Perilya briefs Council on mining future

The expected life of the city's mining industry has always been a compelling issue, and last night Councillors got the facts on Perilya's operations from its General Manager, Bruce Byrne.

Mr Byrne addressed Councillors and Council's Executive on Perilya's future, and provided background on the company's Southern and Potosi operations, along with the proposed North Mine reopening.

Council's General Manager, James Roncon, said Mr Byrne had provided attendees with a frank appraisal of Perilya's operations in Broken Hill.

"It think it was a very open and honest presentation, and it really highlighted the tight margins to which local mines operate, and how closely they have to monitor their cost structures to remain viable," he said.

"In Perilya's case they’re quite exposed to national and international economics and fluctuations in commodity prices, and it was interesting to hear the background on how they manage with that volatility.

“It all reinforces why both the previous and current Council have supported the strategy to lessen the city’s reliance on mine rates, and the current Council will again have the opportunity to revisit that strategy when the draft Operational Plan 2018/2019 is tabled at tomorrow night’s meeting.”

Mr Roncon said it was pleasing that Perilya reiterated their aim of operating in the city until 2030, but conceded that the proposed date was not set in stone.

"There had been a bit of misinformation and confusion recently around the city's mine life, particularly in regard to Perilya's operations, so it was great that Bruce took the time to provide some clarity around the issue," he said.

"He was realistic around that proposed date however, and stressed that the company doesn't have a crystal ball and can't predict the future.

"That end of mine life date is very much dependent on commodity prices staying strong and the North Mine coming online to supplement their Southern operations, which we're all very keen to see happen.

"Overall the life of the mines will remain a key issue for Broken Hill well into the future, so it's important that our Councillors are armed with latest facts so they can make informed decisions and pass the correct information on to the community.

“We’d just like to thank Bruce for taking the time provide Councillors and Council staff with an update.”