SYDNEY, Oct 09, 2011 (Dow Jones) -- Australia's government Monday gave the green light for a massive expansion of the BHP Billiton Ltd. (BHP.AU) operated Olympic Dam mine in South Australia state but applied more than 100 stringent conditions from protecting the region's fish to maintaining the landscape.

To expand its existing copper and uranium operations BHP will have to set aside about 140,000 hectares of the area and part fund biodiversity conservation programs, environmental research and help protect threatened species.

"The conditions apply to all parts of the project, including the proposed desalination plant in the Upper Spencer Gulf, and will ensure that the gulf and its marine life, including the giant cuttlefish, are protected," environment minister Tony Burke said in a statement.