Resources Minister Shane Jones said new figures on mining activity across New Zealand showed that the Crown collected nearly a quarter of a billion dollars in revenue in the 2023/24 financial year, bolstered by royalties from petroleum and gold.
The statistics, released by the Ministry of Business, Innovation and Employment, provided a nationwide picture of minerals production, revenue from royalties (NZD 242 million), and industry expenditure on prospecting and exploration in the 2023/24 year.
“While these numbers won’t yet reflect the work the Coalition Government is doing to unleash the economic potential of our abundant minerals endowment, it demonstrates a sector that continues to deliver for New Zealanders by driving regional economic activity and contributing royalties that ultimately help fund necessities such as transport, education and healthcare,” said Jones.
“This data also gives us visibility of investment trends over time, and I am particularly heartened to see the growth in spending over the last decade in the prospecting, exploration, and development of our natural resources. In 2023, this spend was NZD 91.3m and will largely reflect investment directly benefiting regional communities through jobs and local contracts.”
In 2023, operators reported increased production of aggregate and industrial minerals.
Where the Crown doesn't own the mining material, Jones said they relied on the quarrying sector to self-report this data. The sector reported a 17.9 percent increase in aggregate production in 2022, with the most significant increases in rock, sand, and gravel mining for roading.
“Understanding the quarrying activity around the country is particularly important as we work to address our infrastructure shortfall – there is no construction without access to quarried materials.”
Over the last year, the Coalition Government has moved quickly to lay the foundations for an enduring, strategic approach to scaling up mineral development in New Zealand.
This included introducing legislation to reverse the ban on petroleum exploration, developing a draft Minerals Strategy and Critical Minerals List, and commissioning the GNS Minerals Potential of New Zealand report as a tool to attract investment.
“We are committed to utilising our minerals to boost regional opportunities and jobs, increase our self-sufficiency, improve energy security and resilience, and drive our export-led focus for economic recovery.”
He added that the new statistics demonstrated a sector that has continued to deliver for New Zealanders. With the initiatives this Government has put in place to drive further exploration and mining activity, he looked forward to watching these numbers continue to grow in the coming years.
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