Danny Walker, who recently returned from mining in Mongolia, is contemplating the future of his project to mine about 60km of the river from Roxburgh down to Tuapeka Mouth.
He believed that although the Otago Regional Council had granted the consent, conditions could mean the project was no longer economically viable.
Hearing panel chairman Cr Stephen Woodhead said in the decision that the panel paid particular attention to the evidence that the area had previously been mined, as well as the large size of the Clutha River.
"The panel was satisfied that as any possible adverse effects of the alluvial extraction are avoided, mitigated or remedied, adverse effects on the environment will be no more than minor."
To ensure residential landowners were not compromised by the proposed activity, areas at Roxburgh, Millers Flat and Beaumont had been identified where no mining was to be carried out.
The dredge was restricted to operating between the hours of 7am and 10pm, as it was inappropriate to have 24-hour operation in this rural area, he said.
Mr Walker, who had a mineral permit for the stretch of river, said he was "not overly happy" with the conditions, in particular the hours of operation, as he had applied to run the dredge 24 hours a day.
He did not believe it would be economic to run the dredge for only 15 hours a day, although the high price of gold could mean a smaller operation might be viable, he said.
The river was bordered by roads which were used most during the day.
"I don't see the logic. During the night no-one is about to hear it. It's illogical to me."
Excluding the area at Millers Flat from dredging was also an issue, as that was where he had hoped to begin dredging, he said.
"It's not necessary. The dredge is not going to interfere with anyone else using the river."
The future of the project was now up in the air as he consulted lawyers about the viability of appealing the consent or possibly going ahead and building a smaller dredge to demonstrate how quiet it was, he said.
