The Australian energy experience
Tuesday, 13 April 2010
Australia is a world leader in the global mining and energy sector with abundant, high quality, diverse resources, skilled professionals and cutting edge technologies.
Australia is the:
l Largest exporter of gold, iron ore and black coal in the world.
l Global leader in production of bauxite, alumina, diamonds, imenite, rutile, lead, mineral sands and zircon.
l Second largest producer of zinc ore.
l Third largest producer of iron ore, nickel and gold.
l Fifth largest producer of aluminium and coal with Australian brown coal resources representing 24 per cent of the world total.
l Eighth largest energy producer, accounting for around 2.4 per cent of the world's energy production.
l Australia ranks 15th among the countries with highest natural gas preserve. Natural gas production in Australia is growing at an average rate of 4.2 per cent per year which is the strongest growth in natural gas production among the OECD countries.
l Australia also has the world's largest resources of low-cost uranium, accounting for 38 per cent of total world resources.
Australia is a net energy exporter, exporting approximately two-thirds of its domestic energy production. Black coal is Australia's largest energy export earner, with a value of $24.13 billion in 2007-08, followed by crude oil and LNG. Crude oil and LNG are among Australia's 10 highest value commodity exports. Energy export earnings were valued at $43 billion in 2007-08.
A large proportion of Australian black coal resources are high quality bituminous coals, characterised by a low sulphur and low ash content. Australian crude oil and natural gas liquids are typically low in sulphur and of the light variety of liquid fuels, which have a higher value than the heavy variety because of their lower wax content.
The Australian Government is working in partnership with the Australian coal industry to support initiatives that encourage research and development innovation and investment in clean coal technologies (CCTs). Key CCT research areas for Australia include carbon capture and storage (CCS); Integrated Gasification Combined Cycle; Oxy-Fired Combustion; and Ultra Clean Coal.
Natural gas is also important for Australia, both as a source of export income and as a domestic energy source. Australia's identified conventional gas resources have increased fourfold over the past 20 years and around 50 per cent of Australia's gas production is now being exported. In 2007-08, the value of Australian LNG exports was $5.9 billion, an increase of 12 per cent from 2006-07.
Renewable energy is another important element of Australia's future energy needs. The Australian Government has set a target of 20% of domestic electricity supply by 2020 from renewable energy generators. Australia's natural endowment of wind, solar, geothermal, water and land resources provides an excellent base to host a renewable energy generation industry. The growth of this industry will be influenced by its comparative environmental advantage over fossil fuels; the availability of economically viable feed stocks; and Australian and global concern about climate change and the resultant growth in demand for lower emission fuels.
Energy-related exports, especially coal and liquefied natural gas (LNG), have helped to underpin nearly two decades of uninterrupted economic growth in Australia. Given Australia's large energy resources, Australia is well positioned to continue to supply a significant proportion of the world's energy needs.
Australia is a world leader in the export of mining technology and services (NITS), exporting more than USD $1.8 billion in 2006-2007. This figure is expected to grow to over USD $4.5 billion by 2010.
Outwardly focused, around fifty per cent of Australian companies in this sector are engaged in international business. The sector comprises small and medium enterprises to large corporations, from basics to hi-tech, and manufacturing to service companies. Many mining operations in Asia, North and South America, Africa and Europe use Australian skills and hardware.
Australian exploration companies are at the forefront of advanced mineral exploration technologies. The remote nature of many of Australia's mineral deposits requires finely tuned exploration techniques. Consequently, Australian geologists have developed sophisticated and technologically advanced systems that enable them to explore and develop mineral deposits in a more cost effective manner.
Australian remote sensing technology advanced exploration equipment and resource estimation software have been used in difficult terrains throughout the world. Australia has significant expertise in remote sensing technology that combines satellite search with airborne and ground geophysics to allow for the rapid acquisition of digital exploration data.
Australian designed and developed exploration software has set the benchmark for the mining industry worldwide. Australian mining software is innovative, flexible, and user-friendly, and extensively used by exploration companies the world over. Experienced geologists and metallurgists use such technology to attain accurate mineral target definitions, assessments, and evaluations. At least 60 per cent of the world's mines are now operating with Australian-made and designed software.
Australian mine planners are world leaders in the use of sophisticated mine planning software to develop alternative mine plans in 3D format. These are used to ensure consistent grade and production rates, maximise development, develop cost planning estimates for alternatives and also to ensure that mine decommissioning and closure plans are incorporated into the initial mine plan.
Australia is at the forefront in developing innovative technologies to improve the productivity of the mining industry.
In working collaboratively, the Australian mining industry and research institutions have developed world class extraction and processing technologies. These have ensured that many marginal projects worldwide have now become viable and profitable. A dynamic consulting sector helps to underpin Australia's advantages in mining technology.
