The value of Western Australia’s resources sector remains above $100 billion for the third consecutive year, despite falling slightly in fiscal 2013, according to data from the WA state government. According to the figures, the value of WA’s mineral industry was $102 billion in the financial year. This figure is slightly down on the $106 billion result from last year, with the fall being attributed to the high Aussie dollar and consistent falls in the gold price. $56.4 billion of the total mineral sales were accounted for by iron ore- WA’s highest value commodity- which comprised a total of 513 million exported tonnes in the period. This was followed by gold which hit sales of just under $9 billion. Meanwhile, the petroleum sector saw a 2.9 per cent boost to $24.5 billion, with gas output the most valuable, increasing by just under 29 per cent to a record 19.8 million tonnes. And despite an admitted cooling in the mining sector, as major projects move from the construction to production phase, WA still has an estimated $146 billion worth of resource projects under construction or in the committed stage of development.
Production season
BHP Billiton Limited
(ASX:BHP) has lifted its full-year iron ore production guidance, after posting a strong lift in production in the September quarter. In the three months to September 30, BHP produced 48.84 million tonnes of iron ore, a 23 per cent increase on the previous corresponding period. As a result of the strong first-quarter numbers, BHP increased its guidance for total iron ore production for the 2014 financial year, including Samarco, to 192 million tonnes. In its full-year results, BHP says it was expecting total iron ore production for the 2014 financial year to be 188 million tonnes. The miner said its copper production guidance for fiscal 2014 was unchanged at 1.2 million tonnes.
Oil Search Limited
(ASX:OSH) increased oil and gas production in the third quarter of 2013, despite a fall in oil and gas sales. The company says full-year production is likely to be at the upper end of its guidance range. In its quarterly production update, Oil Search says oil and gas production totalled 1.78 million barrels of oil equivalent in the three months to September 30, a 10 per cent lift on the previous corresponding period. The group says 2013 full-year production is expected to be towards the upper end of its 6.2 to 6.7 million barrels of oil equivalent guidance range. But oil and gas sales fell to 1.53 million barrels of oil equivalent in the quarter, a 19 per cent decrease on the previous corresponding period.
Other Resource company headlines
Iluka Resources Limited
(ASX:ILU) has released an investor relations app compatible with Apple and will soon release an Android version. The app includes key information relevant to the investor such as a company overview, growth strategy, sales and marketing details as well as the company’s investment proposition. Historical financials are also provided within the app along with market announcements. The app also includes Iluka’s share price and a share price history chart as well as the ability to download or email material.
Transfield Services Limited
(ASX:TSE) has sold its 50 per cent share in the Transfield Worley New Zealand JV to existing partner worleyparsons Limited
(ASX:WOR) for $30 million. Transfield says revenue from its share of the joint venture, which was its only exposure to the New Zealand hydrocarbons sector, represents less than 2 per cent of its total group revenue.
Rio Tinto Limited
(ASX:RIO) is tipped to axe hundreds of back office jobs after signing an outsourcing deal with US technology company IBM. Rio has signed a $100 million, 10-year deal with IBM that will allow the miner to cuts costs in areas such as human resources, finance, information technology and procurement.
