The value of WA listed stocks has risen 343 per cent since the inception of the Deloitte WA Index ten years ago.
The value of WA listed stocks has risen 343 per cent since the inception of the Deloitte WA Index ten years ago.
Deloitte WA has released the statistics to coincide with the Diggers and Dealers conference which started in Kalgoorlie today.
According to Deloitte, Fortescue Metals Group, Paladin Energy and Equinox Minerals have recorded the biggest increase in market capitalisation since the Index's inception in 2000.
Deloitte has also reiterated its 2010 financial year figures which finished 18.8 per cent or $22.3 billion higher.
Deloitte WA Managing Partner Keith Jones said despite the recovery the index had lost some of its gains in recent months.
"The Deloitte WA Index has performed strongly for the 2010 financial year driven by strong commodity prices and rebounding economies, and it has outperformed all other major global indices," Mr Jones said.
"However, it finished off the year on a downward trend, declining 17.3 per cent in the final quarter due to the instability in the market created by sovereign debt issues in Europe, variable growth signals from China, and investor uncertainty created by the proposed Resource Super Profit tax in Australia."
Mr Jones said the latest Deloitte Index also highlighted the ongoing influence of China on Australia's resource development.
Mr Jones said the lure of Africa was based on significant commodity deposits which were generally high grade and close to surface.
As a result, he said there were now about 80 listed WA companies resource companies operating in on the African continent.
However, he said Africa continued to present a number of challenges for these companies seeking to invest, including political risk, infrastructure, tax and legal issues and risk management, and that a company needed to have a strong resolve and flexible approach to be successful.
"Africa presents a number of challenges, but as is evidenced by the number of Australian resource companies who have succeeded in Africa, these challenges are not insurmountable," he said.
Mr Jones said China remained a key influence for WA resources companies, with its urbanisation and infrastructure development underpinning the growing commodity demand. Mr Jones said he believed the Chinese interest and influence in Australia resource development would continue in the short term.