The Australian MTS companies are expert in adapting technologies to suit specific conditions and requirements. Australian designed mining equipment is high quality, efficient and cost-effective.
Australian companies have developed engineering skills and technologies that address all aspects of mining infrastructure. From installations at the ore body, through processing and beneficiation plants; to transport facilities, rail, roads and ship loading, Australian companies have across-the board experience in most mineral commodities, in remote areas and in harsh conditions.
This experience has led to the emergence of many Australian companies specialising in turnkey solutions for brown field and green field projects. Many of these companies have a renowned reputation for high levels of diligence and integrity at the planning stages, ensuring that contractual and organisational criteria are fully addressed. With a wealth of qualified personnel both in-house and as joint venture partners, supported by a stable workforce of highly skilled trades people, Australian initiated projects have a known reputation for successful commissioning on time and within the budget.
Contract services
Australian contract mining services range from supplying personnel and equipment, to total mine management. Underpinned by a skilled and flexible workforce and world class consultative capabilities, the Australian contract mining industry employs the knowledge and experience gained within Australia to bring benefits to miners in international markets. Many contracts now commence at the design stage and progress through to decommissioning, with specialist contract and sub-contract services being engaged for specific tasks, resulting in highly efficient usage of personnel and equipment, as well as coordinated project management to maximise the potential of the mine.
Environmental management
Australia is a also world leader in environmental management in the mining industry. Australia's mining technology companies have specialised in ecologically sound and proven mining practices and processing methods for recycling and conserving precious resources and the environment.
As mining continues to globalise, there is an inevitable push for universal standards of environmental protection. Australian standards for environment management is becoming the de-facto standard in the global mining industry.
Australian MTS companies are equally sensitive to the environment in their global client's operation, and comply with the standards required for their own operations. They are world leaders in water supply and conservation, tailings design and management, and rehabilitation and post-mining remediation.
l Australia's expertise in Environmental Management includes:
l Environmental Impact Assessment (EIA)
lEnvironmental Management Plans and Systems (EMP and EMS)
l Social and Community Impact Assessment
l Sustainability evaluation and ranking
l Risk management and mitigation option analyses
l Water management, optimisation and integration
l Rehabilitation (including phyto remediation)
l Post-closure usage and development value adding
Mining education & training
Australia's mining industry supports education, research and development at a high level, both in house and through universities, centres for cooperative research, government agencies and specialist firms that undertake research on areas such as dragline efficiency, mine waste, downstream mineral processing, materials handling and wear-resistant materials technology. This commitment to education, research and development has resulted in the production of an impressive line-up of some of the world's most technologically advanced mining and mineral processing equipment.
There are many educational institutions (Universities, TAFE's, private education providers and consultants) and research organisations in Australia which have the expertise and capability to offer degree programs, diplomas, short duration specialised industrial training courses both onshore and overseas.
Some major Australian
resource companies
BHP Billiton: BHP Billiton, also known as the "Big Australian", is world's largest diversified natural resources company and the largest company in Australia by market capitalisation. BHP Billiton was created through the Dual Listed Companies (DLC) merger of BHP Limited (now BHP Billiton Limited) and Billiton Plc (now BHP Billiton Plc), which was concluded on 29 June 2001. The company currently has 100 operations in 25 countries including Pakistan, USA, South Africa, Indonesia, UK, Brazil, Algeria and Australia.
Rio Tinto Group: Rio Tinto Group is a diversified, British-Australian multinational mining and resources group with headquarters in London and Melbourne. The company was founded in 1873 and since then has grown to become among the world leaders in the production of many commodities, including aluminium, copper, diamonds, energy products, gold, industrial minerals (borates, titanium dioxide, salt and talc), and iron ore. Rio Tinto controls gross assets of $81 billion in value across the globe, with main concentrations in Australia, Canada, Europe and the United States, and smaller holdings in Africa, South America and Indonesia.
Woodside: Woodside is one of Australia's top ten companies by market capitalisation, and the nation's largest publicly-traded oil and gas exploration and production company and one of the world's largest producers of LNG. Based in Perth, Western Australia, Woodside has major operational assets and exploration and development interests in five continents including Australia and the United States.
Santos: Santos is Australia's largest domestic gas producer, supplying sales gas to all mainland Australian states and territories, ethane to Sydney, and oil and liquids to domestic and international customers. The company supplies over 20% of eastern Australia's domestic gas and produced 54.4 million barrels of oil equivalent in 2008. Santos has the largest Australian exploration portfolio by area of any company -- 192,000 square kilometres. Santos is developing a multibillion-dollar project to build an LNG facility at Gladstone, Queensland -- the world's first project to convert coal seam gas to LNG on a large scale. The company also participates in on- and off-shore oil and gas exploration and production ventures throughout Australia, in the Timor Gap, Indonesia, Papua New Guinea, India, Bangladesh, Egypt, Vietnam, and Kyrgyzstan.
