Robe River State Agreement

Robe River State Agreement: A Comprehensive Overview

The Robe River State Agreement is an agreement signed between the state government of Western Australia and Robe River Iron Associates (now Rio Tinto Iron Ore) in 1964. This agreement is one of the most significant agreements in the history of Western Australia’s resource industry and plays a crucial role in the development of the Pilbara region.

In this article, we will discuss what the Robe River State Agreement is, its key features, and how it has impacted Western Australia’s resource industry.

What is the Robe River State Agreement?

The Robe River State Agreement is an agreement between the government of Western Australia and Robe River Iron Associates, which allowed the company to develop iron ore mining operations in the Pilbara region. The agreement was signed in 1964 and was amended in 1970 and 1972.

The agreement granted Robe River Iron Associates exclusive rights to mine iron ore in the Robe River area, including the mining of any other minerals found on the land. In return, the company had to pay royalties to the Western Australian government based on the value of the minerals extracted.

Key features of the agreement

1. Royalties

The Robe River State Agreement established a royalty system that has become a model for other mining agreements in Western Australia. The royalty rate was set at 3.5% of the value of the minerals extracted, with an additional 2.5% going to the Pilbara Infrastructure Fund.

2. Local employment

The agreement also required Robe River Iron Associates to employ local workers and provide training for them. This contributed to the development of local communities and skills in the Pilbara region.

3. Environmental protections

The Robe River State Agreement also included environmental protections, such as the requirement for the company to rehabilitate the land after mining activities had ceased.

Impact of the Robe River State Agreement on Western Australia’s resource industry

The Robe River State Agreement had a significant impact on Western Australia’s resource industry. The agreement paved the way for the development of the Pilbara region as a major iron ore mining area, which has been a significant contributor to the state’s economy.

The royalty system established in the Robe River State Agreement has also become a model for other mining agreements in Western Australia. It ensures that the state receives a fair share of the value of the minerals extracted while also providing funding for community infrastructure projects.

Conclusion

The Robe River State Agreement is an important agreement in the history of Western Australia’s resource industry. It granted Robe River Iron Associates exclusive rights to mine iron ore in the Pilbara region and established a royalty system that has become a model for other mining agreements in Western Australia. The agreement also contributed to the development of local communities and skills in the Pilbara region. Overall, the Robe River State Agreement has played a crucial role in the development of Western Australia’s resource industry and economy.

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