Gold Price Surge Fuels Mining Boom in Australia
The Australian gold mining industry is experiencing a surge in demand for labor as miners rush to take advantage of high commodity prices. The spot price of gold has reached an all-time high of $US5,589.38 and is currently hovering around $US4,000 an ounce.
Executives at the Diggers & Dealers Mining Forum in Kalgoorlie, Western Australia, agree that the current price is still very high, but expect it to continue rising. Mark Zeptner, boss of leading gold producer Ramelius Resources, said he's never seen anything like it, with normally 2-3 new gold plants built per year, but now potentially up to 10 in 2026.
Miners are racing to get gold plants online and are facing a shortage of tradespeople. Diggers chair Jim Walker wants the federal government to reinstate training packages for apprenticeships and trainees to reduce costs for employers and encourage more hiring. WA Labor has invested heavily in TAFE and students are getting state-of-the-art equipment.
The demand is driven by companies trying to cash in on the high gold price, with some old mines now becoming economical again. Alkane Resources chief Nic Earner said once the $4,000 level is cleared, every thousand dollars increase brings in an additional $150 million for the company.