Courtesy: Australian High Commission, Bangladesh
Australia is the:
l Largest exporter of gold, iron ore and black coal in the world.
l Global leader in production of bauxite, alumina, diamonds, imenite, rutile, lead, mineral sands and zircon.
l Second largest producer of zinc ore.
l Third largest producer of iron ore, nickel and gold.
l Fifth largest producer of aluminium and coal with Australian brown coal resources representing 24 per cent of the world total.
l Eighth largest energy producer, accounting for around 2.4 per cent of the world's energy production.
l Australia ranks 15th among the countries with highest natural gas preserve. Natural gas production in Australia is growing at an average rate of 4.2 per cent per year which is the strongest growth in natural gas production among the OECD countries.
l Australia also has the world's largest resources of low-cost uranium, accounting for 38 per cent of total world resources.
Australia is a net energy exporter, exporting approximately two-thirds of its domestic energy production. Black coal is Australia's largest energy export earner, with a value of $24.13 billion in 2007-08, followed by crude oil and LNG. Crude oil and LNG are among Australia's 10 highest value commodity exports. Energy export earnings were valued at $43 billion in 2007-08.
A large proportion of Australian black coal resources are high quality bituminous coals, characterised by a low sulphur and low ash content. Australian crude oil and natural gas liquids are typically low in sulphur and of the light variety of liquid fuels, which have a higher value than the heavy variety because of their lower wax content.
The Australian Government is working in partnership with the Australian coal industry to support initiatives that encourage research and development innovation and investment in clean coal technologies (CCTs). Key CCT research areas for Australia include carbon capture and storage (CCS); Integrated Gasification Combined Cycle; Oxy-Fired Combustion; and Ultra Clean Coal.
Natural gas is also important for Australia, both as a source of export income and as a domestic energy source. Australia's identified conventional gas resources have increased fourfold over the past 20 years and around 50 per cent of Australia's gas production is now being exported. In 2007-08, the value of Australian LNG exports was $5.9 billion, an increase of 12 per cent from 2006-07.
Renewable energy is another important element of Australia's future energy needs. The Australian Government has set a target of 20% of domestic electricity supply by 2020 from renewable energy generators. Australia's natural endowment of wind, solar, geothermal, water and land resources provides an excellent base to host a renewable energy generation industry. The growth of this industry will be influenced by its comparative environmental advantage over fossil fuels; the availability of economically viable feed stocks; and Australian and global concern about climate change and the resultant growth in demand for lower emission fuels.
Energy-related exports, especially coal and liquefied natural gas (LNG), have helped to underpin nearly two decades of uninterrupted economic growth in Australia. Given Australia's large energy resources, Australia is well positioned to continue to supply a significant proportion of the world's energy needs.
Australia is a world leader in the export of mining technology and services (NITS), exporting more than USD $1.8 billion in 2006-2007. This figure is expected to grow to over USD $4.5 billion by 2010.
Outwardly focused, around fifty per cent of Australian companies in this sector are engaged in international business. The sector comprises small and medium enterprises to large corporations, from basics to hi-tech, and manufacturing to service companies. Many mining operations in Asia, North and South America, Africa and Europe use Australian skills and hardware.
Australian exploration companies are at the forefront of advanced mineral exploration technologies. The remote nature of many of Australia's mineral deposits requires finely tuned exploration techniques. Consequently, Australian geologists have developed sophisticated and technologically advanced systems that enable them to explore and develop mineral deposits in a more cost effective manner.
Australian remote sensing technology advanced exploration equipment and resource estimation software have been used in difficult terrains throughout the world. Australia has significant expertise in remote sensing technology that combines satellite search with airborne and ground geophysics to allow for the rapid acquisition of digital exploration data.
Australian designed and developed exploration software has set the benchmark for the mining industry worldwide. Australian mining software is innovative, flexible, and user-friendly, and extensively used by exploration companies the world over. Experienced geologists and metallurgists use such technology to attain accurate mineral target definitions, assessments, and evaluations. At least 60 per cent of the world's mines are now operating with Australian-made and designed software.
Australian mine planners are world leaders in the use of sophisticated mine planning software to develop alternative mine plans in 3D format. These are used to ensure consistent grade and production rates, maximise development, develop cost planning estimates for alternatives and also to ensure that mine decommissioning and closure plans are incorporated into the initial mine plan.
Australia is at the forefront in developing innovative technologies to improve the productivity of the mining industry.
In working collaboratively, the Australian mining industry and research institutions have developed world class extraction and processing technologies. These have ensured that many marginal projects worldwide have now become viable and profitable. A dynamic consulting sector helps to underpin Australia's advantages in mining technology.
The Australian MTS companies are expert in adapting technologies to suit specific conditions and requirements. Australian designed mining equipment is high quality, efficient and cost-effective.
