old men. Before the River was diverted and the open-cut went in, I used to go hunting and fishing with them on the eastern side. To get there, we used to cross the McArthur River at Eight Mile crossing on the road to Merlin Mine, and then swing back towards the River on a bush track. The crossing is a bit downstream from Gulpalyi (Eight Mile waterhole). There were cattle fences and gates, but they weren't locked. I used to sit down by the River and listen to those old men's stories. If we caught fish or short-neck turtles, we often sat there and cooked them up. If we caught a wallaby, sometimes we cooked it up by the River, but we mostly brought it back to town for family. If we needed water, we used to fill up a billy can from the River and boil it up for tea.
After getting back to Borroloola in the early 1990s, I started trying to visit my country in the Mine site. To get into the Mine area and visit a sacred site like the Garbula Tree, we had to go through the Mine's front gate. We had to ring the Mine mob and ask to go on the site; it still works that way. I didn't like ringing the Mine mob. I think I might have only rung them once to ask to go onto my country. If they let us in, they would take us around on a tour. It's still the same today, we can't visit any of the country around the Mine without supervision. I feel a bit shamed about having to ask the Mine mob to go onto my own country. In our law, I'm supposed to look after my father's and ganggu's country. It feels wrong that I should have to ask permission from a stranger to do that.
There were hardly any white people around in those days. Bing Bong was an outstation for McArthur River Station back then. Some people came up there from McArthur to muster but, other than that, there were no whitefellas around. We just about had the place to ourselves - we like it that way. It was free land.
... 1985 represents a time when there were no more sizable camps of Yanyuwa and Marra families attempted at Bing Bong and people moved at the other favoured cold season camping place at 'The Landing' on the McArthur River, just downstream from the King Ash Bay Fishing Club. [There was a] gradual decline in camping at Bing Bong associated with gates being locked which restricted access and then the subsequent development of the haul road and Port Facility, further complicated by the Western Mining developments all of which have precluded Yanyuwa and Marra people from camping at Bing Bong.
Effect of compensable acts on connection to country
Aboriginals view total clan areas as being acted upon by particular mythological beings who have enriched the local land both ritually and economically i.e. people talk of Snake country, dingo country, shark country etc. Within these overall areas though, there are focal sites of particular significance which contain important evidences of the continued presence and creative power of the 'dreaming' creature that was, and continues to act on the total area. Places where the beings left part of their bodies, sacred ritual objects, performed ceremonies, where they made specific marks on the landscape with their bodies, usually constitute these focal sites.
In June 1975, McLaughlin documented a visit to the mine with traditional owners and a future possible river diversion was raised. Aboriginal people present indicated focal sites to be avoided. McLaughlin's opinion (pp.6-7) was that 'the total landscape in the mine area was regarded as "Dreaming" country' so that the mine's undertakings to avoid specific areas did not encompass 'the traditional outlook'. To quote, McLaughlin concluded that 'promised protection of small areas was really a travesty of their privately expressed idea that the total country should not be changed'.
(The reference to visiting a 'mine' must in context be a reference to early drilling and mining discussed at [1161]-[1162] below).
... the effects will be felt nevertheless as a result of the pervasive presence of the Rainbow Snake and other associated Dreamings within the totality of the landscape in this area. It is expected that there will be 'flow on' effects at sites in the river, namely Jirrinmini and Wurrinini.
The spiritual significance of the Dreamings that have been documented extends across the landscape of the mining interests and the gas pipeline route with named sites a focus for particular cultural meanings and traditional rights.
Harm to Dreamings, country and native title holders
Niblett ... concluded that local beliefs included a conviction that disturbances to the Rainbow Snake potentially involved dangers to individuals and to human health, cataclysmic events, betrayal of responsibilities to living custodians, and inability to transmit traditional spiritual knowledge to younger generations.
... when they diverted the river, they cut that snake dreaming. ... I think some people have got sick from the mine. We're frightened all the time.
When the Mine dug the open-cut, they dug right into the Davey Snake. ... When they moved the River and dug up the country around it, they took the spirit away from the country ... . The spirit of the country is important to Aboriginal people; it's like our wealth. It's what we pass on to the next generation.
The left of the painting shows a time when we had control over our country. The right of the painting shows what it's like now when we have no control over our country and how the resting place of the Rainbow Serpent has been smashed by the Mine. The men standing up the top of the painting are the minggirringi and jungkayi. On the left the eyes of the Snake are guarded by the minggirringi and jungkayi. On the right the minggirringi and jungkayi are worried about the Snake being desecrated. The two eyes are the living spirit of the Snake watching the damage that the Mine mob are doing, wondering when they are going to stop and leave us alone.
[This]is a painting I also did in March 2020 called 'Open cut mining at McArthur River Mine'. This painting is about the Mine site and shows the Mine mob digging and clearing the country to make that big man-made hill. You can't see the open-cut because I was mainly thinking about the man-made hill. In this painting, Mine workers are piling up waste rock to make the man-made hill.Where the Mine mob have cleared the country, it doesn't look good, it's not healthy. Today, that man-made hill is just getting bigger and bigger. I feel no good in my stomach when I see that place. No one in my family feels good seeing our country at the Mine anymore.
When that open cut mine happened, it destroyed the country real bad. They cut open the country and they moved the river. ... I'm worried for my people because that country is hurt by the mine. The country been damaged up, they gone in like a mob of worms.
As part of my job at the Port, I sometimes drive out to the Mine site to pick up stores. I've seen a few places at the Mine site. The country is unrecognisable from what it used to be when I was a kid; the river has been moved, there are buildings and machinery everywhere, a huge open cut pit and a waste rock pile. I've looked into the open cut from a lookout they have at the Mine site. It's a very deep pit; the trucks at the bottom look tiny. Nowadays, that country is not the lush, green and beautiful country I remember seeing as a kid. It is badly damaged. I feel sorry for that country.
When you push over trees, dig things out of the ground, change the creeks and the rivers, you take our history away from us. ... Now it's been desecrated, disturbed, demolished and it's disappearing. They're tearing the country up, damaging our sites ... That kills our souls and our spirits.
