Article by Simone Grogan, courtesy of The West Australian.
The boss of a $10 billion gold major has demanded legislative changes to stop a repeat of the now infamous McPhillamys mine snub, or risk tarnishing Australia as a mining destination.
In a forthright address to a WA Mining Club audience in Perth on Thursday, executive chair of Evolution Mining Jake Klein claimed Australia and western countries had “lost our ability to think and act strategically”, and there needed to be more cohesion between industry and government to “future proof” mining for the next 50 years.
The seasoned mining executive argued the industry had made all Australians prosperous, delivering billions of dollars of reliable income for the country.
In the meantime, however, he warned China had forged further ahead as an economic powerhouse and built “some of the most formidable and successful resource companies in the world”.
“I really think we are at a crossroads where inaction is going to cost us,” he said.
“There is a common thread that has landed us in this predicament and something I think we should all be deeply concerned about. It seems that we here in Australia, and in fact probably in all western democracies, appear to have lost our ability to think and act strategically.”
Mr Klein squarely called out the Federal Government’s decision to effectively knock back plans for Regis Resources’ McPhillamy’s $1 billion gold mine in NSW as a “great example of what we should not be doing”. The decision by Environment Minister Tanya Plibersek to rule in favour of a Section 10 application and veto part of the proposed site on Indigenous cultural heritage grounds left Regis flummoxed, and infuriated the mining industry.
“This project went through years of extensive scrutiny, including public consultation, by the Independent Planning Commission before its approval by the NSW Government,” Mr Klein said.
“We cannot have a repeat of this and there needs to be a change to the legislative process that ensures that any red flags at a State or Federal level that risk a project’s approval are identified and dealt with early.”
He blasted the last-minute interception as “unacceptable and unnecessarily tarnishes the attractiveness of Australia as a mining destination.”
In a quarterly update on Thursday, Regis chief executive Jim Beyer affirmed the company was assessing its legal options, following what it said had been a “confusing and disappointing decision”.
Mr Klein further lamented that Australia had become “unable to have mature, calm, adult conversations about long-term, important issues”, including getting enough renewable power lined up for 2050.
Against the backdrop of the approvals furore, gold prices are continuing to notch up record highs, as a close and contentious US election draws near, and conflict in the Middle East rages on.
An ounce of gold surged to $US2700 ($4070) an ounce last week for the first time and is now up 31 per cent since January.
We here in Australia, and in fact probably in all western democracies, appear to have lost our ability to think and act strategically.
