The thriving mining sector played a significant role in Australia's economic recovery through 2021, with gold continuing to be a valuable export and popular investment option.

Expenditure on gold exploration increased by 19 per cent in the fourth quarter, according to ABS data, while several states recorded record gold investment and production across the year.

New South Wales' new gold rush

Rising gold prices consistently above $US1700 (A$2330) per ounce are seeing a renewed drive for exploration in regional New South Wales. Established and prospective mining companies alike applied for a near-record number of licenses from the NSW government last year.

Established operations in central west NSW including the Cadia mine near Orange, Cowal mine near West Wyalong and the Northparkes project near Parkes have all invested in expansion or production increases, while the Mineral Hill Mine near Condobolin is restarting operations.

Victoria's gold production

Gold production in Victoria reached its highest level in more than a century and the precious metal continues to be the most explored commodity in the state. Expenditure on gold exploration increased by almost a third (32 per cent) in 2020-21. 

Mineral exploration in general grew by 35 per cent last year, with copper and iron ore also being highly in demand from the technology, manufacturing and infrastructure sectors, among others.

Exploration in Victoria is actively supported by state government programs and open sharing of geological surveys. 

Western Australia's gold production

Home of Australia's largest gold mines and a growing number of projects, gold mining companies in Western Australia spent $309 million exploring for the metal in the September quarter, according to ABS. 

This figure is almost twice what was spent during the peak of the previous mining boom and the highest figure since records started in 1988. 

This new gold rush is being credited to the strong gold price, which looks to be sustainable for future development.

Gold investment boom

It's not just mining companies that are putting their trust in gold, but also investors, as the current mining boom shows no signs of slowing down. Investment in mineral exploration remained stable across the year, with a slight uptick in the September quarter. 

Considered a safe haven investment, especially in uncertain times, gold receives the largest share of investor funds in Australia, although battery minerals such as copper are also seeing growing interest. 

With over 700 mining companies now listed on the ASX, investors have more options than ever before to reap the rewards of Australia's mining boom themselves. 

About Resources & Energy Group (ASX:REZ)

Resources & Energy Group (ASX:REZ) is a gold explorer, developer and producer, with projects in Western Australia and Queensland. ​REZ is focused on developing highly prospective and low-risk Australian mining regions.

Resources & Energy was formed in 2005 and has operated as a gold exploration and development company since 2015.

To keep up to date with their news and progress, and for more information about gold investment as a whole, subscribe to the Resources & Energy Group Chairman's List.