Glencore crude trader leaves firm after seven years
Over roughly the last 12 months, Glencore’s head of crude trading in the US and at least two other traders have departed.
An Austmine study, released at the Austmine 2013 International Conference and Exhibition in Perth, shows that the Australian Mining Equipment, Technology and Services (METS) sector contributes 6.4% to the Australian economy and is one of Australia’s largest export sectors.
Based on a survey of 860 METS companies, the study found that the sector generates $90 billion in revenue and 84% of the companies are Australian owned. The surveyed companies export a total $27 billion with an estimated $15 billion component being generated specifically from METS related activity.
This ground breaking survey, conducted in December 2012 through March 2013, is the largest undertaken to date of the sector. The survey was funded by the Federal Government’s Buy Australian at Home and Abroad program, part of the Department of Industry, Innovation, Climate Change, Science Research and Tertiary Education and managed by Austmine.
“This survey is extremely timely in identifying how important mining-related knowledge, skills, manufacturing and services are to the Australian economy and the mining sector itself,” said Elizabeth Lewis-Gray, Deputy Chair, Austmine. “Not only is the METS sector significant in size and scope, but it is highly innovative and its close collaboration with mining companies has become a source of innovation which has been leveraged to create world-leading, highly sought after mining solutions.”
“METS companies can be found all across Australia with capital cities, regional and remote locations benefiting from revenue, jobs and exports. Manufacturing and product supply firms make-up 40% of the sector’s total value, rebalancing the dominant emphasis in the Australian economy on services.”
“METS are highly internationalised and export to every corner of the global with 55% of METS companies surveyed and 41% of exporters having offices or operations offshore. Of those companies that do not currently export, 18% plan to export in the next 1-2 years.”
“The METS sector is also relatively young with 73% of Australian owned METS being established in the last 30 years. Reflecting on the long innovation cycles in the mining sector, this means there is a crowd of younger METS companies that have not yet maximised their value to the mining sector and the best is perhaps yet to come.”
The survey found that METS businesses are highly diversified and often work across several minerals and more than one phase of the mining lifecycle. Many have also transferred their skills into other industries, helping to smooth market fluctuations and mitigate risk.
“METS companies spent in excess of $1.6b in R&D in FY2012, with 58% of those surveyed contributing to this total,” Lewis-Gray said. “This is a very impressive number and is certainly well above other industry averages and signifies a high level of commitment to innovation. Collaboration between mining companies and with other supply companies is equally as high.”
“With many capital projects now being deferred, it is a very challenging time for the sector and it is critical that METS and mining companies aggressively collaborate to deliver the productivity gains required to maintain Australia’s competitiveness in the mining sector globally. We further need to encourage the Government to provide the right policy framework to support the mining industry as a whole including supporting the globally competitive and strategically positioned sector that is METS.”
Austmine is Australia’s leading association of the Australian Mining Equipment, Technology and Services (METS) sector. It promotes the global advancement of technology, collaboration and innovation in mining, and proactively works to raise the profile of the sector in Australia and abroad. For more information visit www.austmine.com.au.
A survey highlight report about the key findings is available.
