The Department of Mines, Industry Regulation and Safety’s 2019-20 Statistics Digest shows Western Australia’s resources sector achieved record production levels during the past financial year.
According to the report, WA’s resources sector successfully navigated and continued operating through the COVID-19 pandemic to deliver record sales of $172 billion in 2019–20. This result was principally driven by:
- Iron ore sales valued at a record $103 billion on the back of near-record sales volumes and an eight-year price high;
- Gold sales reaching another all-time high of almost $16 billion supported by a record annual average gold price of more than $2,300 per ounce;
- Oil sales increasing to $2.6 billion despite dramatic price falls across the first half of 2020, on the back of higher output through the start-up of new projects and others returning to production; and
- Nickel sales recovering amid higher prices in the second half of 2019 to more than $3.1 billion, the highest level since 2014–15.
WA’s mining and petroleum sector employed a record average of 135,001 people (107,457 in FTE) terms) during 2019–20, up from an average of 128,374 people in 2018–19 (102,392 FTEs).
Mining (including exploration) was responsible for the lion’s share of employment, with an average of 133,713 people (106,291 FTEs) working in the industry during the year. Most of the growth in employment was due to increases in construction activities in the iron ore (up 5,385 persons or 5,637 FTEs) and nickel (up 1,275 persons or 1,325 FTEs) industries, while employment in mineral exploration was also up 382 persons (417 FTEs) or 12 per cent.
Western Australia is the world’s largest supplier of iron ore, lithium, and garnet, the second-largest exporter of LNG, diamonds, and alumina, and was among the top five producers of cobalt, gold, rare earth elements and zircon. The state was also a top 10 producer of manganese, nickel, ilmenite, salt, and rutile.
Interest in the resources sector remains strong with more than $100 billion worth of projects in the pipeline.
Western Australian Mines and Petroleum Minister, the Hon. Bill Johnston MP said the WA Government will continue to promote the global reputation of the state’s resources sector to boost jobs and support the local economy.
“Despite facing several global challenges, the Statistics Digest has encapsulated the outstanding performance of WA’s mining and petroleum industries in 2019-20,” he said.
“While our resource exports continue to power our economy, it is especially pleasing to see the state’s downstream processing space continuing to grow.”
“With our impressive range of critical and battery minerals, advanced mining expertise and leading-edge technology, WA is the perfect destination for global resources investment,” the Minister added.
The 2019-20 Statistics Digest can be found online here.
