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Why Is Mining Important?

Why Is Mining Important?

30 June 2022

Australia is blessed with abundant natural resources that support a number of major industries and millions of jobs across the country. Mining is one such sector and is one of Australia’s most important industries. So why is mining important? Mining contributes billions of dollars to Australia’s economy and creates thousands of jobs each year as well as produces raw materials for key industries like construction. From gold to silver, iron ore to copper and coal, Australia boasts a number of key commodities that are mined across the country for benefit around the world. Mines like Bravus Mining and Resources’ Carmichael Mine in Central Queensland provide millions of tonnes of coal each year that are exported across the world to provide a valuable fuel source to communities and create jobs in Queensland. Why Is Mining Is Important?  Mining has a history dating back to prehistoric times with people mining flint to make tools and weapons and also mining gold and copper[1]. In Australia, coal was first discovered in the 18th century, before the discoveries of gold in New South Wales and Victoria triggered a rush, and a mining industry was born. The gold rush inspired a wave of migration and the creation of industries to support the mines like machinery, transport and other services.[2].  As the mining industry matured, there were further mining booms in the early 1960s and mid-1980s and the mining boom of recent years is largely thanks to high demand for commodities in China and India[3]. Today, 1.2 million people are employed in more than 8000 mining businesses that make up Australia’s $160 billion resources export industry [4]. This includes those who work directly in mining and the thousands of people indirectly employed in mining equipment, technology and services sectors. Mining companies also play an important role in regional Australia, supporting regional communities and businesses through their operations and partnerships. Deloitte Access Economics has estimated that economic activity linked to mining and to the mining equipment, services and technology sector contributed $18.6 billion to regional economic activity in Queensland’s Bowen-Surat mining region in 2015/16[5]. Nationally, the economic contribution was $236.8 billion, equal to about 15 per cent of the Australian economy. Not only is mining a leading contributor to the economy, it also provides important sources of raw materials for industry supporting construction, innovation, electricity generation and even food processing. Why Do We Mine Minerals? Minerals play an important role in the development and provision of a number of everyday items from electricity to batteries, smartphones and medical devices. The mining of essential commodities has improved standards of living around the world from the earliest days of flint tools to nanotechnology advancements in medicine today. Silver, for example is used in mirrors, jewellery, medicine, water purification, solar panels and 3D printing while nickel is essential for food processing, guitar strings, coins, marine engineering, electronics and the kitchen sink [6]. Australia produces a number of the world’s key mineral commodities and is the world’s leading producer of bauxite, alumina, rutile and tantalum[7]. Other commodities mined range from coal to copper, iron ore to bauxite, silver to nickel and lead. Exploration continues to find next generation materials like lithium and vanadium to support the development of green energy alternatives and new battery technologies. Australia’s high-quality reserves of coal are highly sought after with thermal coal used to make steam and generate electricity while coking coal is used to make steel. Bauxite is used to create aluminium.  Why Is Mining Important to Australia? Not only is coal for electricity generation driving a huge demand for Australia’s resources, there continues to be record demand for coal to support the global construction industry. It makes mining Australia’s most important export industry ensuring it can support multiple other industries overseas from energy to medicine, vehicle manufacturing and food production.  So why is mining important to the Australian economy? From mining’s earliest days in Australia, it has contributed to the economy, generating jobs and supporting industries. Today the minerals and mining industry are a major contributor to government revenues in Australia through taxes and mineral royalties as well as a significant driver of investment, high-wage jobs and exports[8]. Deloitte Access Economics estimated Australian mining companies provided $39.3 billion in revenue to Commonwealth and State Governments in 2019-20 through company tax and royalties[9]. Mining also drives innovation in Australia with innovative applications of new technologies helping to grow the mining and mining equipment and technology sectors in Australia to ensure the industry as a whole remains competitive[10]. Learn More About the Importance of Mining with Bravus Why is mining important? Mining continues to be one of Australia’s most important industries, creating jobs and opportunities, driving innovation and revenue as well as supporting a variety of global industries. Bravus Mining and Resources is a key contributor to Australia’s mining sector through its Carmichael Project. The Galilee Basin mine has the capacity to extract up to 10 million tonnes of coal per year. Bravus has also built the 200km Carmichael rail line to connect the region to its export facility at Abbot Point’s North Queensland Export Terminal. The projects generated more than $1.5 billion in contracts and 2000 jobs to benefit regional Queensland during construction. The projects are now operational. To find out more about our projects and get the facts of the mine visit Projects | Bravus Mining & Resources. [1] National Geographic, Mining | National Geographic Society, accessed June 2022. [2] ABS, Special Article: The Australian Mining Industry, 8414.0 - Australian Mining Industry, 1998-99 (abs.gov.au), [3]Roarty, M., The Minerals Sector, https://www.aph.gov.au/About_Parliament/Parliamentary_Departments/Parliamentary_Library/pubs/BriefingBook43p/mineralssector, accessed June 2022. [4] Australian mining industry (ausimm.com) [5]Deloitte Access Economics, Mining and METS: engines of economic growth and properity for Australians, 2017, https://www2.deloitte.com/content/dam/Deloitte/au/Documents/Economics/deloitte-au-economics-mining-mets-economic-growth-prosperity-engines-170317.pdf , accessed June 2022. [6] Minerals Council of Australia, 30 Things, https://www.minerals.org.au/sites/default/files/30%20Things.pdf , accessed June 2022 [7] https://www.aph.gov.au/About_Parliament/Parliamentary_Departments/Parliamentary_Library/pubs/BriefingBook43p/mineralssector [8] Constable, T., “Mining is the largest contributor to Australian economy in 2019-2020”, https://www.minerals.org.au/news/mining-largest-contributor-australian-economy-2019-20 accessed June 2022. [9] Minerals Council of Australia, Taxation, https://www.minerals.org.au/taxation, accessed June 2022. [10] Deloitte Access Economics, Mining and METS: engines of economic growth and properity for Australians, 2017, https://www2.deloitte.com/content/dam/Deloitte/au/Documents/Economics/deloitte-au-economics-mining-mets-economic-growth-prosperity-engines-170317.pdf , accessed June 2022...

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