An anti-mining group is urging the Queensland government to block Anglo-Australian mining giant Rio Tinto's proposed sale of the Blair Athol mine for one dollar.

"This is about Rio Tinto selling to a junior," said Rick Humphries of the anti-mining group Lock the Gate Alliance, "but really putting all the risk back on the Queensland taxpayer now and for future generation." 

The deal transfer the Blair Athol mining lease, land, plant, and equipment to junior miner TerraCom for $1.  This deal would also see $80 million in financial assurance held by Rio Tinto and its partners for the environmental rehabilitation of the site transferred to TerraCom.  Mr. Humphries accuses Rio Tinto of doing this just to finally get Blair Athol "off of its books" after a long period of low coal prices, a drop in demand from China, and general economic uncertainty amid pollution and climate change concerns. 

"External estimates from experts that I have spoken to suggest the mine site rehabilitation could cost $100 [million], $200 [million], $300 million and take decades to do," Tim Buckley from the Institute for Energy Economics and Financial Analysis told the ABC.  "From Rio's perspective, to pay $80 million to avoid paying a $300 million liability is an easy bet.  It's a very sensible move if Rio can get away with it," he added.

TerraCom claims to have it back in operation by the end of 2016 with an annual production rate of about 2 million metric tons.