Australian Mine Construction Could Decline Next Year

9 June 2010 (Last Updated June 9th, 2010 18:30)

Australia's mining and heavy construction industry may decline in 2011 for first time in seven years, according to BIS Shrapnel. The segment, which accounts for one-third of Australia's A$25bn ($21bn) building sector, is expected to drop 3% over the next 12 months ending June 2011, alth

Australia's mining and heavy construction industry may decline in 2011 for first time in seven years, according to BIS Shrapnel.

The segment, which accounts for one-third of Australia's A$25bn ($21bn) building sector, is expected to drop 3% over the next 12 months ending June 2011, although it is expected to rebound next year with double-digit growth.

The decline is driven by the completion of alumina refineries, coal and iron ore projects, according to Bloomberg.

Coal and iron ore projects will gain momentum by 2012-13 and by 2015 base metals investment will increase.