Developers behind a plan to turn a quarry into a water park and resort have decided not to appeal against a decision to reject it.

A proposal from BMET Limited to convert Crich Quarry in Derbyshire into the Amber Rock Resort – with a water park, 152-room hotel, 128 straw-bale lodges and 210 apartments – was rejected by Derbyshire County Council in September.

The developers said after the meeting they would submit an appeal but have chosen not to do so and plan to return to quarrying operations.

Ian Clarke, on behalf of the developer, said: "(The resort) is definitely not off the table but clearly from the refusal they will need redesigning. It is all a big mess."

Developers had said the rejected resort, which included a cliff-top restaurant, spa, sports complex, zipline, medical centre and climbing centre, would create 560 jobs.

Councillors rejected the scheme unanimously due to an "unacceptable adverse impact on heritage assets, landscape, ecology and local amenity" along with the highway network, the Local Democracy Reporting Service said.

Mr Clarke previously said there were one million tonnes of materials which could be mined up until 2042 and that this would be the "fall back position" if the water park resort was not approved.

"We sought advice and it was not as positive as we expected," Mr Clarke said.

"Initially we are looking to go back to quarrying. [The council] are supportive of liaising with us to move things forward and so we are looking to do that.

"We can live in hope but really the current agenda is to reopen the quarry and we will be working with [the council] to assess what needs to be done.

"I have no doubt that this will cause a sensation and will galvanise ROAR (campaign group Residents Opposed to Amber Rock) but we are not walking away from it (the resort plans) – that is for sure."

Tony Mills, on behalf of ROAR, which had gathered more than 700 objection letters, said: "The community remains delighted that the decision of [the council] has been effectively agreed and not appealed by the applicant.

"We accept that they have other plans. They are the owners.

"Had they spent any time consulting with the community… they might have come up with something that meets everyone's expectations.

"It has been difficult to have won this battle and to have this hanging over us."