Archived News for Industry Professionals

Queensland’s coal industry has revealed an underperforming June quarter as the sector continues to suffer the lingering effects of the spate of natural disasters earlier in the year.

The results call into doubt the Reserve Bank of Australia’s estimates that the coal sector will return to full productivity by the end of 2012 as up to 35 million tonnes of stoking and thermal coal will miss delivery deadlines to steel and power stations.

The delays in delivery of stoking and thermal coal, Australia’s second and third most lucrative export commodity respectively, are expected to cost mining companies up to $4 billion in lost earnings. The Queensland Resources Council have estimated that up to 40 million metallurgical and thermal coal failed to be delivered to end users in Asia in the 2010-11 financial year.

Newcastle Institute for Energy and Resources launched

The Newcastle Institute for Energy and Resources (NIER) has been officially opened at the University of Newcastle.

CITIC's Sino Iron costs blow out

Hong Kong listed company CITIC Pacific Limited has announced that the company’s engineering, procurement and construction (EPC) contractor, China Metallurgical Group Corporation (MCC) for the Sino Iron project in Western Australia, has put forward a proposal for an additional payment of around $900-million to meet increased project costs and design changes.

WA urging changes to skilled migrant visas

The Western Australian Government has vowed to continue to apply pressure on the Federal Government to make changes to its visa program, following a positive response to a delegation in the United Kingdom targeting skilled migrants.

The delegation is led by Training and Workforce Development Minister Peter Collier to promote the attributes of living and working in Western Australia to potential skilled migrants.

Speaking from the UK, Mr Collier said he had received positive feedback from the people he had met and were keen to come to WA, but faced major hurdles with the Federal Government’s visa process.

“Coming to the end of our trip, we have met thousands of people in the UK,” he said.

“The one clear message we are constantly being given is that people want to come to WA but are often frustrated by the Federal visa process, which is holding back the ability of skilled workers coming to the State.

“The Government has appealed for changes to the Federal migration program to help WA supplement its workforce needs - I met with Immigration and Citizenship Minister Chris Bowen in March to discuss these changes in detail.

“It’s no secret that there will be huge demands on WA’s future workforce needs - its been well documented and reported, yet the Federal Government seems completely oblivious to our requirements.”

Key points the Minister raised with Mr Bowen during their meeting included recognition of Perth under the Regional Sponsored Migration Scheme; providing greater flexibility with visas, particularly in expanding the type of skilled occupations that qualify for 457 visas; expanding the use of Working Holiday Maker and Student visas; reviewing the new International English Language Test Score; considering incentives to increase the level of foreign students entering Australia and to encourage them to join the domestic workforce; reviewing the proposed new points test requirements for the Skilled Migration Program; and reviewing the allocation of State sponsored visas.

“WA has presented some real solutions to assist with our workforce needs, but it seems the Federal Government is not willing to discuss alternatives beyond their existing parameters.

“This is further proof that the Federal Government has little or no understanding of what’s required to support the State’s future workforce demands.”

With more than $225billion of resource and infrastructure projects planned or under construction, WA is facing a potential shortfall of up to 150,000 skilled workers by 2017.

“Addressing these workforce issues will be a significant challenge for government, industry and the community,” Mr Collier said.

“Our top priority is to ensure that jobs are filled from within WA but this alone will not be enough - it will be necessary to recruit workers from overseas to boost our skilled labour needs.

“We need assistance from the Federal Government to ensure we can attract and retain enough skilled workers to meet future demand, yet we are not receiving this support.”

The State’s delegation to the UK includes representatives from the Chamber of Commerce and Industry WA; Chamber of Minerals and Energy WA; Australian Hotels Association; Motor Trades Association and Civil Contractors Federation, as well as other industry and government groups. They have met with a range of key organisations over the past 10 days.

Mining and engineering surge pushes WA to the top

CommSec’s State of the States quarterly report shows that Western Australia has the strongest economy in the country, propelled by a strong mining and engineering sector that has driven commercial construction and a vibrant export industry based on the mining and minerals industry.

Santos to purchase ESG

Energy Group Santos has announced it has agreed to purchase Eastern Star Gas (ESG) in an all-share deal valued at a total $924 million.

BHP Billiton acquires Petrohawk in merger deal

BHP Billiton has announced a merger acquisition of US based Petrohawk Energy Corporation after agreeing to pay an all-cash tender of US$38.75 per share, paying a total of US$12.1 billion (AUD$11.41 billion).

Commercial fuel lines secured after Caltex confirms expansion

Caltex, Australia’s only listed refiner-marketer, has confirmed an $80 million upgrade to its fuel storage and expansion plans in South Australia. Caltex will aim to boost supply reliability throughout the state in a bid to support the state’s booming resources sector.

Monash research challenges migration policy

Monash University’s Centre for Population and Urban Research has published a research report that challenges the sustainability and viability of the Government’s net 180,000 immigration target, and questions its strategy for meeting the resource industry's skills needs.