... the key modes of expression of experience of this cultural loss have been that people feel deeply a somatic bodily sense of unease and disquiet that is summarised in the sense of being afflicted with having a 'bad stomach'. This is expressed in the words of feeling 'no good binji'. The related concepts are feelings of shame and embarrassment in the face of the Dreamings that have been interfered with and damaged.
Feeling 'shame' for country, then, is related to feeling 'sorry' and uncomfortable about what has impacted the spiritual and physical features embedded in the land and waters.
When that mine changed from underground to open cut maybe 10 years ago, you have to blame me for that because I'm the nimarringki. That mine talked to Bruce Joy [(deceased)] and me about changing the mine from underground to open cut. I talked to Bruce Joy. Because my junggayi man he say yeah, we'll have to let the mine go ahead, and I had to follow that line. When that junggayi man go to you, you got to follow what he say. If you say no, then he might kill you for that. I had to say yes, there was too much asking from the mine for open cut, for changing the river around. Now I look back and I was just stupid and young, and today I'm feeling sad for what happened. I should have blocked off that area. I should of blocked it off before. The mine, they brainwashed me. I had no power.
...Today, I'm sad, sick and worried. I'm wondering why all these things happened. I'm worrying about that mine. I'm worried about all my people. It's not changing, I'm going to feel sorry all my life.
Even though it was the mining company that put the Mine there, we are still blamed for what has happened. People from Borroloola, like the Yanyula mob down the McArthur River, sometimes ask me and my brother: 'Why did you let the Mine happen?' They say that we should have worked harder to stop the Mine and the expansion of the Mine. I feel ashamed when I think about this.
... if there were to be an agreement to 'give this tree away', i.e. allow it to be impacted negatively or destroyed, other jungkayi who know its significance will blame the decision-makers.
The Dreamings in the Bing Bong area are lonely; they need us to look after them. It feels hard to do that with the Mine mob making such a mess of the Bing Bong area. Everything has been interrupted there. Every day, big mining trucks from the Mine drive across the Black Nosed Python track and through the Winter Rain area. The Bing Bong road goes through this area and has big trucks crawling all over it, spilling dust. ... I don't feel free to look after my country.
From my own observations and listening to men and women such as Dinah [Norman] and Mavis [Timothy] their comments speak to a twofold process as they see it; first, that the Port Facility has created at Bing Bong, a site that has destroyed a history of Indigenous Law in the area and Bing Bong as a gathering place for many of the other language groups in the south west Gulf of Carpentaria; and, secondly, it has created a despoilment of the environment and further restricted access to places where people would once access desired resources.
It makes me feel no good in my stomach (binji) that we can't go where the Port is, and that we can't show our kids and our grandchildren the country there. They have buggered up the Port properly; it was free country before. We have to tell the kids that the way we used to be able to use Bing Bong is now finished
In 1994 I took Roddy Harvey (deceased), Jemima Miller (deceased) and Dinah Norman for a drive to Bing Bong. We drove to the look-out area and on the way back we stopped near Warangala lagoon [#7] to collect some bark which could be burnt to make white ash. Roddy was talking about how her ardirri, her spirit child, came from Wurruwiji [#2] and she stood up, and with what can only be described as a sense of deep physical and emotional pain faced towards Wurruwiji and cried out in Yanyuwa:
Ah dear me! This is all too much I am telling you! They have cut you! They have emptied you! My stomach burns with shame for you! I walked here when I was young with my father, with my mother, my father found me in this country, I come from this country, my spiritual essence is from here, this country is the place of my origin. I am crying, tears are falling, they have cut you deeply, so far down, they have flattened you, wiped you out completely. I am finished now, I just had to tell you this.
There's a fence around the area where they dig up the minerals and for the other things like the tailings dam, the waste rock pile and the airport. The open-cut where they get the minerals, the waste rock pile and the tailings dam are all really big.
A lot of the Mambaliya country around the Mine is fenced off now; you can't get in there without calling the Mine people first. Then, they have to follow you around, escort you. The Mine mob say that we can come and visit our sacred sites, but we can only do that if someone from the Mine comes with us. ... I can't go there and fish or camp with my family whenever we want to and without other people being with us. It feels wrong to have to call them.
Now, Gudanji people are losing our connection there because we can't go to the country and use it in the proper way, like our old people did. We don't have the same opportunity to learn and to teach the next generation about places like Jirrinmini, Damangani, Yukuwala and the Garbula Tree; that's because we can't go there without permission from the Mine. Going there as part of sacred site surveys doesn't give us the same opportunity to learn and teach about these places as being able to go there freely when we want and with who we want. ... We can still get to Gulpalyi, but not to Jirrinmini or sacred places like the Garbula Tree. There's a boom gate at that track stopping us from going in. If we want to go in there, we have to get permission from the Mine mob and follow their rules. ... Asking someone else to go on your own country is shame job.
We weren't comfortable to walk with the bloke from the Mine because we want to be able to go to sacred sites, talk to our ancestors and talk about our culture among ourselves. This isn't something that whitefellas who we don't know should be able see. They haven't been through ceremony, and they don't understand.
We tell the Mine mob whether they are clear to do something there. The Aboriginal Areas Protection Authority is usually part of these talks. I'd like it if the Mine wasn't there, but we can't stop it, so we try and make sure some things are looked after if we can. Sometimes they listen to us and do what we ask.
Today, there is a big, fenced area at the Port. Inside there is a wharf on the channel that they have dug for the Aburri barge to come in and out; it comes in and out all the time. There are buildings inside the fenced area; one of them is a really big shed. There is also a kind of dam inside this area and some tracks and roads. The channel keeps getting dredged and it looks like the mud that is dredged up has been dumped on the land to the south side of the buildings. Lots of roadtrains bring the stuff that is mined from the Mine to the Port. It's loaded onto the Aburri by a big loader. The place is noisy.
