WA Gas Development to Provide Multi-Billion Dollar Boost to the Nation
The development of an additional 20-25 trillion cubic feet of gas resources from Woodside’s Scarborough and Browse/North West Shelf Extension projects will be an economic game changer for Western Australia, according to The Chamber of Minerals and Energy of Western Australia (CME).
Today’s release of an economic impact assessment of the Burrup Hub development off the North West coast of Western Australia shows a staggering $52 billion will be spent in the State over four decades on the two projects, equivalent to building 33 Optus Stadiums.
The development will boost Australia’s GDP by $414 billion during 2019-2063, of which 99 per cent will be in WA, which is equivalent to 23 per cent of Australia’s GDP in 2017-18.
CME chief executive Paul Everingham said WA would receive the majority of the significant spend through employment, taxation and royalties and exports, providing a windfall for the State’s finances.
“This is great news for West Australian jobseekers, as the two projects will provide an average of 950 jobs per year, with a peak construction workforce of more than 4,600 jobs in 2023,” he said.
“In addition, more than $82 billion in taxation and royalties are estimated to be directly paid from the Burrup Hub, and another $44 billion indirectly, significantly boosting the State’s economy and in turn, helping to fund vital infrastructure such as hospitals and schools.”
Mr Everingham said residents and local businesses in the Pilbara and Kimberley region would particularly benefit from the local jobs and procurement opportunities that would be created as a result of the projects, worth about $1.3 billion to the two regions.
“More than 1,900 jobs will be located in Karratha and Broome over the life of the project. Businesses in Karratha will, on average, benefit from more than $86 million per year of direct localised spending required to operate the Burrup Hub, with $15 million of spend estimated annually for Broome logistics support activities,” he said.
“There is little doubt that the resources sector is doing the heavy lifting in securing the economic future of the nation, bringing immense financial, social and community benefits to the lives of all Australians.”