2000 Jackling Lecture – Minerals Resource Development – Our New Challenges

I would like to share some observations about the mining business and place the ongoing discussion in the context of our changed world. The mining industry practices its trade in a universe defined by prices, laws and governments. Prices, as in what the industry is paid for what it produces, and the costs of goods and services. Laws that have to be transparent and fair. And governments that the industry prefers to be stable and supportive of the industry, and certainly not corrupt. However, the day-to-day realities of the mining business in 2000 are not what they were 10 years ago. Several events have occurred that have resulted in a less populated workplace that is obliged to work much smarter and faster. These include real declining prices for most mineral commodities; low and diminishing returns to company shareholders; massive restructuring of the industry through mergers, partnerships and alliances; gold’s changed role from reserve currency to just another commodity; the growing importance of native title and the startling imperatives of “sustainable development.” In addition, the “borderless world” now means that resource companies will need to pass the test of being responsible corporate guests who respect and enhance the social, moral and societal values of their host countries.