Australian Uranium Conference 2011

OUT AND ABOUT: Opening the Australian Uranium Conference in Fremantle Western Australian Minister of Mines and Petroleum Norman Moore told the crowd he wasn’t allowed to mention secession.

He did however advise those in attendance that the Western Australian Government has determined to implement a royalty rate of five per cent for uranium oxide concentrates.

Moore said the government had taken the decision after carrying out discussions with industry and that the government had considered carefully industry’s suggestions on the matter.

“Whilst the government has been asked to consider some relief from industry, we have decided to set a rate and contain it in legislation as the initial approach,” Moore said.

“The (Western Australian) Government is committed to the development of the uranium sector in Western Australia.

“This is part of our determination to ensure the continued, sustained development of the resources industry in this state.”

Moore also said that although he remained optimistic regarding the development of the resources sector in his state he said he felt the Federal Government’s proposed Minerals Resource Rent Tax threatens the future development of this sector Australia-wide

“We believe it will place an unfair burden on resources developments and affect the competiveness of WA as a destination for resources investment,” Moore said.

“We recognise only too well that there is gold, iron ore, uranium, coal and a variety of other minerals in other parts of the world.

“We have no monopoly on the supply of these products. It is a competitive world environment and we must remain competitive to attract international investment.

“We believe this tax is an impediment to that investment future.”

Moore went on to say the Western Australian government feared the MRRT could compromise its right to a fair return from royalties, “which are royalties based on the resources owned by the state government,” he said.

The WA government holds a genuine concern that the MRRT could be expanded from its current focus on iron ore and coal to include other commodities such as uranium.

Moore indicated recent comments by Greens Leader Bob Brown at the National Press Club, where he spoke of The Greens’ desire to expand the mining tax in its totality to also include uranium and gold, added fuel to the WA government’s concerns.

“His comments are, I think, clearly the ideals of a political party that would be quite content to see the destruction of the resources industry in this country,” Moore said.

Western Australian fears are not just contained to the MRRT with Moore taking aim at the Federal Government’s proposed Climate Change Plan, better known as the Carbon Tax.

“The tax poses a threat to all miners, not just coal, iron ore and the petroleum producers,” he said.

“We continue to wonder at the imperatives surrounding the decision to implement the tax; bearing in mind we were told there wasn’t going to be one.”

With Australia producing less than two per cent of the planet’s greenhouse emissions, Moore told audience that even if, as a country, we were able to eliminate every molecule of greenhouse gasses it would not make any difference to the world’s climate.

He pointed to what he described as, “The rise of Green activism and Green power in Australia”, as an issue the entire resources sector will need to address, not just uranium plays.

“It will become more and more important, in my view, for industry and its peak bodies to speak out on these issues that have significant consequential effects on this industry,” Moore said.

“It is very important to give the public the information they are eager to get to help them balance the public discussions on mining in Australia, particularly in respect to the Carbon Tax and uranium mining.

“The Western Australian government recognises that the resources sector is fundamental to our state and national economy

“In time the uranium sector will become a significant contributor to the state’s economy and will also be a contributor to the state’s revenues through the royalties it will pay.”