There are a lot more whitefellas in the Port area than there used to be. There's whitefellas who work at the Port; some of them go out on boats or go fishing in the area in their time off. Plenty of tourists now take their boats down to the new boat ramp at Mule Creek. Since the good road was put in for the Port, there are a lot more tourists at Bing Bong. Every day, lots of big trucks come to the Port area, bringing what they dig up at the Mine so that it can be unloaded and then loaded on to the barge, Aburri. The area is quite noisy now with all the trucks and machines.
the Port stuff was there - all the buildings, trucks and whitefellas everywhere. We also knew we'd get in trouble if we burned that country; the Mine mob own it, it's not free land where we can do what we want.
I don't want to hunt in the Bing Bong area in front ... of the Port and all the whitefellas that are around. There's nowhere private out at Bing Bong where we could bring in our catch, butcher it properly away from people watching us, make a ground oven and have a feed.
The causal impacts of locking of gates, having to ask permission to enter certain areas and the developments of the road and Port Facility have all had a very constraining impact on how families might now choose to move through Bing Bong and access resources.
Even where the pipeline doesn't cut through a sacred site, it still interferes with those Dreamings if it crosses them. It doesn't matter that they put the pipeline in underground; in our law, and culture, we're connected all the way through the country, not just the surface.
Effects not derived from compensable acts - prior diminution
[205] The earlier acts, which were not compensable, punched holes in what could be likened to a single large painting - a single and coherent pattern of belief in relation to a far wider area of land. The subsequent compensable acts punched further holes in separate parts of the one painting, and the damage done was not to be measured by reference to the holes created by the compensable acts alone, but by reference to the effect of those holes in the context of the wider area: for example, an area which, as the trial judge found, remained important to the Ngaliwurru and Nungali Peoples despite the fact that the area was no longer able to be used as a ritual ground.
[206] This analysis reinforced what his Honour had said earlier: the consequences of acts can be incremental and cumulative; the people, the ancestral spirits, the land and everything on it are 'organic parts of one indissoluble whole'; the effects on the sense of connection are not to be understood as referable to individual blocks of land but understood by the 'pervasiveness of Dreaming'; the effects are upon an Aboriginal person's feelings, in the sense of his or her engagement with the Dreamings; an act can have an adverse effect by physically damaging a sacred site, but it can also affect a person's perception of and engagement with the Dreamings because the Dreamings are not site specific but run through a larger area of the land; and as a person's connection with country carries with it an obligation to care for it, there is a resulting sense of failed responsibility when it is damaged or affected in a way which cuts through the Dreamings.
The Northern Territory's submission on the 'pre-existing state of affairs'
But in the 1970s, we didn't have rights to stop anything from happening. We were just workers. I remember Harry [Lansen (deceased)] and old Gordon [Lansen (deceased)] talking about how they couldn't stop the Mine when it first got going in the 1970s. They were saying that they knew in their hearts that McArthur was blackfella country but the government treated it as whitefella country.
(a) in 1975 the hill Mumunini (#60), described as the most important site at the time connected to the Rainbow Snake, was damaged by a bulldozer; and
(b) throughout the 1970s and as identified in 1976, the site Malayarrininni (#52), the Stinking Turtle or Yukuwala Dreaming, was cut by roads and surface bulldozing, resulting in half of the boulders being covered or bulldozed away.
[209] My approach to investigating whether there has been loss, diminution and impairment of native title rights and interests was to ask the question in general terms and in a way that would be receptive to a range of responses. In my opinion, this is not always an easy or straightforward issue to be addressed, and interlocuters responded with a wide range of views and musings. ... The issue of possible environmental impacts on country was raised occasionally but the inquiries returned fairly quickly to matters of cultural loss through impacts on Dreamings and inability to access and use country on the mining interests area.
[220] Concern about the spirituality of the country, in the form of Dreamings and spirits of deceased forebears and other relatives, at times was mixed with uncertainty regarding environmental pollution.
I don't know what they can do about putting the river right when they stop mining. If all of the waste rock is back in the open-cut and they put the river back where it used to be, I'd be worried that the waste rock would end up in the river and get washed downstream. ... I wouldn't want to live on that country around the Mine again. I'd be worried that I might get poisoned. Thinking about the river getting polluted makes me worry and feel no good. I love fishing. Gulpalyi is my favourite place. I also fish downstream from Gulpalyi at Gandini. I don't go further downstream because the Mine lease starts about there. ... I grew up there, drinking that water until I was 11 years old. [I am] happy to drink the water from the river on the upstream side of the Mine, but [I] won't do that on the downstream side.
Some people like Jack Green and Nancy McDinny are worried about pollution from the Mine. They might be right; [I] don't know what's going down the McArthur River.
...
Sometimes, I fish downstream from the Mine but usually at places that are a little bit off the McArthur River. I have not seen bad fish or gotten sick from eating fish caught in the River but I try to avoid fishing downstream of the Mine.
...
When I fish on the McArthur River down from the Mine, I usually go to Didilini which is about halfway between the Mine and Borroloola; it's close to Frog Lagoon. If I have the time, I go fishing upstream of the Mine. If I don't, I fish downstream closer to Borroloola. I am still worried about eating stuff from the river. I used to eat water mussels from the river with my grandmother .... She showed me how to find them on the riverbank. I don't eat them now because I worry they are taking up poison from the river; I have told my kids not to eat them.
I am afraid of contamination in the River so I don't like fishing downstream of the mine now. Other members of my family have told me they have the same fear. ...
I've recently seen fish floating in the River and I'm worried that it's because of the Mine. I've always liked fishing. I fish in different places including Gulpalyi, Amelia Springs, Top Crossing on Balbirini, Batten Creek, the Robinson River and the Wearyan River. I also still fish in the McArthur River near the Borroloola Crossing, even though I am afraid of contamination. I fish there because of the history of Aboriginal people fishing there and because it's so close; it's in my DNA.
I'm worried about the mud under the sea out there. ... But the stuff that we get at the Port is mixed with other chemicals, and has much more lead than the environment would naturally have. [I am] really worried about contamination to our sea foods, especially to oysters, shellfish and crabs. I remember getting oysters over at Maabayj on West Island. I don't any more, and think other families are also scared to eat them. I don't know how much lead is in the fish or crab or whatever it is we eat. Not knowing is scary.
