A $280,000 expansion of the temporary miners village in Blayney has been approved by the shire council despite Cadia Valley Operations saying its requirements for the village are "diminishing".
The village sits on land owned by the Blayney Tourist Park and its owner lodged a development application for the expansion with council late last year.
But Cadia Valley Operations Community Relations Manager, Nedra Burns, said Cadia has no plans to extend the facility because their "requirements are diminishing there".
"Cadia East construction is finishing this year... this has all been a speculative thing," she said.