Fundamentals focus needed: AMEC

THE Association of Mining & Exploration Companies has called on the incoming government to focus on the fundamentals of managing the Western Australian economy or risk being seen as selling the state short.

Speaking at the RIU Explorers Conference this week, AMEC’s chief executive Justin Walawski expressed grave concern about the absence of publicly announced initiatives to address a serious decline in mineral exploration expenditure.

The AMEC chief executive said that: “Investment in mineral exploration has declined from $692 million (1996-1997) to $466 million (2003-2004).

“With some fundamentally basic economic and financial management this state has the potential to reach and exceed the levels once attained in 1996-1997. Failure to do so is to short change this state.”

Mr Walawski pointed to the premier position the resources sector occupies, contributing around 75 per cent of exports and around 25 per cent of gross state product, which does not include more than $1 billion collected in resource royalties every year by the State Government.