A new report shows Queensland’s resources exports hit a record high between March 2021 and 2022, with producers sending a record $77 billion worth of coal, gas and minerals to overseas customers.

A State of the Sector report for the March 2022 quarter released by the Queensland Resources Council (QRC) shows strong prices and increasing demand for Queensland commodities are driving the industry to never-before-seen levels of performance. The report revealed plenty of reasons to be optimistic about the future of Queensland’s resources sector.

QRC Chief Executive Ian Macfarlane said every Queenslander benefits from the sector’s prosperity because the royalty taxes paid by resources companies to the State Government increase as commodity prices rise.

Mr Macfarlane said resources companies will pay more than $6 billion in royalties this financial year – a record amount ever paid to a Queensland Government.

“International commodity price cycles are volatile by nature and dictated by the laws of supply and demand, so the resources sector is extremely pleased the current upturn in prices has come at the best possible time to help the Queensland economy recover from Covid,” he said.

Mr Macfarlane said resources companies will pay more than $6 billion in royalties this financial year – a record amount ever paid to a Queensland Government.

“International commodity price cycles are volatile by nature and dictated by the laws of supply and demand, so the resources sector is extremely pleased the current upturn in prices has come at the best possible time to help the Queensland economy recover from Covid,” he said.

“The downside is that just like everywhere else, our input costs have been rising, particularly for wages, because we pay our employees very well and we’re right in the middle of a major skilled worker shortage which shows no signs of abating.”

Mr Macfarlane said many resources companies are already well advanced in their plans to reduce emissions and improve their environmental credentials to remain competitive in an increasingly discerning and carbon-conscious international market.

“Our latest State of the Sector report found more than a quarter (26%) of our member CEOs are already using renewable energy to power parts of their operations and lower their carbon footprint,” he said.

“Queensland companies are serious about reducing the environmental impact of their operations, with almost two-thirds (63%) of our member CEOs expecting to invest in reducing emissions from their operations over the next 12 months.

Mr Macfarlane said companies are considering a range of options to reduce emissions, including everything from electric trucks and electrification studies to supporting more renewables and solar and carbon farming operations.

“The survey found 50 per cent of our CEOs expect demand for their products to increase as the world transitions to lower-emission energy sources, and a further one-third expect demand to remain steady,” he said.

The main areas of concern identified by CEOs are:

• Attracting and retaining skilled employees
• Worry about the global macro economy
• The impact of rising input costs