Probably won't do @#$! to the Share price, but at least it should be a vote of confidence in the company - and long term prospects.

http://statements.cabinet.qld.gov.au/MMS/StatementDisplaySingle.aspx?id=76717

Premier and Minister for Reconstruction
The Honourable Anna Bligh

Wednesday, September 21, 2011

Mount Isa mining project, another step closer

A new mining project in the state’s North West – expected to generate over 1300 direct and indirect jobs – is now a step closer to reality.

Queensland Premier Anna Bligh today announced that Legend International Holdings Paradise South mine had been deemed a Project of Regional Significance.

“The project is one of significance because it would contribute to the local, regional, state and national economies,’’ Ms Bligh said.

“Projects that are of regional or state significance under the Gulf Water Resource Plan are eligible to acquire water from a strategic reserve – which means no water will be taken from existing allocations.

“This declaration is another stepping stone for Legend in their bid to develop a $1.7 billion operation with a production life of up to 60 years.’’

Member for Mount Isa Betty Kiernan said that if given approval, the Paradise South project would create opportunities for employment and training, regional development, small business, development of secondary industries, investment and improved services.

“Subject to meeting conditions, a strategic reserve of water was established by the Queensland Government as part of its Gulf Water Resource Plan to meet emerging water needs,” she said.

“The water will be used to process the ore and create the slurry which will transport the product through a 142km pipeline to the proposed fertiliser complex south of Mount Isa.’’

Legend International Holding CEO Joseph Gutnick said: “Legend thanks the government for its on-going support in the development of this major project.

“This declaration is an important milestone for the project particularly with relation to securing water supply.”

“The Paradise South mine is Legend’s flagship deposit and the status of a Project of Regional Significance indicates its importance in the continued development of the North West Minerals Province.”

Ms Bligh said Legend will still have to acquire other state and local government authorisations to ensure the existing water users’ needs are met and the environment is protected.

“While Legend is now eligible to acquire an entitlement from the strategic reserve, it is not guaranteed this entitlement.

“Upon conclusion of its project of regional significance, Legend must return its strategic reserve water entitlement to the State,” she said.

MEDIA CONTACT: Premier’s Office - 07 3224 4500