Energy Resources Australia (ERA), a subsidiary of Rio Tinto, had applied for a 10-year lease renewal on the Jabiluka uranium mine, which the company previously held for 42 years, but was knocked back on Friday.
Mirarr senior traditional owner Yvonne Margarula said the decision ensured the area's future would be protected.
Traditional owners opposed any extension to Energy Resources Australia's Jabiluka mine lease. (HANDOUT/Gundjeihmi Aboriginal Corporation)
"We have always said no to this mine, government and mining companies told us they would mine it but we stayed strong and said no," Ms Margarula said.
"Today I feel very happy that Jabiluka will be safe forever.
"Protecting country is very important for my family and for me."
Corben Mudjandi, who is also a Mirarr traditional owner, said the update marked a new major era for the site.
"This day will go down in history as the day the Mirarr finally stopped Jabiluka," he said.
"It is great day for the Mirarr people, for Kakadu, the Northern Territory and for Australia."
"This proves that people standing strong for country can win.
"We look forward to welcoming all Australians to share our cultural heritage for decades to come."
Mining minister Mark Monaghan said the decision not to renew was based partially on advice from the federal government.
"We have gone through a thorough process to ensure that all stakeholder views have been considered in this decision," he said.
Corben Mudjandi says July 26 will go down in history as the day the Mirarr finally stopped Jabiluka. (HANDOUT/Gundjeihmi Aboriginal Corporation)
"The federal government advice, along with the wishes of the Mirarr people, were critical to this process and outcome."
The Northern Territory government declared special reserve status over the Jabiluka area, which is in the surrounds of Kakadu National Park, in May.
This prevents any future applications for the grant of a mineral title over the Jabiluka area once the current lease ceases on August 11.
An ERA spokesman said the lease decision was "disappointing" and left the development of the site in the hands of future governments.
"Under ERA's lease arrangements, Jabiluka cannot be developed without the consent of the Mirarr traditional owners," he said.
"That development veto lapses once the lease expires."
The Australian Conservation Foundation welcomed the decision, calling it a "huge win" for traditional owners.
"This decision allows a line to be drawn under the divisive era of uranium mining in Kakadu," a statement read.
"This is a responsible decision that ends the threat that has hovered over this very special place for four decades."
Mirarr people have long opposed any mining in the area, holding protests in the late 1990s and early 2000s when more than 5000 people travelled to Kakadu to prevent uranium mining at Jabiluka.
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