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House of Assembly - Fifty-Second Parliament, Second Session (52-2)
2012-09-20 Daily Xml
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MINERAL RESOURCES

Ms THOMPSON (Reynell) (14:16): My question is to the Minister for Mineral Resources and Energy. Can the minister inform the house about positive developments within the mineral resources sector?

An honourable member interjecting:

The Hon. A. KOUTSANTONIS (West Torrens—Minister for Manufacturing, Innovation and Trade, Minister for Mineral Resources and Energy, Minister for Small Business) (14:16): It's all true. Madam Speaker, I was delighted yesterday to join representatives from the Resources Industry Development Board, your local community of Whyalla, and Arrium, formerly known as OneSteel, at the official reopening of the Iron Baron mine. Madam Speaker, as you would well know, the Upper Spencer Gulf and the Middleback Ranges are the birthplace of Australia's iron ore sector and remain the cornerstone of our nation's steel-making industry.

The historic reopening of the Iron Baron mine highlights the continuity of iron ore mining in the Upper Spencer Gulf region, which has stood the test of time for over a century. Set to provide more than 100 jobs, Madam Speaker, it will support a range of businesses across the Upper Spencer Gulf region and, in particular, your home town of Whyalla. Local suppliers were instrumental in the development, with many Whyalla-based companies—in fact, nearly all—subcontracted to perform numerous aspects of the work. Iron Baron is yet another example of the myriad resources projects across the state that are providing employment opportunities for those living in regional South Australia.

Arrium, as one of South Australia's premier iron ore producers, is rejuvenating South Australia's rich iron ore sector through the Middleback Ranges and beyond. Arrium's recent achievements, coupled with plans to expand its port facility and to double its export volumes, builds on a long history of successful operations in Whyalla. Indeed, these initiatives will hold Arrium in good stead as it seeks to increase exports from six million tonnes a year to 11 million tonnes by 2013. This will see Arrium's workforce double from 1,000 to 2,000. With the reopening of Iron Baron, Arrium has embraced modern technology and techniques to improve efficiency and extract the value of the site. Arrium has demonstrated true leadership in generating new-style solutions to effectively and efficiently rework this mine site.

It is important to recognise that projects of this nature are the result of excellent project planning skills, production and construction. I pay credit to the numerous teams who have worked together to successfully bring the Iron Baron project online. Importantly, I congratulate the hard work of my department and the efforts of our state's hardworking public servants. The close working relationship between Arrium and DMITRE shows yet again why South Australia is regarded as one of the world's best regulatory environments for the mining industry. As Greg Waters, Arrium Mining chief executive, made it clear at yesterday's opening:

DMITRE, rigorous, disciplined and no 'free kicks', but their knowledge, commitment and style enables a 'win win' outcome.

He went on to say that Arrium has the confidence to push ahead, not looking over its shoulder if the regime or rules change again. Without this, you cannot do projects like this, particularly in today's market.

This government recognises how pivotal the state's Public Service is in fostering resource and energy projects for the benefit of all South Australians. We know that, without the hard work of the resources and energy group and those across DMITRE, South Australia would not see projects such as the Iron Baron mine and would lose out on billions of dollars of investment in our state's resource sector.

This government recognises that without the diligent approvals process of well-informed and experienced public servants, the approvals process would instantly grind to a halt. This would not only increase the risk of poorly managed mine sites but also threaten billions of dollars of investment and thousands of jobs. This, of course, could all be at risk if the Leader of the Opposition's plans come to fruition. Members opposite want to reduce the size of the minerals team by at least 25 per cent.

This government recognises the importance of providing a stable and world-class regulatory regime, an environment that has allowed not only Iron Baron but a number of minerals and energy projects to be developed across this state. It is clear opposite that their counterparts in the Queensland Liberal government—

Mr WILLIAMS: Point of order: the minister has exceeded the four minutes allowed to answer a question.

The SPEAKER: The minister's time has expired, but I think his answer has expired also.

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