SYDNEY – An Australian court on Wednesday overturned an Aboriginal heritage protection decision made by the federal government that blocked the development of a major gold mine in the state of New South Wales.

The Federal Court ruled that then-environment and water minister Tanya Plibersek's decision in 2024 to grant an Aboriginal protection order over part of the site of a gold mine project located about 180 km west of Sydney was invalid.

Regis Resources, the Australian gold producer developing the A$1.1 billion ($769.3 million) McPhillamys Gold Project, challenged Plibersek's ruling in the courts, declaring that the protection order meant the site was no longer financially feasible.

The protection order, which related to a river considered significant to the local Aboriginal people, prevented Regis Resources from building a tailings dam to store mining byproducts near the river's headwaters.

Handing down his decision on Wednesday, Federal Court Justice James Stellios made no ruling on the merits of the heritage protection claim, but said Plibersek's declaration was invalid due to a material process failure.

"Consequently, the declaration made by the minister was made without authority," he said, adding that the proposal would be sent back to the current federal environment and water minister for consideration.

Speaking ahead of the ruling being announced, NSW Premier Chris Minns said he wanted the mine to go ahead.

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Regis Resources said in its annual report for 2026 in August that it was advancing a strategy aimed at developing the project as soon as possible.

"We remain committed to McPhillamys, which has the potential to become not only a long-life, low-cost operation but also the core of a significant new mining hub," it said.

According to the company, the mine will produce 190,000 ounces of gold per year on average.