Port Augusta - Eyre Peninsula, SA
There are upcoming benefits for Port Augusta as mining and power generation projects transition from coal-fired energy to clean energy. Major new projects are on the horizon, promising jobs and the possibility of cheaper electricity for South Australia.
British industrialist Sanjeev Gupta, who bought the Whyalla Steelworks, is investing $1 billion in energy projects to drive his iron ore mines and processing plants.
The expansion of BHP’s Olympic Dam mine looks set to progress after being shelved for four years and the government has given approval to allow mining in the Woomera Prohibited Area, an area estimated to contain $35 billion worth of copper, gold, uranium and iron ore.
These projects are yet to take off, which is why we have classified Port Augusta as a “long shot” in the past – a location which may prosper in the future IF some of the proposed energy and resources developments get under way.
But the number of significant projects being targeted in and around Port Augusta - especially in the wake of South Australia’s recent power outages - has grown to levels that suggest that major economic growth is inevitable in this region.
Prices have dropped recently, which means there are good opportunities to buy well ahead the future rises, when some of the proposed developments go ahead.
Investors should remain mindful, however, that this location has a heavy reliance on the resources & energy sector, and buying there has elements of risk.
This report covers the town of Port Augusta and Stirling North.