Western Australia drilling subsidies prove successful


Last week, the WA State Government announced new funding to support the search for minerals and petroleum across Western Australia.

Image courtesy of [Arvind Balaraman] / FreeDigitalPhotos.net
Image courtesy of [Arvind Balaraman] / FreeDigitalPhotos.net 

The latest round of Co-funded Exploration Drilling subsidies, which are part of the State Government’s Exploration Incentive Scheme (EIS), will provide almost $7.2million for over 60 mineral and petroleum projects in underexplored areas.

Mines and Petroleum Minister Bill Marmion believes the projects would involve drilling for a wide spectrum of commodities across 2013-14.

“The co-funded drilling program provides incentives to drill in underexplored areas to ensure the continued economic prosperity of the State’s resources industry, particularly in the current financial environment,” he said.


“The scheme has already reaped significant rewards with its contribution to the discovery of the Nova deposit with a co-funding grant to Sirius Resources, as well as providing co-funding to commercially promising and scientifically interesting projects, such as deep drilling which led to the re-opening of the Mt Magnet gold mine.”

Other positive exploration drilling outcomes supported by the program included the Speewah vanadium deposit; the Yeneena copper discovery; the Theseus and Yalgoo uranium discoveries and drilling that was instrumental in the discovery of the East Tropicana and Handpump gold deposits – Mr Marmion revealed.

Up to 50 percent of drilling costs, are provided through the program, with caps of $150,000 for a multi-hole project, $200,000 or  – depending on the commodity – $400,000 for a single deep hole , and $30,000 for prospecting projects.

Regional Development Minister Brendon Grylls revealed the program  increased private sector resource exploration and partnerships.

“Investment through the EIS contributes to new mineral and energy discoveries – which underpins economic and community development in regional WA,” Mr Grylls said.

In a statement from the State Government, the Royalties for Regions Program in WA has funded the program from 2008-09 to 2013-14 to an amount of $100.6million, with Government assistance said to be continuing till the end of 2015-16 – reaching a total of $138.1million.