I want that country back for our future. That country was a big part of our lives. It was valuable for us. I want them to fix what they have broken. It's not country for whitefellas just to come in and destroy. It's part of our homeland and it's really hurting us that they are polluting and wrecking it.
(a) there will be further development of the NOEF (until 2031) and the tailings storage facility (until 2037);
(b) mining in the open-cut will continue until 2037;
(c) as MLNs 1121-1126 expire in 2043, renewal applications are foreshadowed;
(d) tailings reprocessing will be undertaken until 2047, representing the end of the life of the mine. Tailings will be removed, reprocessed and deposited into the pit void, with the area of the tailings storage facility to be restored as close as possible to its pre-mining landform;
(e) the NOEF will be rehabilitated by 2047. It will be left in situ with a height of 140m, a footprint of 525 ha and with a protective cover system in place;
(f) the open pit, which on plans as at 2023 would be developed to a footprint of 368.5 ha, will be filled with tailings to within 175 m of its crest by 2047, and then filled with water, a process that might proceed until around 2052. Monitoring of the water quality will continue. Whether or not plans to reconnect the pit to the McArthur River (indicatively scheduled for 2062 and 2072) will be approved by the relevant regulatory bodies is unclear;
(g) the McArthur River diversion will be maintained; and
(h) at the Bing Bong port facility, above-ground infrastructure will be removed, unless there are opportunities to transfer ownership to third parties. The dredged channel will be left as is, but the dredge spoil area will be rehabilitated.
Well, it depends on the particulates and, I guess, the particle size, distribution, and - and whether they will settle out, compared to what's dissolved and flows through the system, or whether they will actually get entrained in - in the system and flow through the system, and it will depend on rainfall as well. So, yes, there's - there's a number of factors, and it's actually quite complex, and it's part of the reason why I think that the - the three experts agree that the model that the site is preparing for dissolved components should be extended to particles as well.
The NT EPA accepts that the presence of the mine and the diversion of the river, as well as pastoral activities, has led to a moderate level of disturbance to the river at this reach and considers that the diverted reach of the river and remnant channels should be regarded as highly disturbed.
The results from the late dry season in 2016 and early and late dry season in 2017, indicate that the regular consumption of barramundi, sooty grunter, archer fish and cherabin from the McArthur River catchment (and the Limmen and Robinson catchments) presents a very low risk to human health. Consumption of freshwater mussels should however be limited, irrespective of where they are found, given high concentrations of Pb [lead] (and Al, Mn, Fe and As) have been recorded in freshwater mussels throughout the region, including catchments outside of the influence of the mine site.
The results from the reporting period indicate an improvement in Pb concentrations, with no exceedances of the MPC for environmental indicator species for the first time since 2013. However, freshwater biota found close to the mine site continue to be impacted by MRM operations particularly within the Barney Creek diversion channel (i.e., at SW3, SW6, SW19 and SW20) and at SW16 in the McArthur River diversions channel, although a decline in Pb concentrations has continued at these sites.
The fact that cattle caught within the mine site are subjected to blood screening for lead indicates that elevated lead within cattle (which could subsequently be consumed) has been acknowledged by MRM as a potential adverse impact. No data is provided pertaining to the lead levels measured in the cattle blood, nor is any detail provided about what level of lead is considered 'unacceptable'. The management measures detailed by the IM seem appropriate to manage the risk, but it is unclear how the success of these management measures would be confirmed.
The anthropological opinion evidence of Professor Sansom is that unless dispossession ends, and land is restored and things are put back in order, these hurt feelings continue and are persistently aggravated.
the extent to which the compensable acts affected not only the precise geographical area of the lot on which the act took place, and the fact that each of the compensable acts to some degree 'chipped away' at the geographical area resulting in incremental detriment to the enjoyment of the native title rights and interests over the entire area leading to a collective diminution of the Claim Group's cultural and spiritual connection with the land and a sense of failed responsibility, under the traditional laws and customs, to have cared for and looked after the land.
Protection of sacred sites and AAPA-conducted consultations
to effect a practical balance between the recognized need to preserve and enhance Aboriginal cultural tradition in relation to certain land in the Territory and the aspirations of the Aboriginal and all other peoples of the Territory for their economic, cultural and social advancement, by establishing a procedure for the protection and registration of sacred sites, providing for entry onto sacred sites and the conditions to which such entry is subject, establishing a procedure for the avoidance of sacred sites in the development and use of land and establishing an Authority for the purposes of the Act and a procedure for the review of decisions of the Authority by the Minister, and for related purposes.
Northern Territory in closing disavowed contention that works approved through consultations
While there is awareness on the part of several persons that the mine has sought to avoid damage to particular sites, the general view among those consulted is that much of the country on the mining interests area can no longer be accessed freely to exercise traditional rights, and that the spiritual and cultural integrity of the Dreamings has been damaged.
The effects of compensable acts are not confined to the way rights and interests held under traditional laws and customs are translated as recognised native title rights. So, for example, the rights and duties of the native title holders under their laws and customs to speak for and look after country remain relevant to the assessment of the effects of compensable acts despite earlier legal extinguishment of exclusive native title.
For reasons given earlier, s 60 [of the Evidence Act] does not give to the hearsay evidence a weight or cogency which the circumstances do not warrant. The absence of an order under s 136 of the Act does not prevent the respondents from contending that in the circumstances of this case the hearsay statements should be given little or no weight and should not be relied upon. Relevantly, those circumstances include the fact that no attempt has been made to tender original evidence of the contents of the hearsay statements when the witnesses gave evidence, the failure to call some witnesses at all, and that fact that certain oral evidence is inconsistent with the previous hearsay statement.
