The operator of the Wambo Coal Mine in the Hunter Valley could be fined up to $1-million, over a dam wall collapse last week.
The Environment Protection Authority says sediment-laden water was spilt from the dam at Warkworth, when one of its walls collapsed during heavy rain.
Mine staff noticed the collapse on Monday and reported it.
EPA North Director Gary Davey says what impact the spill has had is unknown at this stage.
“Communities across the Hunter and Mid-North Coast regions have just experienced record rainfall over the last seven days. While this is a factor to consider, the EPA’s investigation will also examine how the dam, which was used as a sediment control measure, is managed, maintained and monitored,” he said.
The EPA is investigating and has requested a full incident report from the mine’s operator.
