Category Archives: Mining

COP26 chat with Grattan’s Tony Wood – climate change, renewables, nuclear, and coal

In Economics Explored Episode 108, leading Australian energy and climate change policy expert Tony Wood from the Grattan Institute explains what COP26, the 2021 climate change conference in Glasgow, is all about and why it’s important. Tony discusses what “Net Zero … Continue reading

Posted in Climate change, Energy, Mining | Tagged , , , , , , , , , | 4 Comments

Super high coal prices will boost royalties and slow the increase in Qld state debt

Back in early August I observed that higher coal prices were helping the Qld economy and state budget in this time of rolling lockdowns. Amazingly, the all important metallurgical or coking coal price has surged even higher since then. There … Continue reading

Posted in Mining | Tagged , , , , , , , , , | 2 Comments

Higher coal prices helping Qld economy and state budget in this time of rolling lockdowns

Coking and thermal coal prices have recovered massively from their pandemic-induced lows in 2020, providing much-needed help to the Queensland economy and state budget in this time of rolling lockdowns. In the chart below are the one-month and twelve-month-ahead futures … Continue reading

Posted in Mining | Tagged , , , , , | 2 Comments

PC says fuel tax credit isn’t a fossil fuel subsidy

Some commentators claim the federal government’s fuel tax credit for business is a $7.8bn fossil fuel subsidy (e.g. see the Australia Institute’s Fossil fuel subsidies in Australia), but the Productivity Commission has provided me a great explanation regarding why the … Continue reading

Posted in Mining, Tax | 6 Comments

Coal comeback good news for Qld economy

Last week saw a surge in coal prices due to global demand and supply factors (some of which are likely only temporary), as discussed in a nice piece by Bloomberg journalists reprinted by the Brisbane Times It’s not over for … Continue reading

Posted in Mining | Tagged , , , | Leave a comment

Mining CAPEX has been growing in WA, falling in Qld

Mining sector capital investment has been increasing in WA but falling in Queensland, according to March quarter capital expenditure data published by the ABS yesterday (see chart above). This would reflect a combination of the following factors: the stronger demand … Continue reading

Posted in Mining | Tagged , , , , , , , | Leave a comment

Qld exports were $21bn lower in 2020 due largely to lower coal and LNG prices

At the launch of the Queensland Premier’s Export Awards in May 2019 at the Tower of Power, 1 William St, I spoke about how Queensland’s exports had soared to record levels over the previous few years, largely as a result … Continue reading

Posted in Exports, Macroeconomy, Mining | Tagged , , , , , , , , , | Leave a comment

Bulk of coal mining jobs in Central Qld, but Brisbane has 2-3K

Last Wednesday, I was pleased to note that the Chinese ban on Australian thermal coal appears to have had little impact so far (check out Pick up in thermal coal prices over last month). This is good news especially for … Continue reading

Posted in Brisbane, Mining | Tagged , , , , , , , , , | Leave a comment

Pick up in thermal coal prices over last month

Unlike in WA where iron ore is the major commodity, in Queensland it’s coal that’s the big deal, and we should be thankful the Chinese ban on Aussie thermal coal doesn’t appear to have been that effective, as evidenced by … Continue reading

Posted in China, Mining | Tagged , , , , , , | Leave a comment

Where Queensland’s coal exports go

In my post last Tuesday, PM puts China’s Aussie thermal coal ban in perspective, I noted how China’s Aussie coal ban would be much more concerning if it also applied to coking coal, which is more valuable per tonne and … Continue reading

Posted in China, Mining | Tagged , , , , , , , , , , | 2 Comments