Proposals to build a housing estate on the site of the former Houghton Main Colliery has been refused by Barnsley Council.
Harworth Estates wanted to develop the site on Middlecliffe Lane, Little Houghton into employment and residential use.
Developers first asked for permission for the scheme in 2009 and have been negotiating ever since.
Haworth Estates wanted to build 72 houses and use the remainder for employment land. But objections were raised and the plan was refused.