Watermark mine gets water tick

A controversial coal mine proposed in the fertile NSW Liverpool Plains is a step closer to reality.

The Shenhua Watermark mine has secured support in an independent scientific review.

Federal Environment Minister Greg Hunt referred the mine to an independent scientific committee on coal seam gas and coal mining in February for assessment of its impact on groundwater in the important agricultural area.

The committee says the groundwater drawdown is unlikely to be greater than predicted in the mine's environmental impact statement.

If the mine goes ahead, additional monitoring will be needed to ensure its impact on groundwater matches the predictions of models, the panel says.

It says there are "information gaps" that need to be addressed around how the mine will affect groundwater-dependent ecosystems.

In a statement, Shenhua Watermark said the committee had provided "irrefutable" evidence the mine would not harm irrigation water.

The Watermark mine will extract up to 10 million tonnes of coal a year for 30 years.

Mr Hunt must now make a final determination on the project.