House of Assembly - Fifty-Third Parliament, First Session (53-1)
2014-08-05 Daily Xml

Contents

Rex Minerals

The Hon. T.R. KENYON (Newland) (14:47): My question is to the Minister for Mineral Resources and Energy. Can the minister inform the house of recent developments in the state's resources sector?

The Hon. A. KOUTSANTONIS (West Torrens—Treasurer, Minister for Finance, Minister for State Development, Minister for Mineral Resources and Energy, Minister for Small Business) (14:47): I am pleased to inform the house that the state government has granted Rex Minerals a mining lease for its $800 million Hillside copper, gold and iron ore project near Ardrossan. The mining lease is a major step in the approvals process for this significant project, which would see copper mining return to Yorke Peninsula after 100 years. In line with our world's best practice regulatory approach, the mining lease included a number of conditions—ranging from environmental management to rehabilitation—which will be publicly released once, and if, the offer is accepted.

This project is good news for South Australia and our regional communities, providing investment and jobs for all South Australians. A new copper, gold and iron ore mine is good news for South Australia and has the potential to create hundreds of jobs for the region over the life of the mine. This project is one of many that continue to diversify the economy and provide flow-on benefits, including increasing demand for services and other related industries. The government is committed to diversifying our economy, where the state's key strengths in agriculture, food and wine, tourism, and the defence and resources sectors operate side-by-side for the benefit of the local, regional and broader South Australian community.

The lease approval is a major step towards delivering this project and demonstrates that the Hillside mine can be operated in an environmentally reasonable and responsible manner. Once Rex Minerals accepts the offer it will have 12 months to prepare a detailed plan for the safe operation of the mine—a Program for Environment Protection and Rehabilitation (PEPR)—that meets all the government's stringent requirements.

The offer to Rex comes after comprehensive community consultation, ensuring that concerns and issues have been fully considered in the assessment of the mining proposal. The formal community consultation period conducted by the government prompted more than 266 submissions from members of the public, community groups and government regulators.

I am firmly of the view that this mining lease strikes the right balance between environmental and economic priorities. I also want to take this time to thank the Leader of the Opposition for his party's support in this mine approval. It is clear, however, that there are some in the community who continue to oppose this development. While I respect the rights of farmers and other protesters to express their views, I simply do not agree.

Fundamental to the expansion of the state's resources sector is regulation based on science, not emotion. This government also recognises that to grow we must change. We cannot simply rely on the traditional industries of the past. This government is committed to growing new opportunities for our cities, our towns and our regional communities.

This government will stand by emerging sectors, and we will stand by our vision for a stronger, more prosperous South Australia. In doing so, we will not compromise on the state's reputation as a clean, green food producer, which is why we have a world's best regulatory system in place to ensure mining and farming can coexist and the environment is protected.

The state government's recent decision to grant a mining lease to Rex Minerals strikes the right balance between protecting the environment and amenity of the Yorke Peninsula while diversifying the local economy and creating jobs. Opposition to South Australia's mining and oil and gas sectors demonstrated at recent rallies ignores a decade-long partnership between South Australia's resources sector and the agriculture industry. Now is the time for leadership, not scaremongering. Indeed, the shared benefits—

Mr Bell: I represent my community.

The Hon. A. KOUTSANTONIS: Good on you. I represent South Australia. Indeed, the shared benefits of expanding our state's resources and agricultural sectors are many, from investment in infrastructure to job creation and training. The benefits that resources exploration and production bring to regional communities can be shared by all.

The DEPUTY SPEAKER: Regrettably, your time has expired.

The Hon. A. KOUTSANTONIS: What a shame!