Revealed: How Qld’s mining appeal ranks against developing nations

Queensland's $61.6bn mining industry faces an extraordinary crisis of confidence as global rankings show the state has become less attractive for investment than Indonesia.

Resources Minister Dale Last

Mining companies would rather do business in Tanzania, Namibia and Indonesia than Queensland due to red tape, unpredictable regulation and concerns over disputed land claims, a major new ­report has revealed.

And the annual global ­survey of miners, released on Wednesday by Canada-based think tank the Fraser Institute, shows Queensland has taken a severe tumble in the rankings, dropping from 13th in the world for investment ­attractiveness to 39th in its latest report.

It’s a black mark for a state that counts mining as its largest industry, with government data showing it contributed $61.6bn to the economy in 2023-24.

Miners surveyed in the ­report were concerned about Queensland’s uncertainty when it came to disputed land claims, interpretation of the rules and how they were ­enforced, and double handling of regulatory checks.

The survey, of more than 350 companies that had spent $US6bn on exploration globally, used data collected ­before the state election in October 2024. This prompted Resources Minister Dale Last to blame the former Labor government for the bad result.

“This is yet another example of the damage done by the former Labor government’s anti-mining agenda, which drove investment away, ­undermined confidence in Queensland and put thousands of mining jobs at risk,” he said.

Mr Last said his government backed “hardworking mining families” and was moving to restore stability in the sector and cut red tape.

Regulations make Queensland less attractive for mining investment.

Opposition resources spokesman Linus Power claimed the state government would seek to use the ­report to justify cutting the state’s coal royalties supertax – a move the LNP has repeatedly said would not happen in its first term and would require changes to law.

One mining company president, in the Fraser Institute report, flagged concerns some mines recommended for approval by Queensland authorities were blocked “at the last minute” by the federal government.

Another company president said environmental ­approvals for “simple, low-impact shallow drill programs” had been delayed and thus stoked uncertainty.

Queensland senator Matt Canavan said the survey showed the impact of government policy on the mining sector, with the state ranking lower than Namibia, Tanzania and Indonesia. “It’s frustrating when we have some of the best coal in the world and some of the worst government policy in the world,” he said.

“Clearly, royalties have played a role and, while I respect the Queensland government’s decision not touch royalties this term, we have to have a proper investigation into the impact of the tax rates on coal in Queensland.”

Queensland Resources Council CEO Janette Hewson said the report was disappointing, but she was optimistic the new government was making improvements and there were “green shoots” for the industry.

“What (the report) does show is that there are state and federal policies adding to the regulatory burden and approval processes,” she said.

Originally published as Revealed: How Qld’s mining appeal ranks against developing nations