Resource exports expected to hit record high | Liverpool City Champion
Australian energy and resource exports are forecast to reach record levels this year, driven by high commodity prices and a weaker Australian dollar.
The latest Resources and Energy Quarterly outlook released for the December quarter projects exports to reach $ 379 billion in 2021/22.
Despite the impacts on the economy of COVID-19, the resource and energy export sector is expected to grow 22% from the previous record of $ 310 billion set in the previous fiscal year.
As iron ore prices fell, a more solid result for base metals, coal and LNG may have offset this.
The forecast also predicted that coal and LNG prices would remain high going forward due to strong demand and persistent shortages for commodities.
However, the quarterly report also foreshadowed a noticeable drop in iron ore profits as demand for the product slows globally.
The report also predicts that demand for minerals such as lithium, nickel, zinc and copper will benefit the sector.
Resources Minister Keith Pitt said the sector continued to be a key driver of the national economy.
“The resource sector has overcome the challenges of the pandemic and will continue to serve our nation for years to come,” said Mr. Pitt.
“These are exceptional results that will provide new jobs and opportunities in our regions and benefit all Australians.”
LNG exports are expected to increase from $ 30 billion to $ 63 billion by 2021/22.
The value of thermal coal exports will also more than double, from $ 16 billion to $ 35 billion, while metallurgical coal will rise from $ 23 billion to $ 50 billion.
Despite the significant rise in the sector during the year, a slight decline is expected shortly thereafter.
Energy and resource export revenues are expected to drop to $ 311 billion by 2022/2023.
Mr Pitt said that 367 projects described in the report are worth an estimated $ 504 billion, which include projects to capture and store hydrogen, ammonia and carbon.
“It means jobs for Australians,” he said.
“Job estimates from contracted project developers suggest that approximately 25,100 construction jobs and 8,300 ongoing jobs will be created.”
Most of these jobs are expected to be in the Western Australia and Queensland region.
Associated Australian Press