Hardrock Coal Mining is expecting its Fingal Valley mine to receive approval within the next two months.
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Break O'Day Mayor Sarah Schmerl said she was disappointed it was taking this long but recognised the thorough approval process was necessary.
The project is currently before the Environmental Protection Agency.
``It is anticipated that the EPA board will consider the Hardrock proposal at its meeting next month,'' EPA director Alex Schaap said.
The proposed $43 million underground mine is estimated to create 328 full-time jobs in the region overall and boost the population by 172.
The company wants it to be operational by 2014.