(a) the reports, accepting for present purposes that they formed part of the business records of the AAPA, also formed part of the basis or foundation of opinions expressed by Dr Trigger in his report and were admissible on that basis, having regard to the principles, including Malone;
(b) Dr Bradley and Dr Trigger were briefed with at least some of the reports, were able to comment on them, and had the opportunity to speak with some of the witnesses who consulted with the AAPA (relevantly Ronnie Raggett and David Harvey) as part of their own field work; and
(c) a limitation on use of the reports under s 136 is appropriate to avoid their use in a manner apt to mislead or confuse. Although the Northern Territory's concession (at [1321] above) is important and ordinarily would mean that an express limitation is not required, there was some suggestion to the witnesses in cross examination that the reports and their involvement in consultations meant that they had approved the underlying works (some of which were extensive), rather than agreeing the conditions that might be attached in order to protect sites on the assumption the works proceeded. This revealed itself in some confusing evidence, justifying the exercise of my discretion to limit the use of the reports.
Mr O'Leary: Now, the point of the consultation was in consideration of the proposed project at - the point of you talking to Dr Avery at the time was about seeking the custodians' views on the construction of the facility at Bing Bong. Do you remember that? No? You don't remember why you spoke to him at the time?
David Harvey: I think we - I think we wanted to stop it but I ...
...
Mr O'Leary: ... I'm not suggesting that [you're the only one]; what I'm suggesting to you is you were part of the group who approved it - the group of custodians who approved it.
David Harvey: Well, that's my elders, they approved it.
Mr O'Leary: Your elders approved it.
David Harvey: I don't know - yeah, they approved it, not us. We can just go out and just stand there one side of my fathers and my mum.
Madden consultations (phase 3 development) 2012
Mr O'Leary: So it was as a result of that consultation that the certificate was issued by the Aboriginal Areas Protection Authority and you were one of the custodians that had agreed to those works being undertaken in Areas A, C and D, subject to conditions that were imposed, particularly with respect to Damangani. You agree with that?
So, in that sense, it's clear that there have been times when you have been consulted by the mine and you have - sorry, not consulted by the mine; I withdraw that - consulted by the Aboriginal Areas Protection Authority in relation to works that were proposed to be undertaken by the mine. You - yes - you're nodding yes. We're recording, so - - -
Asman Rory: Yep.
Mr O'Leary: Yes.
Asman Rory: Sorry.
Mr O'Leary: No, that's alright. And you have agreed, at least on this occasion, to those works being undertaken.
Asman Rory: Yeah.
Section 136 Evidence Act limitation
(a) there was no opportunity for the Claim Group to cross examine the authors of the reports;
(b) Dr Bradley in his oral evidence raised reservations about Dr Avery's report, particularly as Dr Avery referred to only certain and not all sacred sites in the port area;
(c) the reliability of the Avery report insofar as it purported to state who was involved in the consultations was called into question by the evidence of Mavis Timothy;
(d) Dr Trigger raised concerns based on his fieldwork experience about the extent to which the Zukowski/Dymock consultation process would have informed those present of the real size and scope of what was being considered, a concern he said was informed by later expressions made to him of surprise about scale from some of those consulted. Although he accepted that some knowledge of the physical landscape would assist in interpreting (for example) maps or models, he was not confident that in a consultation people present would accurately foreshadow what a development was going to look like or appreciate the scale of proposed physical changes;
(e) there was some direct oral evidence that was inconsistent with what was stated in the reports about aspects of the consultations, including whether there had been consultation with estate groups which accorded with law and custom (for example, Jack Green's denial that he could speak for the mine area with Mr Madden);
(f) the NLC expressed concern in communications to the Minister for Mines and Energy (Northern Territory) in October 2006 about the validity of the sacred site certificates and whether they should be revisited, and although the Northern Territory apparently dismissed such concerns, it is not irrelevant that there was criticism at the time of the processes that had been employed; and
(g) a ministerial review of an AAPA decision published in 2021 cast doubt on aspects of the method of identifying custodians for the purpose of agreement-making under s 22 of the Sacred Sites Act. The Minister considered that a list of custodians who could speak for Damangani that had been relied upon was incomplete. It appears an application by MRM for a further sacred site certificate relating to an increase in the height of the NOEF near Damangani is extant.
Relevance of benefits received as informing the assessment of cultural loss
Risk of double-recovery - economic loss and material and spiritual sustenance
the compensation for loss or diminution of traditional attachment to the land or connection to country and for loss of rights to gain spiritual sustenance from the land is the amount which society would rightly regard as an appropriate award for the loss.
PART M - BENEFITS IN THE ASSESSMENT OF CULTURAL LOSS
Although compensation by the Territory for the effects of validating the mineral leases on the native title rights of the Gurdanji and Yanyuwa Peoples is distinct from any agreement they may make with Glencore about the future operation of the mine, it is desirable that a dialogue be opened up among all interested parties ...
(a) the ultimate question is where the interests of justice lie;
(b) although the categories are not closed, there are recognised classes of cases where leave to reopen may be given, and, relevantly, one of those is where there is new evidence;
(c) likely prejudice to the party revisiting the application is relevant;
(d) the public interest in the timely resolution of litigation is relevant; and
(e) the probability that the additional evidence will affect the result is also relevant - if success in reopening is not likely to make any difference to the outcome of the trial, that would weigh against putting the parties and the court to the trouble of reopening.
[T]he issue turns on the character and purpose of the particular financial benefit which the plaintiff receives: Was the benefit conferred on [the plaintiff] independently of any right or redress against others and so that he might enjoy the benefit even if he enforced the right?
The rule against double compensation may be invoked by one or more defendants. If it can be shown that the plaintiff/claimant has already received recompense in any form in respect of the loss for which compensation is claimed against the defendant invoking the rule, then the plaintiff's loss requiring compensation from that defendant is regarded as discharged pro tanto. To award compensation with respect to that loss against that defendant would be to permit double recovery by the plaintiff in respect of a loss no longer calling to be compensated.
The rule against double compensation does not involve being captive to the payer's intent or the juridical reason for the payment. Thus, money recoverable under one cause of action from one defendant may be reduced because a third party owing a different legal duty (or none at all) has paid money that is viewed by the law as covering the loss for which compensation is claimed.
Compensation for commercial contracts in Griffiths
4.1 The Members of Local Aboriginal Groups agree to accept the arrangements provided in this deed as full compensation in respect of any liability of the Commonwealth to any of the Members of Local Aboriginal Groups for any effect on any native title that might exist in the land the subject of the Mining Interests as a result of any act or omission of the Commonwealth, including any act or omission of the Commonwealth relating to the granting or validation of the Mining Interest by the Northern Territory.
