Controversial coal seam gasfield in NSW given 'phased approval'

Oil and gas producer Santos has been given "phased approval" for its proposed $3.6 billion coal seam gasfield in northern New South Wales.

NSW's Independent Planning Commission made the announcement on its website this morning.

The approval is subject to a number of "stringent conditions" that would "mitigate" any "negative impacts" of the gasfield in Narrabri.

The decision has cleared the last major stumbling block before the controversial project can proceed.

"Following its detailed deliberations, the commission concludes the project is in the public interest and that any negative impacts can be effectively mitigated with strict conditions," the IPC said in a statement.

"The commission has granted a phased approval that is subject to stringent conditions, which means that the applicant must meet specific requirements before the project can progress to the next phase of development."

The IPC's decision does not include the proposed gas-fired power station at Leewood, the Westport workers accommodation or non-safety flaring infrastructure.