The global COVID-19 epidemic is an unprecedented health issue in the modern era which is disrupting not only our day to day activities but also the ongoing viability of businesses globally.

Australia’s mining industry is the backbone of Australia’s economy and source of income for many families. Australia’s miners are not immune to the implications of COVID-19 and a number of critical issues are emerging that if not already, will impact the way miners’ operate, both physically and financially, while the world urgently works to control and eradicate COVID-19.

The KPMG COVID-19 Mining Insights presents our initial observations of how COVID-19 is impacting Australia's miners.

Key insights

  • Commodity price movements have generally been neutral given USD appreciation. Commodity price decreases have been driven by market sentiment not typical physical fundamentals.
  • China’s domestic commodity supply and demand metrics have remained neutral with both producers and consumers closing operations due to COVID-19 restrictions.
  • Supply chain issues are arising and will continue for essential mining consumables.
  • Access to skilled mining labour resources remains extremely tight in the market and domestic and international travel restrictions are impacting labour and site logistics.
  • Miners are implementing strategies to protect staff from COVID-19 exposure and to limit risk of disruption to operations. 
  • Access to debt and equity will be more challenging albeit there remains a high level of liquidity in the market which will be deployed at opportunistic times.

KPMG’s restructuring and mining teams look forward to continuing to assist our clients as challenges are faced and welcomes the opportunity to assist and understand how your business may be impacted.


If you have any questions regarding the content of this report and would like speak to someone from our team please contact us.