4.2 The Members of Local Aboriginal Groups and the Association agree to make no claim against, and to release the Commonwealth from liability to them for any effect on any native title that might exist in the land the subject of the Mining Interests as a result of any act or omission of the Commonwealth, including any act or omission of the Commonwealth relating to the granting or validation of the Mining Interest by the Northern Territory.
Firstly, it is important to note that the expansion of the mine has been approved. While it was not intended and did not address native title compensation, the Government expended considerable effort in securing from [the mine owner] a substantial community benefits package which comprises $32M over 25 years. I am advised that this will be administered by a trust which will disburse funds to projects, with a clear preference for projects which will secure Indigenous people into employment at the mine and/or commence new ancillary businesses in support of the mine. Other projects which substantially benefit local Aboriginal groups will also be considered.
(a) the second applicant in this proceeding (Top End (Default PBC/CLA) Aboriginal Corporation RNTBC, referred to in the ILUA as the Native Title Party) on its own behalf and as agent for the Claim Group;
(b) Gudanji Yanyuwa Garrwa Marra Aboriginal Corporation (GYGM) representing the Traditional Owners and Custodians of the Mine and the Port (being the 'traditional Aboriginal owners' under the Aboriginal Land Rights (Northern Territory) Act, the Claim Group and custodians of sites under the Sacred Sites Act);
(c) 'Claimants', being identified persons as agents for those who claim to hold native title where there has not been a determination of native title (relevantly the area of MLN 1126 outside PPL 1051); and
(d) MRM.
(a) The need to acknowledge and redress impacts on Traditional Owners occasioned by the McArthur River Mine without the free, prior and informed consent of Traditional Owners (MRM Apology);
(b) The need for MRM to have approvals and agreements for future Mining Activities, including approvals required under the NTA, the Sacred Sites Act and the Heritage Act 2011 (NT) (Specific Support for the Mine).
The Parties wish to enter into this agreement to complement the existing and continuing obligations under the Cooperation Agreement and the Cultural Heritage Management [Agreement] and to record the agreement of the Native Title Holders to:
(i) agreements and commitments between the Parties to improve their relationship;
(ii) MRM's agreement to provide benefits to the Traditional Owners from the operation of the Mine; and
(iii) the consent and support of Traditional Owners, Claimants, the Native Title Party and GYGM in relation to the continued operation of the Mine.
(a) The Native Title Party consents to the Mining Rights, whether or not they are Future Acts.
(b) The Native Title Party must take reasonable steps to enable the Mining Rights and must not:
(i) object to the Mining Rights; or
(ii) do or omit to do anything that would prevent or delay the Mining Rights.
(a) The Native Title Party for and on behalf of the [Claim Group], and the Claimants for and on behalf of the holders of native title in the Agreement Area outside the Determination Area:
(i) agree that the benefits provided under this agreement are:
(A) in full and final satisfaction of any Compensation for which MRM or the holder of the Mining Rights is liable arising from any act or activity on or after the Execution Date;
(B) received on behalf of all holders of Native Title of land within the Agreement Area;
(ii) irrevocably release and discharge MRM and any other holder of the Mining Rights from time to time from any liability to Compensation for which MRM or the holder of the Mining Rights is liable arising from any act or activity on or after the Execution Date.
(c) nothing in this clause 17 releases or limits in any way the right of the Native Title Party and [Claim Group] to compensation or damages:
(i) from either the Northern Territory or the Commonwealth, including in the matter of Davey on behalf of the Gudanji, Yanyuwa and Yanyuwa-Marra Peoples & Ors v Northern Territory of Australia & Ors (NTD 25 of 2020) or any appeal from that matter, and including in respect of any act or activity by any person before or after the Execution Date.
any rights or entitlements to compensation ... under any law, common law and new legal principles established from time to time arising from the effect of:
(a) the Mining Rights;
(b) the undertaking of activities at the Mine; or
(c) any Future Act consented to under this agreement,
on the rights or interests (including Native Title rights or interests) of the [Claim Group] or Traditional Owners.
What is addressed by the particular benefits?
[REDACTED] [REDACTED] [REDACTED] (cl 3.2), [REDACTED] [REDACTED] [REDACTED] (cl 3.3), [REDACTED] [REDACTED] [REDACTED] (cl 3.4)
Lump-sum payment to fund a keeping place for significant cultural artefacts (cl 3.5(a))
Lump-sum payment for the establishment of a Gudanji Rangers group (cl 3.6)
Continued entitlements under the Community Benefits Trust (cl 3.8)
Participation in employment, training and business opportunities (cl 7)
[REDACTED] [REDACTED] [REDACTED] [REDACTED] [REDACTED] [REDACTED] [REDACTED] [REDACTED] [REDACTED] (cl 9.3)
The relevance of clause 17 - 'Satisfaction of Compensation'
Conclusion - assessment of compensation for cultural loss having regard to ILUA
PART N - VARIOUS - MLN 582 ALTERNATIVE FINDING, INTEREST
Freehold value of MLN 582 as at 30 June 1993 = 4,000
Applying the 45% discount = 0.55 x 4,000 = 2,200.
(a) MLNs 1121-1126 - 30 June 1993 (suggested by Claim Group and date of validation of leases);
(b) Road - 1 April 1994 (date construction commenced);
(c) Pipeline Licence - 10 May 1994 (date of grant of licence); and
(d) non-pastoral use permits - 9 April 1994 (grant of first permit).
I certify that the preceding One thousand five hundred and eighty (1580) numbered paragraphs are a true copy of the Reasons for Judgment of the Honourable Justice Banks-Smith.
