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Resources industry deliver billions in SA

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Fifteen local resource companies contributed over $10.7 billion to the South Australian economy in 2021–22, according to the South Australian Chamber of Mines and Energy (SACOME).

This contribution came to light after SACOME undertook an economic-contribution analysis that delivered a snapshot of SA’s largest export industry. The analysis showed resources such as BHP, Adbri and OZ Minerals were major contributors.

SACOME said the contribution of the 15 surveyed companies is the equivalent to 8.3 per cent of SA’s gross state product (GSP), with $1 in every $12 generated by the resources sector.

In addition, the 2021–22 data represents an 81 per cent uplift from the last economic analysis conducted in 2019-20, which recorded $5.9 billion in direct and indirect spending and 5.3 per cent GSP.

Some other key takeaways from the analysis:

  • SA’s resources sector directly employs 7825 full-time jobs and supporting the employment of 42,832 full-time jobs across the state
  • SA’s resources sector paid $1 billion in wages and salaries to full-time employees, representing an average annual salary of $133,672
  • Direct spending in SA added to a total of $5.3 billion to the economy, including $3.75 billion in purchases of goods and services from over 2851 local businesses
  • Payments of $431 million to the State Government in the form of royalties, payroll, stamp duty, land, and other taxes
  • Payments of $14.7 million being to 197 different community organisations
  • Payments of $4.8 million being to local government sectors

SACOME chief executive officer Rebecca Knol said resource companies underpin SA’s economy by providing jobs, supporting local suppliers and enabling critical public infrastructure.

“The results are testament to the resilience of the sector which has safely operated throughout the COVID-19 pandemic, helping to maintain the economic health of the state despite navigating travel restrictions, lockdowns, absenteeism and supply-chain impacts,” Knol said.

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