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Bill Johnston
Ahead of the curve
but restrictions to remain
espite slowing the spread of COV- believes is also credit to the foresight of
DID-19 in the State, West Australian government in the early stages of COV-
Minister of Mines and Petroleum Hon Bill ID-19 in WA.
Johnston doesn’t expect travel restric- “I think it shows that in a crisis govern-
tions to soften any time soon. ments are key to solving problems and
WA’s hard border closure was enforced that if you have a government like we
at the beginning of April, with Premier do in Western Australia – strong, stable
Mark McGowan reiterating that interstate leadership from the Premier – you can
borders would be shut for at least six solve problems by working cooperatively
months and intrastate travel restrictions with industry,” Johnston said.
applicable for a “period of time”. “People forget that the Premier
There are exemptions which allow cer- brought together roundtables of industry
tain people to travel for various reasons participants at the beginning of February crease on the $130.3 billion in 2018.
and to clarify who is eligible, the WA- to start discussing how we were going to Iron ore sales tipped a record $97.7
made G2G app is now free for anyone respond to this situation. We didn’t wait billion (50% increase on 2018), as prices
to use. until there was a crisis. Under Mark’s soared due to supply constrains in Bra-
“I don’t want to speculate but what leadership we were very early in engag- zil. Meanwhile, gold sales reached an
I would say is that we continue to work ing with industry to make sure we were all-time high of $13.8 billion on the back
very closely with health authorities. The listening to what the challenges were and of an average $2,000/oz price and nickel
Premier has made clear how we can step we were there in advance; we were there sales – more than $3.1 billion – were at
down restrictions, but I think you can ex- working with industry to solve problems their highest level since 2014.
pect the travel restrictions for quite some as they occurred rather than trying to LME nickel prices weren’t far off
time yet given that we now have the G2G play catch up. $US19,000/t in mid-2019 and at the time
so that workers in the industry can have “I think it is a real credit to the industry of print the price was similarly placed to
a steady process with dealing with the that they have reacted to the demands 12 months ago at $US12,100.
travel restrictions,” Johnston told Pay- of this incredible virus. We have been The nickel price slide and coronavirus
dirt. very fortunate that companies have concerns have done little to deter sec-
been prepared to tions of the WA’s exploration scene from
maintain very, very carrying on activities around the State
high standards and with the likes of Legend Mining Ltd, Chal-
adapt their prac- ice Gold Mines Ltd, Cassini Resources
tices to ensure we Ltd and St George Mining Ltd just a few
reduce the risks of the companies reporting recent suc-
of contagion. The cess.
fact that in Western Gold activity at both ends of the WA
Australia we have spectrum remain vibrant and with talk of
been able to get gold hitting an unprecedented $3,000/oz,
down to zero new the sector appears to be in good stead
infections a day to remain buoyant for as long as uncer-
[in late April] is a tainty in the world lingers.
credit to the whole Gold and nickel are commodities the
population of the State’s mining sector were founded on
State, but particu- and to ensure supply of both commodi-
Mark McGowan larly the mining ties remains constant explorers in the
industry which has space and other commodities have been
The coronavirus has led to mass shut- adapted itsr work practices to deal with afforded some leeway in financial com-
downs and job cuts around the world and this incredible contagion,” he said. mitments to tenements holdings.
despite its mineral riches, WA has not Johnston said there was a constant “An exemption from exploration ex-
been immune to the situation. Neverthe- line of communication open with the Fed- penditure will be considered if tenement
less, industry and government have been eral Government and calls with senior of- holders are unable to meet the tene-
mutual in praise for each other’s acumen ficials ensuring that not only the health of ment’s expenditure requirements as a
in navigating difficult times. participants in the Australian resources direct result of COVID-19 or because of
Organisations such as Association sector is protected, but that the sector restrictions imposed by the State and
of Mineral and Exploration Companies can continue to operate in support of the Federal governments. This decision will
(AMEC) have been lauded for their at- country’s economy. be valid until March 31, 2021, unless
tention to detail in helping industry un- WA itself is coming off a bumper 2019, rescinded earlier,” the Government an-
derstand and adapt to changes that have in which the resources sector achieved nounced in late March.
impacted the sector, which Johnston record sales of $167.3 billion; a 28% in- Johnston said applications should be
aUSTRaLIa’S PaYDIRT MaY 2020 Page 5

