PUBLICATION

Chemical Week

AUTHORS

Katya Koryakovtseva, Joseph Hincks

Australia Chemicals 2012 IHS CW Release

June 15, 2012

Despite murmurings of a slowdown in China, demand for Australian resources shows little sign of abating. The Gorgon LNG project, could contribute in excess of AU$64 billion to Australian GDP over the next 30 years according to the estimates of Gorgon’s American operator Chevron, primarily through exports to Asian markets. In April 2012, the International Monetary Fund (IMF) predicted that Australia would be the best performing major advanced economy in the world over the next two years.

But something insidious is occurring behind the redoubtable GDP advance; a trend that concerns blue-collar workers, governments, and economists alike: Australian factories are starting to close. At the time of writing, Kunell teeters on the brink of closure: a shutdown that would follow that of ExxonMobil’s Port Stanvac refinery near Adelaide and the 2011 announcement that Shell is to convert its refining facility in Clyde into a giant receptacle for imports.

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MACIG 2025 - Mining in Africa Country Investment Guide

It is said that mining is a patient industry. Current demand projections are not. Demand for minerals deemed ‘critical’ is set to increase almost fourfold by 2030, according to the UN. Demand for nickel, cobalt and lithium is predicted to double, triple and rise ten-fold, respectively, between 2022 and 2050. The world will need to mine more copper between 2018 and 2050 than it has mined throughout history. 2050 is also the deadline to curb emissions before reaching a point of ‘no return.’ The pace of mineral demand and the consequences of not meeting it force the industry to act fast and take more risks. Mining cannot afford to be a patient industry anymore. The scramble for supply drives miners back to geological credentials, and therefore to places like the African Central Copperbelt.

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