Having contributed to 148 billion Australian dollars to the Australian economic growth in the financial year in 2018, the Mining Industry continues to be a major force in the Australian economy. With that said, the Mining Sector has undergone significant changes in recent years thanks to both industry and political demands, and it shows no signs of slowing down.
The following are a few examples of recent trends and developments in the Mining Sector.
An Increased Focus on Local Benefits from Mining Projects
There has been increasing opposition to new mining developments in some communities, with many propositions being rejected. It has been shown that business plans which consider benefiting the local community are much more likely for success in 2020. What has been called a ‘social contract’, mines which don’t offer benefits such as local employment have often been met with backlash.
Transition to Low-Emission Economy
With discussions of global warming and sustainable energy goals being ever-present across the globe, an opportunity for the Mining Sector has arisen to increase focus on low-emission minerals and technologies. This ‘decarbonizing’ has made a splash across the Mining Sector as it has been put under the spotlight for responsible practices which are more carbon-friendly.
New Ways of Financing Mining Projects
To reduce the financial risk of Mining Projects, there have been new business and finance models developing in recent years. This includes royalty and metal stream agreements as well as joint ventures similarly to those seen in the oil and gas industry, to reduce exposure to particular jurisdictions or a particular project.
COVID-19’s Effect on the Mining Sector
The most recent and significant development in the Mining Sector is the impact of the global COVID-19 Pandemic. Health and safety is the number 1 priority for the mining industry and Coronavirus has meant significant changes to best practices for health and hygiene. The Minerals Council of Australia (MCA) continues to formulate its guidelines to help miners deal with the COVID-19 crisis, which you can get updates from here.
As borders close for the general public, Western Australian has seen perhaps the strictest efforts, initiating unprecedented border restrictions. However, these don’t extend to Mining workers or freight, but there is strict bureaucracy to deal with. Manufacturers and equipment rental services like Bost Group have been able to continue meeting demand, being able to travel between states.
Our Response to COVID-19
Bost Group, like many companies in the Mining Rental Sector, has had to adapt to COVID-19. The safety and health of our employees, clients and the general public are of utmost importance to us, and we continue to comply with health and safety instructions given by the World Health Organization (WHO), the Australian Federal Government and other major experts during this time.
Bost Group: Australia’s Leading Provider for Mining and Construction Solutions
Bost Group is a leading Australian provider of Construction and Mining equipment, particularly Mobile Crushing & Screening, and Earthmoving Equipment. Through innovative service and value-driven products, we provide solutions to the Mining Sector which are cost-effective and reliable.
Contact Bost Group today for a free consultation at 1800 267 847