Finally – A More Sustainable Form of Mining

There is no doubting the strength of the Australian resource sector. It has overwhelmed the industry, attracted global investors, and been one of the catalysts for this country’s safe passage through the tumultuous Global Financial Crisis.

And it is only expected to grow.

Western Australia is home to some of the most iconic and lucrative mining regions in the world including the Pilbara and Peel regions, in addition to the Goldfields and the Super Pit gold mine. The state also holds a firm place the coal-mining sector, with production in Collie and the Northern Perth Basin.

While these traditional mining practices are incredibly important to the Australian economy, they do have a substantial impact on the environment. In fact, approximately 42.1% of all of this country’s carbon emissions is produced by the burning of coal alone.

It has long been suggested that – in the interests of climate change – coal mining, in addition to other highly carbon emitting practices, should be banned in Australia, but one important question has always remained. What would replace it?

With so many people’s wellbeing resting on their association with the billion-dollar sector, it is simply not feasible to remove it altogether.

Instead of taking this drastic movement, new information from the Sustainable Energy Association has shown that Western Australia, specifically the Midwest, will increase their presence in geothermal mining, with predictions that the area will soon become almost completely dependent on the renewable energy.

Instead of the heavy production of coal, the North Perth Basin will see a revitalisation under the joint venture of Green Rock Energy and New World Energy in their development of two geothermal energy bases.

If one thing is for certain, the joint companies know their consumers. WA is one of the most energy hungry states in Australia, so the move to geothermal energy not only offers to take some pressure off the grid, it is also simply good business.

“The mutually beneficial joint venture will create a single entity with access to the best geothermal areas in WA that are adjacent to transmission infrastructure and major base load energy markets. This collaboration will allow both companies to pool their technical and financial resources to ensure the most timely and cost effective geothermal development” says New World Energy’s Managing Director John Libby.

With almost total control of the geothermal sector in such a resource driven area, both companies will be sure to create economic gains in addition to not being hit hard by next year’s mining tax due to the nature of their work.

In fact, the first two wells of the project are cited as strong contenders for state and Commonwealth funding.

The federal government has committed to investing $100 million dollars into renewable energy solutions. It would seem only savvy business practice for the Australian industry to follow in the footsteps of both Green Rock Energy and New World Energy to not only avoid being taxed, but to actually garner additional economic support.