BGC Contracting Joins Gold Industry Group

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Australian mining and civil construction contractor BGC Contracting has joined the Gold Industry Group.

BGC Contracting CEO Greg Heylen said the company was pleased to join the group which was making such an important contribution to the long-term future of the gold industry.

“The gold sector has been a fundamental barometer of the health of the Australian economy, and particularly in Western Australia, for more than 100 years,” Mr Heylen said. “Ensuring a collective voice from all the participants of the sector will strengthen its position as a key economic driver for the future.

“A strong and soundly based gold sector is absolutely vital for the economy as it reaches into so many different levels, from the miners, through the service providers and to the towns and local communities which are impacted.”

Gold production in Australia reached a 15-year high of 9.4 million ounces in FY16, as resources firms moved to capitalise on the opportunity created by the current Australian dollar gold price approaching $1,750 per ounce, levels not seen since FY12, albeit assisted by a weaker exchange rate.

Existing gold producers are optimising mining operations to lift output and strengthen their balance sheets, while development projects are being fast-tracked into production and exploration budgets re-evaluated. At current prices, the value of total Australian gold production in FY16 was $16 billion.

Mr Heylen said that while the past couple of years had been good for participants in the gold sector, cycles and circumstances associated with global events and trends needed to be factored into planning.

“Being part of a coordinated industry body will ensure the industry is on a sure footing to meet any challenges in the future,” he said.

“The gold industry is a key part of BGC Contracting’s strategy to diversify into commodities beyond iron ore. We have built a strong reputation in the mining sector as a whole and recent contract success in the gold sector has reinforced this reputation as we seek to expand our reach into this precious metal.

“In addition to specific gold industry expertise, which has included a strong presence in Kalgoorlie, our industry benchmark for a safe culture, performance and commitment to innovation will be significant contributors to our growth in this sector.”

Gold Industry Group Chairman Richard Hayes welcomed BGC Contracting to its growing member base as more and more organisations see the importance of a united front for gold.

“We are focused on promoting and supporting the gold sector across Australia and beyond to enable a strong, connected and sustainable gold industry now and into the future.

“We are delighted to welcome BGC Contracting as they join us in championing our industry.

“Together we are stronger, and I encourage any business which is a part of the gold community to join us,” Mr Hayes said.