Investment in Australia's resources sector reaches record $260 billion

Committed investment in Australia's mining industry registered a record $260.8 billion at the end of April 2012, led by the thrust for new gas projects, which accounts for over 60 per cent of the total outlay, a publication on mining projects released yesterday by the country's Bureau of Resources and Energy Economics (BREE) revealed.

The new investment in the mining industry during 2011-12 is estimated to be over $80 billion, a whopping 53-per cent up from the $52 billion in 2010-11, according to Australian Bureau of Statistics.

BREE's capital expenditure estimate consists of 98 projects at an advanced stage of development covering energy, mineral, infrastructure and processing.

The committed investment in the mining industry has grown by 12 per cent in April 2012 from last October. About 95 per cent of the total capital expenditure is on oil and gas, iron ore and coal related projects.

BREE executive director and chief economist Quentin Grafton said: ''The continued growth in committed capital expenditure will result in significant increases in Australia's supply capacity of liquefied natural gas (LNG), iron ore and coal.''