Hon Dan van Holst Pellekaan MP, Minister for Energy and Mining announces action by the South Australian Government to alleviate the impact of coronavirus containment measures on the resources industry.
The South Australian Government has deferred costs linked to exploration and licence fees for the minerals and petroleum sectors to alleviate the impact on industry of coronavirus containment measures.
Minister for Energy and Mining Dan van Holst Pellekaan said the impact of travel restrictions and social distancing on the operation of the state’s mining and petroleum sectors has been significant.
“To meet this challenge head-on the South Australian Government will defer a suite of industry licence fees,” said Minister van Holst Pellekaan.
“The Marshall Liberal Government has implemented an immediate deferral of mineral exploration licence fees and annual petroleum and geothermal licence fees due in the next six months. These licence fees will now not be due until 31 December 2020.
“In addition, there is a 12-month waiver of committed expenditure for all mineral exploration licence holders as well as an expansion of allowable expenditures towards minimum Petroleum Retention Licence requirements during a period of low oil prices.
“These economic measures will provide the mining and petroleum sectors in South Australia with some financial relief and help support the state's economy to respond to the difficulties posed by the coronavirus containment measures.
“While the South Australian Government continues to implement rigorous measures across the mining and resources sector to reduce the risk of coronavirus spreading among the workforce, it is also important to provide financial assistance to those companies doing it tough during this time.
“The junior exploration sector is suffering disproportionately from the disruptive effects of the pandemic response, with many smaller companies already operating for some time in difficult financial markets finding it tough going in the current health emergency.
“During these difficult times, it is essential that government continues to work closely with the resources industry to keep them operating while maintaining a safe and healthy workplace for their people, to aid in the eventual recovery.
“The South Australian Government will carry on supporting our most important industries, and to ensure that our resources industry continues to play a vital role in the growth and development of this state, now and for years to come."
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Friday 3 April 2020