Davey on behalf of the Gudanji, Yanyuwa and Yanyuwa-Marra Peoples
Northern Territory of Australia
NATIVE TITLE - compensation for economic loss - where Claim Group have no claim to underlying minerals - whether economic loss to be assessed on the basis of a hypothetical comparable bargain that may permit regard to integers such as revenue and royalties - whether alternatively economic loss is to be assessed on the basis of the value of the freehold estate as proxy, following the approach endorsed in Northern Territory v Griffiths [2019] HCA 7; (2019) 269 CLR 1 (Griffiths)
STATUTORY CONSTRUCTION - whether grants of non-pastoral use permits by the Pastoral Land Board (NT) were administrative acts within the meaning of the Project Act - consideration of Griffith University v Tang [2005] HCA 7; (2005) 221 CLR 99 in context of statutory construction
ADCO Constructions Pty Ltd v Goudappel [2014] HCA 18; (2014) 254 CLR 1
Alcan (NT) Alumina Pty Ltd v Commissioner of Territory Revenue [2009] HCA 41; (2009) 239 CLR 27
Allianz Australia Insurance Limited v Delor Vue Apartments CTS 39788 [2022] HCA 38; (2022) 277 CLR 445
Australian Competition and Consumer Commission v Air New Zealand Limited (No 7) [2013] FCA 83; (2013) 209 FCR 361
Australian Education Union v Department of Education and Children's Services [2012] HCA 3; (2012) 248 CLR 1
Australian Financial Services and Leasing Pty Ltd v Hills Industries Ltd [2014] HCA 14; (2014) 253 CLR 560
Banjima People v State of Western Australia (No 2) [2013] FCA 868
Banjima People v State of Western Australia [2015] FCAFC 84; (2015) 231 FCR 456
Baxter v Obacelo Pty Ltd [2001] HCA 66; (2001) 205 CLR 635
BHP Billiton Nickel West Pty Ltd v KN (deceased) [2018] FCAFC 8; (2018) 258 FCR 521
Bodney v Bennell [2008] FCAFC 63; (2008) 167 FCR 84
Boland v Yates Property Corporation Pty Ltd [1999] HCA 64; (1999) 167 ALR 575
Braham v ACN 101 482 580 Pty Ltd [2018] VSC 575
Briggs on behalf of the Boonwurrung People v State of Victoria [2024] FCA 288
Broken Hill Pty Co Ltd v The Valuer-General [1970] AC 627
Campbell v Backoffice Investments Pty Ltd [2009] HCA 25; (2009) 238 CLR 304
Ceerose Pty Ltd v Building Products Australia Pty Ltd [2015] NSWSC 1886
Certain Lloyd's Underwriters Subscribing to Contract No IH00AAQS v Cross [2012] HCA 56; (2012) 248 CLR 378
Clark v Macourt [2013] HCA 56; (2013) 253 CLR 1
Commissioner for Railways (NSW) v Agalianos [1955] HCA 27; (1955) 92 CLR 390
Commissioner of Taxation v Consolidated Media Holdings Ltd [2012] HCA 55; (2012) 250 CLR 503
Commonwealth of Australia v Yunupingu [2025] HCA 6
Congoo v Queensland [2014] FCAFC 9; (2014) 218 FCR 358
Corrie v MacDermott (1914) 18 CLR 511; [1914] AC 1056
CPB Contractors Pty Ltd v Celsus Pty Ltd (No 2) [2018] FCA 2112; (2018) 268 FCR 590
Dasreef Pty Ltd v Hawchar [2011] HCA 21; (2011) 243 CLR 588
Davey on behalf of the Gudanji, Yanyuwa and Yanyuwa-Marra Peoples v Northern Territory of Australia [2023] FCA 303
Davey on behalf of the Gudanji, Yanyuwa and Yanyuwa-Marra Peoples v Northern Territory of Australia (No 3) [2023] FCA 521
Duncan v Independent Commission Against Corruption [2015] HCA 32; (2015) 256 CLR 83
Electricity Generation Corporation v Woodside Energy Ltd [2014] HCA 7; (2014) 251 CLR 640
Esso Australia Pty Ltd v Australian Workers' Union [2017] HCA 54; (2017) 263 CLR 551
Frigger v Trenfield (No 7) [2020] FCA 1740
Fuller v Lawrence [2024] HCA 45
Gollan v Randwick Municipal Council [1961] AC 82
Griffiths v Northern Territory of Australia (No 3) [2016] FCA 900
Haines v Bendall [1991] HCA 15; (1991) 172 CLR 60
Hammond v JP Morgan Trust Australia Ltd [2012] NSWCA 295
Harrington-Smith on behalf of the Wongatha People v State of Western Australia (No 7) [2003] FCA 893; (2003) 130 FCR 424
Kramer v Stone [2024] HCA 48
Lansen v Minister for Environment and Heritage [2008] FCAFC 189; (2008) 174 FCR 14
Lansen v NT Minister for Mines and Energy [2007] NTSC 28
Lardil, Kaiadilt, Yangkaal, Gangalidda Peoples v State of Queensland [2000] FCA 1548
Law Society of New South Wales v Glenorcy Pty Ltd [2006] NSWCA 250
Lewis v Australian Capital Territory [2020] HCA 26; (2020) 271 CLR 192
MacDermott v Corrie [1913] HCA 27; (1913) 17 CLR 223
Malone on behalf of the Western Kangoulu People v State of Queensland (No 3) [2022] FCA 827
Margarula v Northern Territory of Australia [2016] FCA 1018; (2016) 257 FCR 226
McArthur River Mining Pty Ltd v Lansen [2007] NTCA 5
McKay v Commissioner of Main Roads (No 7) [2011] WASC 223
McKay v Commissioner of Main Roads [2013] WASCA 135
