Australian Property News

Uranium could start another mining boom in South Australia

Posted on Monday, November 21 2011 at 2:09 PM

Prime Minister Julia Gillard’s decision to lift Australia’s ban on uranium sales to India is a major boost to South Australia, according to Terry Ryder of hotspotting.com.au.

An upcoming Australian Labor Party national conference will focus on the Prime Minister’s recent announcement and Members of Parliament will be asked to vote on the idea.

Either way, Ryder says places like Whyalla really stand to benefit, mainly because uranium mining is still banned by the Queensland Government but not the South Australian Government.

“South Australia is one of those states willing to mine uranium,” Ryder says.

“There are various stages of planning and exploration. One is quite close to Whyalla and then there’s the whole Woomera area, which is also quite close to Whyalla. All of that should impact fairly positively in various ways on Whyalla. It’s the logical place for processing and exporting and I’m quite convinced it will be what Gladstone is to Queensland.”

In fact, mining company Uranium SA has applied to begin full-scale trials at a proposed uranium mine site near Whyalla. It’s hoping to get a mining licence for its 225-hectare Blackbush deposit, which is 20 kilometres southwest of Whyalla.

Although India has refused to sign the nuclear non-proliferation treaty, Gillard insists the exploration and sale of uranium would be good for the Australian economy.

Whyalla Century 21 rental manager Jodie Meyer says exploration and plans for a desalination plant and port upgrade are already having an impact in town.

“The bottom line is that we have a shortage with rentals,” Meyer says.

“We have huge demand for housing, be it a one-bedroom flat through to executive homes and everything in between. We’re showing properties and they’re getting taken that day or the next. We think it’s due to the high demand for workers’ accommodation.”

Meyer adds the increased demand for rental accommodation started a few months ago but property prices haven’t picked up.

“This is the calm before the storm and we’re quietly confident it will boom in years to come. Obviously the mining will have a big impact, we just don’t know yet how much.”