Tuesday, 8 April 2008INCREASED output, strong international...

Tuesday, 8 April 2008

INCREASED output, strong international demand and rising commodity prices contributed to a 7% increase in Western Australian mineral and petroleum sales in 2007, according to the boom state’s latest statistics released yesterday.



Figures from the WA Department of Industry and Resources revealed the 7% sales jump took the value of the WA mineral and petroleum to $A53.1 billion – a $3.6 billion increase.

Along with petroleum, iron ore and nickel were both star performers.

Iron ore sales rose $1.4 billion (9%) to make a $16.1 billion contribution, while nickel jumped $1.1 billion, or 19%, to be worth $7 billion in sales.

Strong world prices compensated for the fall in quantity, according to the report.

WA Resources minister Francis Logan said the state’s petroleum, iron ore and nickel sectors showed “particular resilience”, kicking in around 75% of the sales total.

“These figures are remarkable in light of the Australian dollar strengthening by 11 percent in 2007, and adverse weather conditions and equipment and skills shortages hampering production,” Logan said.

The minister forecast continued strong demand from WA’s trading partners, particularly China.

“WA now accounts for half of the total value of Australia’s mineral and petroleum sales and our resources sector shows no signs of slowing down,” Logan said.

“Iron ore’s record run should continue, following mine and port expansion and continuing strong demand, while petroleum is benefiting from high world oil prices and increasing crude oil sales volumes.”