The State Government is considering a proposal for a $1.7 billion mining project near Glenden, west of Mackay.
The Byerwen Coal proposal covers six mining leases and would comprise mainly of open-cut mines for coking coal but also a number of thermal coal pits over a 22,000-hectare site.
The Whitsunday council has raised concerns that QCoal and JFE Steel have not taken into account possible benefits and impacts on Collinsville.
The council says supplementary reports need to be done to consider housing employees in Collinsville and the development of industrial support in the town.
Council has also raised concerns about the impact of increased rail traffic, which will pass through Collinsville and Merinda.
The State Government is currently considering the EIS and a number of submissions.