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PROUDLY INDEPENDENT 55 years of LOCAL news


WEDNESDAY MAY 16 2012


www.newcastlepost.com.au Ph: 49 610 310


COMPANION ANIMALS


Moves to limit euthanasia


Page 9


Hills and valleys Researchers paint patchwork picture of economy


WELLS IS WALKING


Singer to release debut long-player Page 27


KING COAL’S REIGN MAY BE FADING MICHAEL BLAXLAND


STATE OF ORIGIN COMP


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Page 53 T


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he end of the Hunter’s resources boom may be dimly in sight. T e fi rst signs of evolution in the resources cycle are appearing for the


region’s previously unstoppable coal industry, according to the Hunter Valley Research Foundation (HVRF). Director of research Simon Deeming said


projections from the Bureau of Resources and Energy Economics were consistent with a


global picture of rising supply, falling prices, reduced viability and ultimately reduced investment. “Global production of thermal coal has risen


substantially from sources such as Columbia, the United States, Australia, Indonesia and within China, and prices have fallen signifi cantly, albeit from exceptional highs,” he said. “On the other side of the equation, capacity


constraints (equipment, qualifi ed staff ) continue to push mine costs higher in the Hunter. “Financiers CLSA estimate that the cash costs


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for thermal coal mine production in Australia rose 12.9 per cent each year between 2005 and 2011. “Current and committed capital expenditure,


as well as on-going production from coal mining, will continue to contribute substantially to regional economic growth, but the horizon for this resources boom, albeit distant, may have been sighted.” T e HVRF’s March quarter economic


indicators were released late last week and contained as many hills and valleys as the Hunter itself.


Continues on page 6.


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