The South Australian Chamber of Mines and Energy (SACOME) has welcomed the announcement by SA Premier
Jay Weatherill this week that unlocking South Australia’s mineral and energy resources is the State
government’s number one economic priority.
Jason Kuchel, Chief Executive of SACOME said “It is absolutely vital that the South Australian community
understand the current contributions of the State’s resources sector, both indirectly and directly, together
with its capacity for future growth and positive influence on other South Australian industries.”
“The resources sector has before and can once again, given the right support, drive our economy out of the
doldrums.”
“We are pleased that the Premier has expressed this through making this the State’s number one priority.
South Australia’s resources sector is one of very few industries capable of expanding to provide the jobs,
service opportunities and revenues, through royalties and taxes, needed to repair the State’s economy.”
“Our oil & gas industry is on the cusp of a renaissance, gaining global attention in recent years for its
exceptional gas resources, amidst record breaking exploration and oil production from the world-class
Cooper Basin,” Mr Kuchel said.
“Companies like Santos and Beach Energy already contribute extensively to our economy yet we are only in
the early stages of our oil & gas potential with numerous companies, including international majors, just
recently entering the industry.”
“Minerals continue to be our State’s single largest export group with revenues of $4.3bn, employing over
13,000 directly and many more indirectly, yet our capacity for growth here is also enormous with several
exciting development projects in progress.”
Iron Road’s rigorous approach to completing its US$100 million Central Eyre Iron Project definitive
feasibility study and continuing concentration on further maximising project value, and Rex Minerals
announcement last week of a lower capital start-up operation are just two examples of our sector’s
commitment to making these projects happen,” he said.
“Importantly, the impact of our resources sector on the growth of other industries is unequalled by any
other sector,” Mr Kuchel said.
“Infrastructure to support new mines – including rail, ports and upgrades to rural roads and electricity
networks – will benefit existing rural activities and enable new opportunities in tourism, wind energy,
property development and agribusiness.”
Mr Kuchel said infrastructure and project construction and production will provide jobs and benefits
across a range of industries and communities in South Australia, all set to win both economically and
socially.
The Premier identified five top priority industry sectors in his announcement last Monda,y three of these
resources, primary industries (including agriculture, forestry and wine) and education all currently
contribute equally to the State economy.
South Australia’s economy was built on mining, however improved understanding of the State’s minerals
and petroleum wealth in recent years together with advances in technology indicate the greatest benefits
are yet to come.
“Not only are our minerals and oil & gas industries helping to underpin our State’s economy right now, we
are on the cusp of some enormous, world class new projects both in minerals and oil & gas.” Mr Kuchel
said.
“If the State Government can provide support and commitment to accelerate these projects, the effect on
our State could be literally transformational over the next decade.”
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