Industry Analysis & Industry Trends
Australia has a large supply of mineral, hydrocarbon and non-mineral reserves, which the Mining division extracts, processes and sells. These reserves are often of a high quality and close to the earth's surface, enabling Australia's Mining division to be price-competitive on a global scale. The division is export-oriented, with exports expected to account for over two-thirds of revenue in 2015-16. Division exports are projected to account for over three-quarters of revenue by 2020-21, on the back of the expected increase of natural gas exports.
The division's performance depends on pricing levels, the value of the Australian dollar, and global trends in supply and demand for commodities. As new supply takes years to develop, division operations are generally cyclical... purchase to read more
Industry Report - Industry Analysis Chapter
Over the past decade, developing countries such as China and India have industrialised rapidly, driving demand for natural resources and industrial commodities. As global demand surged, many Australian mining companies committed to new projects, resulting in a swell of capital investment and mining volumes. This flow of investment worked its way down the supply chain, through the exploration and mining services industries, and increased mining output. However, increased supply contributed to large price declines for many division goods over the five years through 2015-16.
Revenue and profit
Annual division revenue is highly volatile due to movements in production, world prices for major commodities, export demand, and exchange rates... purchase to read more