NSW mining industry on course to provide record royalties over the holiday season

Image Credit: www.nsw.gov.au

The NSW mining industry is on target to produce record royalty payments this calendar year, demonstrating the industry’s resilience and reaffirming the value of mining to rural communities and the state’s economy through COVID-19.

Mining enterprises in NSW will deliver an anticipated $2 billion in royalties by the end of 2021, according to Deputy Premier and Minister for Resources Paul Toole, citing a record year fuelled mostly by strong coal prices.

Mr Toole said that if projections are correct and current trends continue to the end of the year, NSW will receive its largest royalty contribution from the resources sector since 2018, which was the only other time in history that the state received $2 billion or more in royalties in a calendar year.

“We have seen strong global demand for our coal and metals which has led to high prices and contributed to a record year for the NSW mining industry, despite the challenges of COVID-19,” Mr Toole said.

“While mining has remained relatively stable throughout the pandemic and kept people in direct and indirect employment, NSW is on track for a record royalty return just in time for Christmas, and that will have flow-on benefits for communities.”

Mr Toole also stated that the NSW Government is working to ensure that exploration and mining projects have a bright future, as they will continue to boost the state’s economy and create more jobs in the regions for decades to come.

“This week we will be notifying 20 successful applicants that they will receive a share of funding from round four of the $2.2 million New Frontiers Cooperative Drilling program to explore for critical minerals and high-tech metals, including copper and gold,” Mr Toole said.

“We are also releasing a NSW Mining Investor Register which will be regularly updated and brings together essential information investors need about emerging projects in NSW. Royalties in mining in NSW both now and into the future will allow the government to respond quickly in times of crisis, help to lower debt for future generations and be reinvested back into our regions through programs like Resources for Regions and Royalties for Rejuvenation.”