November 22nd, 2012

MagNet welcomes Premier’s decision to give Royalty Concessions

Weds 21 November 2012

MagNet’s seven member companies are delighted with the announcement today by the Barnett Government to reduce royalty rates for start-up magnetite projects.

This blanket industry wide reduction of royalty rates for a set period to apply to start-up miners is most welcome. As well as benefitting the Gindalbie AnSteel Joint Venture Karara project in the Mid West and the CITIC Pacific Mining Sino Iron project in the Pilbara this is a very positive action that will definitely encourage investment and lift the attraction of this State over others.

Executive Director Megan Anwyl said “the Magnetite Network has been lobbying for this concession for more than eighteen months and I am confident that this policy change will send a very strong signal to potential investors, many of whom are based overseas.”

“It shows that the Premier and his Cabinet are serious about attracting new large scale investment to this State and this is critical given that magnetite projects exist in many other places that could receive investment before our projects.”.

“The global carbon benefits of magnetite and ever declining grade of Australia’s hematite is driving a new interest in large scale magnetite production and there are now a number of magnetite projects under construction or planning but it is very important for the Western Australian Government to demonstrate just how keen it is to support this emerging industry.“