Monroe Schneider Associates (Inc) v No 1 Raberem Pty Ltd [1991] FCA 592; (1991) 33 FCR 1
Mount Bruce Mining Pty Ltd v Wright Prospecting Pty Ltd [2015] HCA 37; (2015) 256 CLR 104
Narrier v State of Western Australia [2016] FCA 1519
National Insurance Co of New Zealand Ltd v Espagne [1961] HCA 15; (1961) 105 CLR 569
Nelungaloo Pty Ltd v The Commonwealth [1947] HCA 58; (1948) 75 CLR 495
Netdeen Pty Ltd t/as GJ Gardner Homes v Lindfield NSW Pty Ltd [2025] NSWCA 196
Newcrest Mining (WA) Ltd v The Commonwealth [1997] HCA 38; (1997) 190 CLR 513
Ngajapa v Northern Territory of Australia [2015] FCA 1249
Northern Territory of Australia v Alyawarr [2005] FCAFC 135; (2005) 145 FCR 442
Northern Territory of Australia v Griffiths [2017] FCAFC 106; (2017) 256 FCR 478
One Step (Support) Ltd v Morris-Garner [2018] UKSC 20; [2019] AC 649
Palmanova Pty Ltd v Commonwealth of Australia [2025] HCA 35
Perilya Broken Hill Limited v Valuer-General (No. 6) [2015] NSWLEC 43
Perilya Broken Hill Ltd v Valuer-General [2015] NSWCA 400
Placer (Granny Smith) Pty Ltd v Thiess Contractors Pty Ltd [2003] HCA 10; (2003) 77 ALJR 768
Pointe Gourde Quarrying & Transport Company Ltd v Sub-Intendent of Crown Lands [1947] AC 565
QGC Pty Limited v Alberts (No 2) [2021] FCA 540
Queensland v Congoo [2015] HCA 17; (2015) 256 CLR 239
Redding v Lee; Evans v Muller [1983] HCA 16; (1983) 151 CLR 117
Rinehart v Hancock Prospecting Pty Ltd; Rinehart v Rineheart [2019] HCA 13; (2019) 267 CLR 514
Roach v Page (No 11) [2003] NSWSC 907
Royal Sydney Golf Club v Federal Commissioner of Taxation [1955] HCA 13; (1955) 91 CLR 610
Rrumburriya Borroloola Claim Group v Northern Territory of Australia [2016] FCA 776; (2016) 255 FCR 228
SAS Trustee Corporation v Budd [2005] NSWCA 366
Sidhu v Van Dyke [2014] HCA 19; (2014) 251 CLR 505
Springfield Land Corporation (No 2) Pty Ltd v State of Queensland [2011] HCA 15; (2011) 242 CLR 632
State of Queensland v Central Queensland Land Council Aboriginal Corporation [2002] FCAFC 371; (2002) 125 FCR 89
Sutherland Shire Council v Sydney Water Corporation [2008] NSWLEC 303
SZTAL v Minister for Immigration and Border Protection [2017] HCA 34; (2017) 262 CLR 362
The Commonwealth of Australia v Amann Aviation Pty Ltd [1991] HCA 54; (1991) 174 CLR 64
The Commonwealth v Reeve [1949] HCA 22; (1949) 78 CLR 410
Tjungarrayi v Western Australia; KN (deceased) v Western Australia [2019] HCA 12; (2019) 269 CLR 150
Top End Aboriginal Corporation RNTBC v Northern Territory of Australia [2022] FCA 74
Transport for London v Spirerose Ltd [2009] UKHL 44; [2009] 1 WLR 1797
Trentelman v The Owners - Strata Plan No 76700 [2021] NSWCA 242; (2021) 106 NSWLR 227
Turner v Minister of Public Instruction [1956] HCA 7; (1956) 95 CLR 245
Vitali v Stachnik [2001] NSWSC 303
Wade v New South Wales Rutile Mining Company Pty Ltd [1969] HCA 28; (1969) 121 CLR 177
Waltons Stores (Interstate) Limited v Maher [1988] HCA 7; (1988) 164 CLR 387
Western Australia v The Commonwealth [1995] HCA 47; (1995) 183 CLR 373
Western Australia v Ward [2002] HCA 28; (2002) 213 CLR 1
Yunupingu on behalf of the Gumatj Clan or Estate Group v Commonwealth of Australia [2023] FCAFC 75; (2023) 298 FCR 160
Zheng v Cai [2009] HCA 52; (2009) 239 CLR 446
(1955) 91 CLR 610
(2017) 262 CLR 362
(2019) 269 CLR 150
(1956) 95 CLR 245
(1996) 187 CLR 1
(1998) 195 CLR 594
(2014) 251 CLR 640
(1984) 157 CLR 215
(1997) 190 CLR 513
(2019) 269 CLR 1
(2012) 248 CLR 1
(2015) 231 FCR 456
(2001) 205 CLR 635
(2018) 258 FCR 521
(2008) 167 FCR 84
(1999) 167 ALR 575
(2017) 263 CLR 551
(1991) 172 CLR 60
(2003) 130 FCR 424
(2008) 174 FCR 14
(1948) 75 CLR 495
(2005) 145 FCR 442
(2019) 267 CLR 514
(2013) 253 CLR 1
(2023) 298 FCR 160
(2009) 239 CLR 446
(2005) 221 CLR 99
(2014) 254 CLR 1
(2009) 239 CLR 27
(2022) 277 CLR 445
(2013) 209 FCR 361
(2014) 253 CLR 560
(1979) 21 SASR 513
(2009) 238 CLR 304
(2012) 248 CLR 378
(1997) 187 CLR 384
(2012) 250 CLR 503
(2014) 218 FCR 358
(1914) 18 CLR 511
(2018) 268 FCR 590
(2015) 256 CLR 83
(1994) 85 LGERA 418
(1992) 175 CLR 1
(1913) 17 CLR 223
(2015) 256 CLR 104
(2016) 255 FCR 228
(1907) 5 CLR 418
(2002) 125 FCR 89
(2021) 106 NSWLR 227
(1995) 183 CLR 373
(2002) 213 CLR 1
(1955) 92 CLR 390
(2011) 243 CLR 588
(2020) 271 CLR 192
(2016) 257 FCR 226
(1991) 33 FCR 1
(1961) 105 CLR 569
(1998) 194 CLR 355
(2015) 256 CLR 239
(1983) 151 CLR 117
(2014) 251 CLR 505
(1949) 78 CLR 410
(1969) 121 CLR 177
(1941) 67 CLR 544
(1998) 87 FCR 371
(2017) 256 FCR 478
(2003) 77 ALJR 768
(2011) 242 CLR 632
(1991) 174 CLR 64
(1988) 164 CLR 387