A local shire in southern Western Australia is pitching itself as a fly-in, fly-out (FIFO) hub for the state’s mining industry, in a bid to keep skilled workers in town.
First Quantum’s Ravensthorpe Nickel Operation has again entered care and maintenance, with hundreds of job losses being felt across the Ravensthorpe and Hopetoun communities, about 500 kilometres south-east of Perth.
The Shire of Ravensthorpe is now in talks with some of the state’s major mining operators about creating FIFO services for workers who wish to continue living locally.
“The shire has got a workforce that is skilled in mining … a large portion of them are now unemployed,” Shire President Tom Major said.
“They’ve got houses in Hopetoun and Ravensthorpe, and live in the community, so we are very keen to find a way to keep these people in our community.”
The shire has created an online survey to gauge public interest.
Mr Major said there had been “great” community feedback to the FIFO concept, adding that some mining companies had also expressed interest.
“They’re just wanting to understand the numbers … and skills of people in the region,” he said.
“We’re just acting as a conduit between our community and potential employers — we don’t want these people to leave.”
The shire’s proposal has some precedent within WA, with regional cities like Busselton, in the state’s south-west, already hosting significant numbers of FIFO workers.
Idea ‘worth pursuing’
It is the third time that the Ravensthorpe nickel mine has been mothballed since 2009, and its long-term future remains uncertain.
But industry commentator Tim Treadgold believed the mine would eventually re-open.
“You certainly couldn’t run Ravensthorpe at a profit at the moment, but the outlook is not as bad as it was, let’s say six to 12 months ago,” he said.
“There are signs of a turn coming, just when is the unknown.”
Mr Treadgold said there was merit in the Ravensthorpe Shire’s FIFO concept, but he questioned whether there would be strong enough demand from other mining regions.
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“The key is: are there enough openings in the Pilbara at the moment for workers? Because the iron ore industry has its own issues,” he said.
“The price of iron ore is holding at the moment, but the outlook is for it to fall.
“So as a short-term measure of keeping your workforce or keeping communities together, it’s certainly worth pursuing, [but] the mechanics of it would be interesting to watch.”
In a statement, First Quantum Minerals recognised the importance of retaining a skilled workforce in the region.
“The company encourages any proposals put forward by the Shire of Ravensthorpe that could aid in retaining a skilled workforce in Hopetoun, Ravensthorpe and the broader region while RNO [Ravensthorpe Nickel Operation] is in care and maintenance,” a spokesperson said.
The company said about 50 employees would “supervise and maintain” mine assets during the care and maintenance period, with the majority living locally.