Mining reforms boost investment certainty

The mining and exploration sectors will benefit from greater investment certainty through legislative reforms introduced into the Queensland Parliament today.

Minister for Natural Resources and Mines Andrew Cripps said the amendments would introduce a competitive tendering process to explore Queensland’s highly prospective coal tenures.

“Changes proposed through the Mining and Other Legislation Amendment Bill 2012 will expand and improve the competitive tendering process introduced earlier this year,” Mr Cripps said.

“The Newman Government has already issued tenders for the first petroleum and gas tenures available through competitive tendering and this Bill will extend this approach to include exploration permits for coal.

“This new process of allocating exploration rights will deliver a consistent approach across the resources sector and ensure all Queenslanders benefit from the timely development of the state’s most resource-rich areas.

“Introducing a competitive process to secure exploration tenure will ensure the most appropriate explorers with a commitment to resource development secure the rights to explore highly prospective land.”

Mr Cripps said the Bill also proposed measures to underpin the future development of the Aurukun bauxite resource on Cape York and other planned resource projects in the region.

“Given the vast area of the Aurukun bauxite resource it is possible that following the tender process  the State may select more than one proponent to develop different parts of the resource area.

“The Bill will create certainty for industry by making provision for multiple agreements under different parts of the Mineral Resources Act 1989.

“It will also clarify the process for cancellation of a mineral development licence and mining lease for the Aurukun bauxite resource project.”

These reforms will deliver on the Newman Government’s commitment in its Six Month Action Plan to reduce red tape and give the mining industry investment certainty.

Amendments to the Mineral Resources Act 1989 will ensure:

•             the controlled release of land and competitive tendering for coal exploration by expanding and improving the existing Petroleum and Gas (Production and Safety) Act 2004 provisions in the Mineral Resources Act

•             competitive tendering, with a cash bidding component, for highly prospective coal and petroleum and gas areas to ensure an adequate return on the State’s resources reflective of in-ground value.

[ENDS] 29 November 2012

Media contact: Jane Paterson 0417 281 754 or Paul Sutherland 0428 868 237