Northern Tablelands MP Adam Marshall announced last week that the state government was seeking federal funding for a feasibility study into a new dam on the river.

Mr Marshall said he was approached by irrigators in the Border Rivers catchment interested in reviving a decades-old idea that the un-dammed Mole might be a key to securing more stable water flows.

The river flows into Dumaresq River, which for part of its length defines the NSW/Queensland border and is an important source of water for irrigators in the Border Rivers catchment.

"On hearing the merits of the irrigator's storage proposal, I was delighted to lead a delegation to meet with water minister (and New England MP) Barnaby Joyce to explain the idea. 

"On his advice I lobbied the state government to seek Commonwealth funding for the feasibility study," Mr Marshall said.

Mr Marshall said water security was the foundation of economic security for communities across the western slopes and plains, but that security had been eroded in recent years.

"The Murray Darling Basin Plan's water buyback program has cost farms across the basin about $20 million, and cut economic activity across towns like Goondiwindi and Moree by about $40 to $60 million," he said.

"Our region has been impacted more than most other parts of the basin, so when a group a irrigators came to me with the Mole River Dam proposal, I was more than happy to advocate on their behalf."

The NSW Government has applied to the National Water Infrastructure Development Fund for the necessary funding.

“Water is without a doubt our most valuable resource,” Mr Marshall said.

“With increasing pressure on water security, governments need to think boldly about how we ensure the longevity and productivity of some of our nation’s most important primary industries.”