Rock solid: Rising output and export demand have supported division revenue growth

Australia has a large supply of mineral, hydrocarbon and non-mineral reserves, which the Mining division extracts, processes and sells. These reserves are often 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 estimated to account for almost three-quarters of revenue in 2019-20. Exports are forecast to continue accounting for a high proportion of division revenue over the next five years, mainly due to further increases in natural gas and iron ore exports.The Mining division's performance is influenced by commodity prices, the value of the Australian dollar, global supply trends, capital investment, and domestic and foreign demand for commodities...read more.

Industry Statistics & Market Size
Revenue
$277bn
Annual Growth 15-20
3.6%
Forecast Growth 20-25
Profit
Employment
178,550
Businesses
7,419

Industry Threats & Opportunities

  • Increased output and generally higher prices for a range of goods have influenced the division’s performance
  • Industrialising countries such as China and India have driven demand for natural resources
  • The division is forecast to focus on output growth and productivity over the next five years
  • Industry Report - Industry Key Buyers Chapter

    The Mining division has low market share concentration, with the largest four enterprises expected to account for 35.7% of revenue in 2019-20. A few large mining companies, which typically operate globally, strongly influence the division. The division's concentration has increased slightly over the past five years, with Glencore and Chevron increasing their market shares. In contrast, BHP and Rio Tinto have lost market share over the period due to divestments and low growth in iron ore markets.Concentration varies across the individual industries in the division. Exploration industries tend to have low concentration due to low entry barriers. Con...purchase to read more.

    Additional Insights for the Mining Industry

    IBISWorld has determined the most important Key Success Factors for the Mining are:

  • Availability of resource
  • Proximity to transport
  • Effective cost controls
  • IBISWorld analysts also discuss how external factors such as World price of iron ore and Actual capital expenditure on mining in the Mining industry impact industry performance..

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    What's in this report

    What is the Mining Industry?

    The Mining division includes all operations that mainly extract minerals or hydrocarbons (oil and gas), explore for minerals or hydrocarbons, and provide a variety of services to firms engaged in these activities.

    Industry Products
  • Coal mining
  • Oil and gas extraction
  • Other metal ore mining
  • Iron ore mining
  • Non-metallic mineral mining and quarrying
  • Exploration and other mining services
  • Industry Activities
  • Coal mining
  • Oil and gas extraction and mining
  • Metal ore mining
  • Non-metallic mineral ore mining
  • Other mineral mining and quarrying
  • Services to mining
  • Mining exploration services
  • Contract and mining support services
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • World price of iron ore
  • Actual capital expenditure on mining
  • US dollars per Australian dollar
  • World price of natural gas
  • GDP of mainland China
  • World price of steaming coal

  • Current Performance
  • Revenue and profit
  • Capital investment
  • Productivity challenges
  • Chart: Revenue Growth

  • Industry Outlook
  • Operating conditions
  • Gas expansion
  • Low-cost production
  • Table: Mining Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Mining Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Petroleum Refining and Petroleum Fuel Manufacturing
  • Iron Smelting and Steel Manufacturing
  • Aluminium Smelting
  • Copper, Silver, Lead and Zinc Smelting and Refining
  • Gas Supply
  • Fossil Fuel Electricity Generation

  • Key Selling Industries
  • Electricity, Gas, Water and Waste Services
  • Mining
  • Professional, Scientific and Technical Services
  • Wholesale Trade

  • Products & Services
  • Iron ore mining
  • Oil and gas extraction
  • Coal mining
  • Other metal ore mining
  • Exploration and other mining services
  • Non-metallic mineral mining and quarrying
  • Chart: Mining Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Iron ore export markets
  • Oil and gas export markets
  • Black coal export markets
  • Domestic energy industries
  • Metal product manufacturing industries
  • Other export markets
  • Mining division
  • Other domestic industries
  • Chart: Major Market Segmentation for the Mining Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Chart: Cost Structure Benchmarking – Sector vs Mining

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Mining Industry

  • Industry Globalization
    BHP Group Limited, Rio Tinto Plc - Rio Tinto Limited, Glencore Operations Australia Pty Limited,
  • Table: BHP Group Limited - financial performance
  • Table: Rio Tinto Plc - Rio Tinto Limited - financial performance
  • Table: Glencore Operations Australia Pty Limited - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Mining Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Mining Industry
    Includes:
  • Industry Revenue (2011-2025)
  • Industry Gross Product (2011-2025)
  • Establishments (2011-2025)
  • Businesses (2011-2025)
  • Employment (2011-2025)
  • Exports (2011-2025)
  • Imports (2011-2025)
  • Wages (2011-2025)
  • Wages (2011-2025)
  • Purchases (2011-2025)
  • Profit (2011-2025)
  • Depreciation (2011-2025)
  • Rent (2011-2025)
  • Utilities (2011-2025)
  • Other (2011-2025)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Bord-And-Pillar
  • A coal mining method that divides a coal seam into regular blocks to aid in extraction processes.
  • Coking Coal
  • Coking, or metallurgical, coal is a high carbon content used to produce coke for steelmaking.
  • Natural Gas
  • Naturally occurring gases consisting primarily of methane, but also including small amounts of heavier hydrocarbons such as propane and butane.
  • Steaming Coal
  • Steaming coal, or thermal coal, is a high energy content burned as fuel in power stations.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Mining market research report is a comprehensive guide to market size and growth prospects. Our industry reports offer strategic industry analysis of the factors influencing companies, including new product developments, economic, lifestyle and demographic influences, distribution and supply chain factors and pricing issues. Full analysis accompanies our data forecasts to illustrate how the market responds to emerging industry trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Mining:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Mining market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Mining, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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