Favourable global market conditions could offer Victoria an opportunity to triple the state’s gold production and inject billions into the regional economy, according to a major new report from the Minerals Council of Australia (MCA) Victoria.
According to the report, if gold production reaches its potential of at least one million ounces per year by 2035, it would create more than 10,000 new jobs across the mining and services sectors.
This growth would translate to AU$1.2 billion in wages for Victorian workers, particularly those in regional areas.
Beyond employment, the MCA argues that tripling production would quadruple gold royalties to AU$188 million annually.
James Sorahan, Executive Director of MCA Victoria, suggests these funds could be a lifeline for the state’s budget, providing critical funding for hospitals, schools, and infrastructure.
“Victoria is one of the world’s richest historic gold provinces, and we have a massive opportunity to extract more value using modern, sustainable mining practices,” Sorahan said.
“Royalties on increased production will deliver significantly more for all Victorians – especially if a share of royalties is allocated to regions where mines are located.”
Despite record-high gold prices, Victorian production has actually slipped since its 2021 peak. The MCA warns that converting advanced projects into operating mines will require a significant shift in government policy.
The industry body is calling on more streamlined permitting processes, reducing the red tape that currently stalls mine development.
The state should also invest in geoscience education and incentivising the search for new deposits.
While traditional mining hubs like Bendigo, Ballarat, and Stawell continue to anchor the industry, new projects are on the horizon in Maldon, Kilmore, and the Loddon Shire.
If the regulatory environment pivots to support these developments, Victoria could soon reclaim its title as a global gold powerhouse.
