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House of Assembly - Fifty-Second Parliament, Second Session (52-2)
2012-05-03 Daily Xml
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WOOMERA PROHIBITED AREA

Mr PICCOLO (Light) (15:08): My question is to the Minister for Mineral Resources and Energy. Can the minister inform the house about recent developments with regard to the Woomera Prohibited Area?

Members interjecting:

The Hon. A. KOUTSANTONIS (West Torrens—Minister for Manufacturing, Innovation and Trade, Minister for Mineral Resources and Energy, Minister for Small Business) (15:09): Therefore you will pass the test after question time, won't you?

Mr Hamilton-Smith interjecting:

The Hon. A. KOUTSANTONIS: I miss you, too.

The SPEAKER: Minister, will you get back to the substance of the question?

Mr Hamilton-Smith interjecting:

The Hon. A. KOUTSANTONIS: You are my patron saint.

Members interjecting:

The SPEAKER: Minister!

The Hon. A. KOUTSANTONIS: He is my patron saint.

Members interjecting:

The SPEAKER: Order!

Members interjecting:

The SPEAKER: Order! Minister, sit down. The minister will not get into repartee across the chamber. Please answer the question.

The Hon. A. KOUTSANTONIS: I have been on my best behaviour, ma'am.

The SPEAKER: Thank you.

The Hon. A. KOUTSANTONIS: On 20 April the federal Minister for Defence, Stephen Smith, and the Minister for Resources and Energy, Martin Ferguson, announced that the Australian government is taking the next step towards opening up the Woomera Prohibited Area (WPA). Their announcement signalled a step towards greater exploration with the release for public comment of a standardised Deed of Access. This is a significant milestone for the advancement of South Australia's rapidly expanding resources sector.

The WPA has vast economic potential, with estimates of more than $35 billion of mineral resource developments possible within the next decade. The opening of the WPA will provide mineral resource companies with access to an area the size of England for exploration and mining. I am advised that the area within and directly adjacent to the WPA is estimated to contain about 78 per cent of the nation's uranium resource, 62 per cent of Australia's known copper resource and significant deposits of iron ore, gold and other minerals. South Australia advocated strongly for the adoption of the Hawke review into improved coexistence between defence and mining in this large area in the Far North of the state.

This review allowed the federal and state governments to work together to develop a new framework for all users to coexist in an area without compromising our defence research capability. While defence will remain the primary user, the new management framework provides a more transparent system offering greater certainty for access for exploration licence holders. The framework for coexistence will be implemented through legislation, but the interim arrangements have been developed to allow companies to access the WPA under contractual deeds of access.

The release last month of a draft standardised Deed of Access for public comment will allow for ongoing industry consultation. A consultation workshop coordinated by the Department for Manufacturing, Innovation, Trade, Resources and Energy (DMITRE) and run by the Woomera Prohibited Area Coordination Office is being held today at the Crowne Plaza Hotel to discuss the deed. This will provide a valuable opportunity for all stakeholders to provide input into the proposed WPA access deed.

I can assure you, Madam Speaker, that this government will continue to work closely with the commonwealth through the Woomera Prohibited Area Coordination Office to secure entry to this vast prospective area within our state. The opening up of a WPA to further exploration will provide myriad opportunities for further exploration investment. Spending on mineral exploration in South Australia totalled $312.8 million in 2011, up 64.5 percent compared with the previous year—the highest annual spend since the pre-global financial crisis peak of $355.2 million for 2007-08. We believe that opening the WPA to greater exploration will allow South Australia to maintain and attract this heightened level of exploration.

Exploration is only the start. Our great hope is that exploration will lead to world-class discoveries within the WPA that will join the pipeline of major projects already under development in this state. It will play a key role in developing and maintaining a mining boom that benefits all South Australians.

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