Horse breeders say miners Anglo American can't safeguard against the environmental impact from the proposed Drayton South mine.
The Hunter Thoroughbreds Association (HTA) says the conditions designed to safeguard horses and communities from the controversial coal mine would be unmanageable following the NSW government's decision to support the project.
"No amount of conditions can safeguard against mining less than one kilometre from where Australia's premier studs operate and where communities of people live and raise their children," HTA president Dr Cameron Collins told AAP.
The comments came after the NSW Department of Planning recommended the Anglo American mine be approved by an independent planning commission.
The Drayton coal mine has been in the pipeline for about six years and has been rejected three times by the Planning Assessment Commission, despite numerous revisions.
The latest conditions would include managing dust, noise and blasting issues.
Anglo American welcomed the government's recommendation, saying it recognised "that co-existence is possible between the mining and horse breeding industries in the Hunter Valley".
"Anglo American remains extremely disappointed that previous PAC decisions failed to support the project."
