Two companies to apply for sand mining leases

New supply will support Western Australia’s construction and infrastructure sectors
Date: Monday, 17 May 2021

Minister for Mines and Petroleum Bill Johnston has invited two local companies to apply for mining leases for the extraction of sand, and possibly limestone, at Myalup.

MGM Bulk and Urban Resources are expected to apply for a 62 hectare lease and 77 hectare lease respectively.  The tenements are set over the Spearwood Dune System and within State Government pine plantations. One company will also seek a miscellaneous licence for an access road. 

The Department of Mines, Industry Regulation and Safety assessed the lease applications and advised the Minister after calling for expressions of interest in October 2020.

Located on the northern side of Johnston Road, nearly 1.5km east of Forrest Highway, the pine plantations are covered by a special section of the Mining Act that allows the Minister to invite companies to apply for tenements with appropriate terms and conditions.

Urban Resources and MGM Bulk will be required to progressively rehabilitate the area with native vegetation once mining is completed.

Basic raw materials (BRM) such as sand and limestone are essential construction and road building materials. While the Perth and Bunbury region is built on sand and limestone, access to extract and supply these commodities is getting progressively harder with increased haulage distances making the materials more expensive.

Each site is thought capable of supplying tens of millions of tonnes of BRM.

The State Government is collaborating with the Forest Products Commission to ensure there will be no reduction in the availability of future softwood timber.

More information on BRM is available on the department’s website.