Australian companies have developed engineering skills and technologies that address all aspects of mining infrastructure. From installations at the ore body, through processing and beneficiation plants; to transport facilities, rail, roads and ship loading, Australian companies have across-the board experience in most mineral commodities, in remote areas and in harsh conditions.
This experience has led to the emergence of many Australian companies specialising in turnkey solutions for brown field and green field projects. Many of these companies have a renowned reputation for high levels of diligence and integrity at the planning stages, ensuring that contractual and organisational criteria are fully addressed. With a wealth of qualified personnel both in-house and as joint venture partners, supported by a stable workforce of highly skilled trades people, Australian initiated projects have a known reputation for successful commissioning on time and within the budget.
Contract services
Australian contract mining services range from supplying personnel and equipment, to total mine management. Underpinned by a skilled and flexible workforce and world class consultative capabilities, the Australian contract mining industry employs the knowledge and experience gained within Australia to bring benefits to miners in international markets. Many contracts now commence at the design stage and progress through to decommissioning, with specialist contract and sub-contract services being engaged for specific tasks, resulting in highly efficient usage of personnel and equipment, as well as coordinated project management to maximise the potential of the mine.
Environmental management
Australia is a also world leader in environmental management in the mining industry. Australia's mining technology companies have specialised in ecologically sound and proven mining practices and processing methods for recycling and conserving precious resources and the environment.
As mining continues to globalise, there is an inevitable push for universal standards of environmental protection. Australian standards for environment management is becoming the de-facto standard in the global mining industry.
Australian MTS companies are equally sensitive to the environment in their global client's operation, and comply with the standards required for their own operations. They are world leaders in water supply and conservation, tailings design and management, and rehabilitation and post-mining remediation.
l Australia's expertise in Environmental Management includes:
l Environmental Impact Assessment (EIA)
lEnvironmental Management Plans and Systems (EMP and EMS)
l Social and Community Impact Assessment
l Sustainability evaluation and ranking
l Risk management and mitigation option analyses
l Water management, optimisation and integration
l Rehabilitation (including phyto remediation)
l Post-closure usage and development value adding
Mining education & training
Australia's mining industry supports education, research and development at a high level, both in house and through universities, centres for cooperative research, government agencies and specialist firms that undertake research on areas such as dragline efficiency, mine waste, downstream mineral processing, materials handling and wear-resistant materials technology. This commitment to education, research and development has resulted in the production of an impressive line-up of some of the world's most technologically advanced mining and mineral processing equipment.
There are many educational institutions (Universities, TAFE's, private education providers and consultants) and research organisations in Australia which have the expertise and capability to offer degree programs, diplomas, short duration specialised industrial training courses both onshore and overseas.
Some major Australian
resource companies
BHP Billiton: BHP Billiton, also known as the "Big Australian", is world's largest diversified natural resources company and the largest company in Australia by market capitalisation. BHP Billiton was created through the Dual Listed Companies (DLC) merger of BHP Limited (now BHP Billiton Limited) and Billiton Plc (now BHP Billiton Plc), which was concluded on 29 June 2001. The company currently has 100 operations in 25 countries including Pakistan, USA, South Africa, Indonesia, UK, Brazil, Algeria and Australia.
Rio Tinto Group: Rio Tinto Group is a diversified, British-Australian multinational mining and resources group with headquarters in London and Melbourne. The company was founded in 1873 and since then has grown to become among the world leaders in the production of many commodities, including aluminium, copper, diamonds, energy products, gold, industrial minerals (borates, titanium dioxide, salt and talc), and iron ore. Rio Tinto controls gross assets of $81 billion in value across the globe, with main concentrations in Australia, Canada, Europe and the United States, and smaller holdings in Africa, South America and Indonesia.
Woodside: Woodside is one of Australia's top ten companies by market capitalisation, and the nation's largest publicly-traded oil and gas exploration and production company and one of the world's largest producers of LNG. Based in Perth, Western Australia, Woodside has major operational assets and exploration and development interests in five continents including Australia and the United States.
Santos: Santos is Australia's largest domestic gas producer, supplying sales gas to all mainland Australian states and territories, ethane to Sydney, and oil and liquids to domestic and international customers. The company supplies over 20% of eastern Australia's domestic gas and produced 54.4 million barrels of oil equivalent in 2008. Santos has the largest Australian exploration portfolio by area of any company -- 192,000 square kilometres. Santos is developing a multibillion-dollar project to build an LNG facility at Gladstone, Queensland -- the world's first project to convert coal seam gas to LNG on a large scale. The company also participates in on- and off-shore oil and gas exploration and production ventures throughout Australia, in the Timor Gap, Indonesia, Papua New Guinea, India, Bangladesh, Egypt, Vietnam, and Kyrgyzstan.
Courtesy: Australian High Commission, Bangladesh