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IMARC 2017Dr Paul Heithersay

Department of the Premier and Cabinet, South Australia

SOUTH AUSTRALIA’S MINING INFRASTRUCTURE PLANNING

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DisclaimerThe information contained in this presentation has been compiled by the Department of the Premier and Cabinet (DPC) and originates from a variety of sources. Although all reasonable care has been taken in the preparation and compilation of the information, it has been provided in good faith for general information only and does not purport to be professional advice. No warranty, express or implied, is given as to the completeness, correctness, accuracy, reliability or currency of the materials.

DPC and the Crown in the right of the State of South Australia does not accept responsibility for and will not be held liable to any recipient of the information for any loss or damage however caused (including negligence) which may be directly or indirectly suffered as a consequence of use of these materials. DPC reserves the right to update, amend or supplement the information from time to time at its discretion.

www.minerals.dpc.sa.gov.au

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What is the outlook?

Metals and Mining Index indicates heading out of the down-cycle

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Existing minesBHP: Olympic Dam copper-gold-uranium mine expanding

OZ Minerals: Prominent Hill copper-gold mine expanding

Liberty OneSteel: Middleback Ranges new owner

Heathgate Resources : Beverley and Four Mile potential

Hillgrove Resources: Kanmantoo Copper mine potential

New/recommissioned* MinesHavilah Resources: Portia gold mine

WPG Resources: Challenger gold mine*

WPG Resources: Tarcoola gold mine

Cu-River: Cairn Hill magnetite iron ore mine* New investor

Advanced PermittingOz Minerals; Carrapateena copper mine ( CAPEX $1 bill)

Iron Road : Central Eyre Iron Project ( CAPEX $4 bill)

Major Mines and Projects 2017

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SA Mineral and Energy Resources Exports

Mineral and petroleum resources continue to deliver as one of the State’s major export sectors.

Contributing $3.6 billion(33%) to the State’s $10.9 billion exports in 2016.

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Economic Priority: Unlocking the full potential of South Australia’s resources

Discovering Resources Giving Confidence

Transforming Resources

Innovation for complex challenges

Readiness for commodity cycle upswing – Cu, Au, Fe, oil/ gas

Urgent / critical response to industry and community needs

Econom

ic and social developm

ent for SA

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Discovering Resources

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PACE Discovery program and PACE Gas 

Copper Strategy and Magnetite Strategy

South Australia Drill Core Reference Library

Strategic global, local agreements, 

partnerships

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PACE ProgressCoompana Radiometric / Magnetic Survey – Magnetics Q2 2016 and Radiometrics Q3 2016

Minerals System Drilling Program – final debrief / workshop delivered August 2016

Eucla Basin / Basement Deep Crustal Seismic Survey – final release August 2016

Depth to Basement / 3D State Model – released Q3 / 4 2016

Gawler Craton Radiometric / Magnetic / DEM Survey – commenced January 2017

Coompana Drilling Program – commenced April 2017

Musgrave AEM Survey – released April 2017

Coompana Geophysical Gravity Survey – commenced Jan 2017; data released April 2017

Central Olympic Domain infill MT and AEM – commence Q2 2017

Fowler Domain AEM – commence Q2 2017

PACE Discovery Drilling 2016 – completed by June 2017

Coompana / Fowler Geochemistry – commence Q2 2017

Northeastern SA AusLAMP MT Program – South Australian program to be completed Q3

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Accelerate Exploration, Discovery and InformationPACE Copper - Accelerating Exploration,

Discovery and Information

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Gawler Craton Geophysical Survey Phase 1 complete Phase 2 commenced

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PACE Copper - Accelerating Exploration, Discovery and InformationCoompana Drilling program - first drill core in 30 years

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Giving confidence Consistent regulatory 

framework egMining Act 1971 & Planning, Development and Infrastructure Act 2016

New SARIG – South Australian Resources Information  Gateway

Leading Practice Mining Acts Review

Stronger Partners Stronger Futures 

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Transforming Resources Regional Mining and 

Infrastructure Plan PACE Supply Chain 

Development Program Mining Services Centre of 

Excellence 50 Yr Port Strategy

Innovating Our Energy Plan Steel Task Force  Port Pirie Transformation

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Regional Mining Infrastructure Plan

• Identified potential infrastructure solutions to support mining development

• Assessed on the basis of their economic, social and environmental implications

• Resources Infrastructure Task Force works with private sector stakeholders to facilitate key infrastructure projects and development

• Reports directly to the State Minister for Mineral Resources and Energy

• http://rit.statedevelopment.sa.gov.au/about-rit

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First Report – Bulk Mineral Port Solutions 3 most prospective locations to meet potential demand for bulk minerals exports from the Spencer Gulf region

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Eyre & Western Region

Far North Region

Yorke & Mid North, Braemar Region

South Australia Major Mines and Developing Projects and associated Regional Infrastructure

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2. Develop 3. Grow

66kv Transmission line Wudinna ‐

Ceduna

132kv Transmission line Cleve ‐Wudinna

132kv Transmission line Pt Lincoln  ‐

Whyalla 

Jacinth‐Ambrosia recommencing operations late 

2017

Eyre Highway

Trans Australia Railway

Ceduna‐ Port LincolnWater pipeline

Proposed alternative Export option established 

at Whyalla during Thevenard Port upgrade

Proposed Port Hardyinitial 70mtpa capacity 

support Panamax/Capesize vessels

CEIP Infrastructure Corridor

Rail, Power Water to new multi‐user Port

Central Eyre Railway  

GFG AllianceWhyalla 

Power Plant 9MW 

EYRE & WESTERN REGION

Central Australia Railway

Pt Lincoln –Buckleboo Railway  

Next Stage – Regional Solutions

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Battery Storage & Renewable Technology

fundNew Generation

More CompetitionState-owned Power Plant

New Powers to take Charge

South Australian Gas

Incentives

Energy Security Target

Our Energy Plan

ourenergyplan.sa.gov.au

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Our Energy Plan – Battery Storage

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• SolarReserve plant near Port Augusta

• 150MW plant • $650 million project• Construction begins 2018 –

expected completion date 2020

• 700 jobs – with requirements for local workers

Our Energy Plan – SolarReserve

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Resources Infrastructure & Investment Task Force

The Task Force delivers transformative outcomes for South Australia by securing significant resource investment projects

2. Develop 3. Grow

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South Australia – Open for Business

Government Support – Development

• Stable transparent regulatory framework – to build confidence with development partners and community.

• Coordinated approach between government and industry for infrastructure solutions.

• Investment support throughout the value chain.

• Case management approach with mining proponents for government approval processes –efficient, dedicated partnering to cover Mining Act 1971 & Development Act 2016

• Further improvements underway for streamlining processes and approvals.