Confidence Held In Australian Mining

Press, Volume CIX, Issue 32016, 17 June 1969, Page 19

Confidence Held In Australian Mining

(N.Z. Press Association—Copyright) LONDON, June 16. The “Financial Times” mining expert, “Lodestar,” reassured investors today that Australian stocks had plenty of solid achievement to underpin them and send them on the upward path again.

The market looked as though it was recovering towards the end of last week, but it was still a pale shadow of its former self, he said. “Moreover, the fresh setback seems to have shaken many people’s confidence in the future of Australia’s minerals explosion," he said. “As a morale booster it may thus be apt to quote a few figures from the Australian Department of National Development They are distinctly conservative compared with many private projections, but they are impressive enough.” The value of the country’s mineral exports was expected to ■ exceed 31000 m in the financial year 1970-71 for the first time. This was three years sooner than estimates made only 10 months ago. Planned Exports Boosting the latest forecast have been planned exports of coal, iron ore and pellets and alumina. In 1967-68 the export figure was $542m. The 1973-74 projection was $1285m, indicating a six-year increase of 137 per cent “It is based on signed contracts or definite plans made by companies for expansion of their production facilities,” Lodestar said. “It is thus pointed out that the projection will need tb be further revised in an upward direction.” He said later in his article, headed “It’s Not All Pie In The Sky Down Under," that the official estimates were well surpassed by non-Gov-emment forecasts. These took into account estimates of present and future expansion that had not reached the signed, settled and sealed state. 270 p.c. Increase “On this basis the minerals exports potential for 1974-75 ranges up to s2ooom, which would be a 270 per cent increase in seven years,” he said. “And the protagonists of this kind of optimism are keen to point out that it will

be surprising if further major metal discoveries are not made during the period to brighten the picture still further.”

Mentioning Alcoa, R.T.Z., Broken Hill South and Broken Hill North, Lodestar said he was most impressed of all by Mount Isa.