Western Australia's Rich Mineral Mines Uncovered

what is mined in western australia

Western Australia is a major mining region, accounting for around one-third of all mining sites in Australia. The state's mineral and petroleum industry was valued at A$145 billion in 2018–19. Iron ore is the state's most important commodity, with 97% of Australia's total iron ore mined in Western Australia, predominantly in the Pilbara region. Gold is the third largest commodity, with Western Australia producing 69% of Australia's gold in 2021–22. Other significant commodities mined in the state include alumina, nickel, lithium, mineral sands, salt, coal, cobalt, rare earths, and diamonds.

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Iron ore

The iron ore industry is a major employer in the state, with 48.5% of all mining and petroleum industry workers in Western Australia working in the sector. In 2019, the Western Australian Government received A$4.9 billion in royalties from the industry, a 288% increase compared to a decade earlier.

Most of Western Australia's iron ore is produced in the Pilbara region in the state's north. In 2018-19, the Pilbara region produced iron ore worth A$76.8 billion, accounting for 98% of the state's total iron ore output.

China is the biggest buyer of Western Australian iron ore, importing 82% of the state's production in 2018-19. Japan was the second-biggest buyer, importing 7.9% of the state's production.

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Gold

Western Australia is a global leader in gold production, accounting for 69% of Australia's gold output in 2021-22. The state's gold sector is the third-largest commodity industry, generating A$16 billion in value during that period. Notably, the 6.9 million troy ounces (approximately 214 tonnes) of gold sold in 2021-22 represented the highest amount in two decades, showcasing the continued strength of the industry.

The gold mines of Western Australia are spread across various locations, with notable operations in Kalgoorlie, Mount Magnet, and Murchison. The Kalgoorlie operations include the South Kalgoorlie Gold Mine and the Kanowna Belle Gold Mine, both contributing to the region's gold production. The Mount Magnet Gold Mine operation encompasses the Vivien Gold Mine, where ore is processed centrally. Murchison's gold production stems from the Meekatharra Gold Operation, which includes underground mines such as Paddy's Flat and Bluebird, along with surface operations at several open pits.

Western Australia's gold mining industry is regulated by the Department of Mines, Industry Regulation and Safety. With its rich history, abundant resources, and ongoing contributions to the economy, gold mining remains an integral part of Western Australia's heritage and a key driver of its economic prosperity.

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Nickel

Western Australia holds the largest proportion of Australia's nickel resources, with 90% of the country's Economic Demonstrated Resources (EDR). Nickel mining in the state has faced challenges due to fluctuating global prices, leading to the closure and reopening of mines. From 1997 to 2022, Western Australia was the sole Australian state or territory producing nickel. This changed with the resumption of nickel concentrate production in Tasmania in 2022.

The first nickel mines in Western Australia were established in the late 1960s in Kambalda, Laverton, and the Kimberley region. The discovery of nickel at Mount Windara near Laverton in 1969 created an investment bubble, driving up Poseidon NL's shares. This led to an exploration boom in the early 1970s, with Western Mining Corporation (WMC) purchasing Poseidon and developing a major mining operation. However, by the time the first shipment of nickel concentrate was made in 1974, nickel prices had declined significantly.

Western Australia's nickel deposits are primarily magmatic nickel sulphides from komatiite deposits, with nickel oxides in laterite deposits also being significant. The Murrin Murrin and Ravensthorpe projects are the only producing lateritic nickel operations in Australia. Cobalt is a valuable by-product of nickel mining in the state, with 5,314 tonnes produced at a value of $522 million in 2021-22.

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Alumina

The state's alumina production began in the 1960s with the opening of Alcoa's first bauxite mine at Jarrahdale, which operated until 1998. Today, the major bauxite mines in Western Australia include the Huntly Mine, owned by Alcoa, producing approximately 25 million tonnes of bauxite annually, and the Willowdale Mine, also owned by Alcoa, producing around 10 million tonnes per year. Both mines are located in the Darling Ranges area and provide bauxite with a low percentage of silica, enabling more affordable refining. The Boddington Mine, owned by South32, is another significant bauxite mine in Western Australia, producing approximately 16.7 million tonnes of bauxite per year.

The bauxite mined in Western Australia is typically of a lower grade than the global average, with alumina percentages ranging from 28% to 32.7%. However, the low levels of reactive silica and proximity to necessary infrastructure make it a cost-effective option. The state's alumina refineries include Kwinana, Pinjarra, Wagerup, and Worsley, with Worsley constructing its own bauxite mine and refinery site in the early 1980s.

In 2016-17, alumina and bauxite sales in Western Australia totalled over 14 million tonnes, generating almost $5.1 billion. Alumina is closely linked to aluminium production, as around 90% of alumina is smelted to produce aluminium metal. While Australia only processes a small portion of its alumina into aluminium, the aluminium produced is widely used in various everyday products, from kitchen foil to laptops and cars.

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Base metals

Western Australia is a major mining region, with a wide variety of mineral resources and over a third of all the country's operating mines. Base metals mined in Western Australia include copper, lead, and zinc.

Copper is mined at the DeGrussa Mine, which entered maintenance in late 2022, and at the Mount Monger Operations, which consist of the Daisy Milano and Mount Belches underground mines, and the Aldiss open-pit mine.

Lead is one of Australia's top five mineral commodities by value, and the country is a leading global producer.

Zinc is another important mineral commodity for Australia, which is again among the top five global producers.

Nickel is also mined in Western Australia, with the state being the only state or territory in Australia to produce the metal from 1997 to 2022. Nickel production has suffered from falling international prices, with the value of the industry decreasing from a peak of A$6.9 billion in 2007 to under A$3.3 billion in 2009. However, the value of nickel sales in 2021-22 was the highest in 15 years.

Frequently asked questions

Western Australia is a major mining state, accounting for approximately one-third of Australia's total mine sites. The main resources mined in Western Australia are iron ore, coal, nickel, alumina, gold, lithium, mineral sands, salt, cobalt, rare earths, and diamonds.

Mining has transformed Western Australia's economy. Gold finds in the 1890s brought unprecedented numbers of people and capital to the state. The industry directly employed an average of 135,001 people during 2019-20, with the largest employers being the iron ore and gold sectors. In 2018-19, the overall value of the mineral and petroleum industry in Western Australia was A$145 billion.

Western Australia's government has shown a commitment to the mining industry by announcing funding for carbon capture, utilisation, and storage initiatives. With a focus on reducing operating costs and lowering carbon emissions, there is a growing demand for technologies that improve efficiency and limit greenhouse gas emissions.

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