PERTH (miningweekly.com) – The South Australian government has welcomed the federal Parliament’s passing of the Defence Legislation Amendment Bill, which would allow for access to the Woomera Prohibited Area (WPA).

South Australian Mineral Resources and Energy Minister Tom Koutsantonis said on Friday that the passing of the legislation would unlock the potential mineral resource discoveries and developments in the region worth an estimated A$35-billion.

“These new rules will free up access to an estimated A$35-billion worth of gold, uranium, copper and iron-ore that lie beneath the surface of the WPA,” Koutsantonis said.

The region already hosts the Challenger gold mine, Prominent Hill copper/gold mine and Peculiar Knob high-grade iron-ore mine, Koutsantonis pointed out, adding that a new access regime would allow the development of multiple mineral deposits across the breadth of the WPA, potentially transforming it into one of the country’s most significant resources provinces.

“That means million of dollars in further investment and hundreds of jobs for South Australians.”

Stretching over 127 000 km², the WPA potentially contains some of the richest mineral and petroleum resources in the world.

The Geoscience Australia estimated that 62% of Australia’s known copper resources are believed to be located in the area, as well as 78% of the nation’s known uranium resources.

“Earlier this year, we released a major package of geoscientific data for the highly prospective Gawler Craton to assist explorers wishing to assess the potential of the WPA,” the Minister said.

“In the 2014/15 state budget we also committed to a A$44-million suite of initiatives for the resources sector. This included the development of a world-class resources precinct at Tonsley with a new State Drill Core Reference Library at its heart, as well as the expansion of our Plan for Accelerated Exploration scheme.”

Koutsantonis said that the state government recognised that every new hole drilled brought the state closer to its next major discovery, which was why these initiatives would assist in maximising the potential of the WPA.

“This is a win-win for the important principles of Multiple Land Use and co-existence between the vital industry sectors of resources and defence, which will drive economic growth and prosperity in the next decades,” he added.

While defence would remain the primary user of the area for testing and evaluation, the legislation sets out user access rights, an access permit scheme, compensation and cost recovery arrangements, enforcement provisions and an appeals process.

The drafting of the legislation followed consultation with industry stakeholders including resource companies, pastoralists and other parties seeking to access the area.