Valuable Role Of Mining Recognised

Today’s release of the draft critical minerals list cements the valuable role of mining in New Zealand, says Straterra chief executive, Josie Vidal.

"Included on the list are minerals that, in addition to the minerals we already mine, will be used around the world to build technology, and support a clean energy transition," Vidal says.

"Mining some of them in New Zealand will create jobs, boost the economy, contribute to security of supply, and increase export revenue.

"The work being done by the Government to map out minerals, classify which are critical, and develop a strategy to encourage growth and investment in mining is a big step forward for industry and the Government.

"This sends positive signals to investors and our trading partners that New Zealand has a role in the global supply chain for the minerals used to make batteries, magnets, semiconductors, many of the components of clean energy, and of course to support advances in technology, health, food production and transport, to name just a few examples.

"Mining is the first step and there is also potential to look at what we could manufacture in New Zealand from these minerals.

"We are concerned that gold and coal are not on the draft critical minerals list. While ostensibly there is no shortage of coal or gold for mining in New Zealand, both make a significant economic contribution and accessibility of mining is very much dependent on Government policy. So good policy remains critical.

"Coal is now the number one product exported from New Zealand to India and gold is the number one product exported to Australia (by value).

"Coal is also an important input to much of our primary sector export industries. Without cost-effective energy, New Zealand exports would be less competitive in international markets.

"And in the current electricity affordability crisis, we must consider coal’s valuable role in energy resilience and security.

"We have seen government policy try to sunset coal while there is still domestic and export demand, and indeed, try to stop mining applications considered on conservation land. It is important to note that mining takes place on just 0.04 percent of the conservation estate and mining companies spend significant funds managing the biggest threat to the biodiversity of that land, introduced pests and weeds. Mining applications have to meet a high threshold before being approved."

Straterra will consult members and submit on the draft critical minerals list.

Straterra is the industry association representing New Zealand’s minerals and mining sector.

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