Summit News

Figures reveal that mining and energy investments have risen to $132.9 Billion, a 21 percent increase from April.

Treasurer Wayne Swan got it right in October when he said that Australia would be entering into the largest mining boom since the 1850s. Figures published yesterday from the Australian Bureau of Agricultural and Resource Economics reveal that planned mining and energy investments have risen to a record $132.9 billion in October.

This represents a 21 percent increase from April 2010, largely in part to the 72 projects that are at an advanced stage of development, including the decision to proceed with the development of BG Group's Queensland Curtis Island LNG facility and Rio Tinto's commitment to expand its iron ore export capacity by 60 million tons over the next three years.

In the mining industry, ABARE said capital spending was expected to top $54.8 billion this financial year, a 58 percent increase on 2009-10 levels.

The more notable less advanced projects new to ABARE-BRS's list include: Cameco's Kintyre and Energy and Minerals Australia's Mulga Rock uranium projects in Western Australia; Flinders Mines Pilbara Iron Ore Project; Sherwin Iron's Roper River Iron Ore Project; Orica's Kooragang Island ammonium plant; Regis Resources' Duketon gold mine; and Sandfire Resources' DeGrussa copper mine.

Also new to the list are 17 coal projects, which could add up to 50 million tons a year to Australia's future production capacity. Among those with the most significant capacity are the Collinsville and Denham coking coal mines in Queensland and the Bulga and Wambo expansions in New South Wales. Also new to the list is the second stage of the NCIG coal export facility at the Port of Newcastle, which is now under construction.