The green light for Black Mountain Energy comes just months after Federal experts said its environmental risk assessment was "limited and disjointed" and reached "largely unsupported" conclusions.
If the US miner is found to have mined too close to a large jarrah tree, it would trigger an automatic cancellation of its right to mine much of its lease.
Chevron's Gorgon LNG project on Barrow Island began operating in 2016 has the world's largest carbon capture and storage system dedicated to emissions reduction.
Chevron's ambitious injection of Gorgon CO2 shaped the $US54B LNG project and a year after starting up 2.5 years late its long-term performance remains to be proved.
Chevron faces shutting Gorgon LNG down to make it safe after WA safety regulators responded to reports of thousands of cracks in propane-filled vessels.
Chevron has "put additional mitigations in place" to protect workers while it mulls what to do with two giant LNG trains operating at Gorgon that could have defective welds.
Chevron intends to have cracked propane vessels fixed and Gorgon LNG back in full production by September as it awaits inspection by the safety regulator.
The safety and economic stakes for Gorgon LNG are high as WA Government inspectors soon head to Barrow Island to check on Chevron's cracked pressure vessels.
Safety regulators knew nothing of cracked pressure vessels at Chevron's Gorgon LNG plant until alerted by media reports and now plan to inspect the equipment themselves.
Thousands of cracks raise questions about the safety of the Gorgon LNG plant and operator Chevron will decide to shutdown or maintain revenue, with the safety regulator on the sidelines.
Chevron has been denied a two-year free pass on Gorgon greenhouse gas emissions by the WA Government that could cost it more than $80 million, and there may be a future bill for Wheatstone as well.
Chevron boss Mike Wirth is not distracted by renewables as he pushes for more and lower cost production and looks to move gas through Woodside's Scarborough project.
Chevron has paid the Australian Taxation Office $US654 million ($866 million) under a partial settlement of its dispute with the tax office over intercompany loans and slashed the interest rate it charged its Australian subsidiary.
The Gorgon and Wheatstone LNG projects are now enjoying cash margins of more than $US30 a barrel at a $US50 price and production from the $111 billion mega-projects is expected to increase.
