Strong growth in WA Resources sales
Latest update from the Department of Mines Industry Regulation and Safety shows that the sales of resources in Western Australia has significantly increased. This paved the rise in jobs as well!
Gold sales hit a record of $15.8 billion in the year to June 30th and a resounding $103 billion of iron ore sales. These contributed to the $172 billion resources industry.
Despite lower prices across the first half of the financial year, Oil sales also increased 30 per cent to $2.6 billion on higher volumes while LNG has kept dominating the petroleum market with $27 billion worth of sales even though it’s down from $29 billion in FY19.
Also, a huge recovery of the Nickel sales with $3.1 billion (that’s a four-year high!).
Simultaneously, the state’s gold industry accounted for $1.2 billion. It is about 70 per cent of $1.7 billion total expenditure on mineral exploration in FY20. Spent $420 million on copper exploration, $361 million on iron ore and $203 million on nickel and cobalt.
The state’s resources sector invested almost $19 billion in FY19, higher than the $17 billion investment in FY18.
The iron ore sector provided the most royalties to Western Australia, up from about $4.9 billion to $7.8 billion. Followed by gold with $361 million royalties, previously $291 million.
The DMIRS also recorded an average of 135,000 people employed in the state’s resources sector. A good increase from the previous 128,374 employed. The iron ore sector also recorded the most employees, giving 48,000 people jobs. Succeeded by gold with about 26,000.
Mines and Petroleum Minister Bill Johnston said,
“Creating jobs is the McGowan Government’s number one priority, so it’s encouraging to see employment continuing to grow in the resources sector.”
“These record results underpin the importance and resilience of the resources sector as WA recovers from the impacts of the COVID-19 pandemic.
“It is particularly pleasing to see strong growth in exploration expenditure, which has been achieved despite the difficulties caused by the global pandemic.
“Maintaining our support of the state’s mining and petroleum industries is a key part of the McGowan Government’s Recovery Plan to keep WA in a strong economic position.”
According to the state, it has more than $100 billion worth of projects being developed.