Australia’s resource and energy export earnings are expected to reach a record high of $278 billion in 2018–19, an increase of more than $50 billion on 2017–18 figures.
Minister for Resources and Northern Australia Matt Canavan said the results reinforced the importance of Australia’s mineral and resource exports to the national economy.
“The living standards of Australians rely in large part on maintaining a strong resources sector,” Senator Canavan said.
“Even if you don’t work in resources, the revenue that the industry brings in helps pay for schools, hospitals and other services.
“Surging tax revenues from the resource industry have helped bring our budget back into balance and export dollars from coal, iron and gas help increase our dollar’s value, increasing the buying power of all Australian consumers.
“Our commodity exports are expected to earn more than $1.5 trillion for the nation over the next six years.
“Australia’s LNG export earnings are expected to jump by $18 billion to $50 billion this financial year, the largest increase of any commodity over the year.
“We expect Australia will again overtake Qatar in 2019 to become the world’s largest exporter of LNG.
“Mining investment is also picking up, rising 7 per cent from the September quarter.”
The figures come from the Resources and Energy Quarterly, which was released today by the Office of the Chief Economist in the Department of Industry, Innovation and Science.
Queensland Resources Council chief executive Ian Macfarlane said the report forecast strong market conditions for metallurgical and thermal coal, LNG, bauxite, copper and zinc.
“Figures in the latest Resources and Energy quarterly projects growing demand from India and south-east Asia which means even more exports, even more royalty taxes and even more jobs for Queensland,” he said.
“The resources sector already contributed more than $60 billion of Queensland’s exports, more than $5 billion in royalty taxes, more than 316,000 jobs across the State and will deliver an extra $1 billion in company tax to next week’s Federal Budget due to higher metallurgical coal prices.”
Adani’s Carmichael project was included in the thermal coal export projections in the Resources and Energy Quarterly for the first time.
In November 2018, Adani announced that a scaled-down version of the project would proceed, and be entirely self-funded.
However, the report noted that there remained a range of regulatory, financial and technical risks that could result in further delays.