In 2000, Australia's economic demonstrated resources (EDR) of bauxite, brown coal, copper, diamond,
magnesite, mineral sands (ilmenite, rutile, and zircon), nickel, phosphate, tantalum, uranium and
vanadium increased, while those of black coal, gold, iron ore, manganese ore and lithium decreased.
EDR of zinc, lead and silver were maintained at levels similar to those reported in 1999. The
reductions in EDR were due mainly to ongoing high levels of production; commodity prices were a
subsidiary factor.
EDR of bauxite, diamond, magnesite, nickel and tantalum increased by over 15% following reviews of
resources information that became available during the year. EDR of nickel again reached record
levels and at 20 Mt is now 45% of total identified resources for this commodity. Gold EDR decreased
by just over 1% to 4959 t. This along with the continued declining trend in net growth in non-EDR for
gold and other factors, lead AGSO - Geoscience Australia to suggest that increased exploration
expenditure is required to ensure a sustainable sector in Australia.
Australia, however, continues to rank as one of the world's leading mineral resource nations. It has
the world's largest EDR of lead, mineral sands, nickel, tantalum, uranium and zinc. In addition, its
EDR is in the top six worldwide for bauxite, black coal, brown coal, copper, cobalt, copper, gold, iron
ore, lithium, manganese ore, rare earth oxides and gem/near gem diamond.
Mineral exploration expenditure fell by 19% to $676.3 million in 1999-2000, which was marginally
higher than the low point registered in the last cyclical downturn in 1992-93. Spending for calendar
year 2000, based on the sum of ABS four-quarter figures, was down by $42.9 million to $676.4 million
- essentially the same as for 1999-2000.
Production of many mineral commodities reached record levels in 1999-2000, and overall mine
production is projected by ABARE to rise by around 8% in the five years to 2005-06. Growth in mine
output over this period is expected for nickel (55%), copper (7%), zinc (9%), bauxite and alumina (6%
and 9%) and iron ore (15%). The high level of investment activity in the minerals industry since the
early 1990s, is expected to continue to fall in coming years, according to ABARE and ABS.
