Mayor Aurukun said that he is pleased to make progress in the development of the bauxite project in the Far North region of Queensland.
The Queensland government issued a statement saying that the $3 billion project with China Aluminum will be developed as a major project.
This means that environmental impact statements and coordination of governments at all levels are also needed.
Neville Pootchemunka, a member of Parliament, said that so far both sides have done a lot of work.
He said, "We are very happy that things can be successfully developed to the present."