A new lobby group to represent the cross-sector of the mining industry has been launched at the Australian Institute of Mining and Metallurgy, New Zealand branch annual conference in Wellington.
However, in looking to unite the coal, petroleum, gas, aggregate and precious metal companies, it has caused some division among the numerous associations it seeks to pull together under the Straterra umbrella, which would even-tually disappear.
The goal is to have four full-time Wellington-based em-ployees, working with a $1 million-$1.5 million annual budget to lobby Government on behalf of mineral, coal and aggregate companies, and be run by a 12-person board.
The Petroleum Exploration and Production Association of New Zealand (PEPANZ) has pulled out of joining and the New Zealand Minerals Industry Association (MIA) but has not yet endorsed Straterra.
Some MIA members have raised concerns that major companies would hold too much sway over Straterra's policies and directions and believe much of the MIA's work and programmes to date could potentially be lost.
It has not endorsed Straterra.
At present Straterra has a memorandum of understanding signed with the Aggregates and Quarrying Association, Coal Association of New Zealand and Minerals West Coast, the latter signing almost over night when PEPANZ was removed from marketing material.
Straterra chairman John Dow said the industry had been fragmented for some time, had a poor image, and was under resourced.
The minerals sector should be enjoying greater benefits and contributing more to the national economy at this stage of the commodity cycle, Mr Dow said.
While the MIA had good influence at regional council levels, it hadn't achieved the influence at a national level lobbying Government, he saidThe sector generated $4 billion each year, of which $2 billion was exported, but Mr Dow believed these figures could be doubled.
While subscriptions to join start at around $1000 for indi-vidual and about $5000 or less for consultants and small start-up companies, the larger companies were expected to pay around $50,000 for a subscription, with major industries such as Solid Energy expected to contribute more than $100,000 annually.
Companies signed up with Straterra so far include Oceana Gold, Solid Energy, Pike River Coal, Newmont Waihi Gold and Glass Earth Gold.
Reporter Simon Hartley is a guest of AusIMM.
