Record resources sales show sector’s critical role in COVID recovery

The Chamber of Minerals and Energy of Western Australia (CME) welcomes today’s announcement of record resources industry sales in 2019-20, which demonstrate the sector’s critical role in the recovery of the State and Federal economies from the COVID-19 pandemic.

WA Mines and Petroleum Minister Bill Johnston today revealed record sales of $172 billion in 2019-20, a $22 billion increase over the previous financial year.

The Minister also announced a record average of 135,000 people employed in the mining and resources sector during 2019-20, up from 128,374 in 2018-19.

CME Chief Executive Officer Paul Everingham said the new data reflected the sector’s ability to continue to operate safely and effectively during the onset of COVID-19, as well as its importance to long-term economic recovery.

“CME and its members  are proud of the strong contribution the sector continues to make to both the WA and Federal economies,” Mr Everingham said.

“Our members have worked incredibly hard during COVID-19 to establish practices that have not only ensured the health and safety of their workforces and regional communities but also enabled operations within the sector to continue to grow despite the pandemic.

“Total royalty revenue received by the WA Government for 2019-20 reached a record high of $9.29 billion, a 42 per cent increase on the previous financial year.

“This contribution is a lifeblood of the WA economy and allows the State Government to continue to maintain its services and invest in schools, hospitals, major transport projects and other key initiatives vital to communities across the State.

“Overall investment in the sector was up to $19 billion from $17 billion in 2018-19, the first year-on-year increase since 2012-13 

“Last week, the State Government announced significant increases in exploration activities and there are more than $120 billion in mining and resources projects in the pipeline, including major construction projects.

“CME modelling has suggested there will another 8000 skilled construction workers needed in the sector over the next 12 to 18 months to meet peak economic recovery demand.”