Announcement about investment in oil fields welcomed

4/10/93

Premier Richard Court said today that the announcement of over $1 billion of new investment in the Cossack and Wanaea oil fields in the North-West of Western Australia was a major boost to investment confidence in the State.

Mr Court said he was delighted by the announcement, which would provide employment for 350 people directly on the production site.

"The State Government, through the Department of Resources Development and the Department of Minerals and Energy, has strongly supported this project by efficiently expediting the approvals process," he said.

"This announcement is part of an encouraging trend in new investment in Western Australia with the value of current projects under construction, committed or under consideration estimated at $18.5 billion.

"The minerals sector accounts for $10.3 billion or some 55 per cent of this investment, reflecting the strength of the energy sector in particular."

Mr Court said the Coalition Government was committed to ensuring that oil and gas production would play a major role in Western Australia's economic development during the next decade.

"During the last financial year, production of oil and gas in Western Australia amounted to over $2.6 billion or over 20 per cent of total mineral production in Western Australia," he said.

"By 1995, Western Australia's production of LNG and oil is expected to more than double to $5.4 billion.

"Over the next decade, on current trends total production of oil and gas in Western Australia could total more than $43 billion.

"If the increasing trend in LNG sales in particular is realised, then LNG production could overtake the iron ore industry as Western Australia's largest export earner early in the next century.

"Investment decisions such as the North West Shelf, which was made under the last Coalition Government, depend on a strong climate of investment confidence.

"The State Government is committed to encouraging investment confidence in Western Australia by ensuring that the processes of Government assist rather than hinder investment projects."