Controversial deal with mining giant approved as copper exports boom
The SA government has seized a “generational opportunity” with a BHP deal bill approved, despite critics slamming a “rushed” negotiation process.
A controversial bill updating the 40 year old framework governing BHP’s Olympic Dam and Gawler Craton operations has passed the State Parliament, despite criticism over the short consultation period.
Only two parliamentarians voted against the bill: SA Greens MLCs Rob Simms and Melanie Selwood.
The government originally signed the agreement with BHP in May, describing it as a landmark deal in the midst of the state’s booming copper industry, with new figures showing record copper exports out of SA valued at $5.2 billion over the past year.
The legislation was endorsed by a cross-party parliamentary committee, despite submissions to the parliamentary inquiry raising concerns about the impact of the changes on the Kokatha people and their rights as Traditional Owners.
“The original Indenture Act is viewed by the Kokatha People as the authorisation of destruction of our land and a mechanism [to] drive our people off country without the involvement or consent of Kokatha People,” the Kokatha Aboriginal Corporation submission reads.
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Friends of the Earth Adelaide also criticised the consultation process, describing it as “rushed and inadequate”.
“The time allowed for review and submission was ridiculously short, from 22 May to 1 June 2026,” the group’s submission said.
In a statement, BHP’s Asset President for Copper SA Anna Wiley said “we look forward to continuing to work with the Government of South Australia, the Kokatha people as Native Title holders, other Traditional Owners in the region, state and federal governments, regulators and regional communities as we progress Olympic Dam’s expansion plans”.
Minister for Mining Tom Koutsantonis said that the legislation “modernises the regulatory framework that was first enacted more than four decades ago,” with the bill expected to provide clearer regulatory pathways for future activities across BHP’s Copper Province.
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This included approval processes for expansion projects, environmental and heritage management, and the ongoing operation of the Roxby Downs township.
The changes also addressed the transition to the state’s Aboriginal heritage framework, water extraction arrangements and opportunities to maximise local jobs and business participation.
Koutsantonis said the legislation would help South Australia capitalise on a growing global demand for copper.
“BHP has forecast capital expenditure of up to $25 billion in South Australia over the next 10 years, and we are providing investment certainty that will harness this historic opportunity to expand copper mining and production,” he said.
“We have before us a generational opportunity to maximise the benefit of this critical mineral for our entire state.
“The time to seize this opportunity is now”.
Figures from the Australian Bureau of Statistics show SA’s total copper exports hit $5.2 billion in the 12 months to April 2026, including $3.35 billion from copper and copper products, and $1.85 billion from copper ores and concentrates.
The $3.35 billion figure for refined copper and copper products is up $542.6 million on the previous 12 months.
“The rapid economic growth of the Southeast Asian region, in particular, is a significant opportunity for South Australian businesses, with the region now accounting for more than 40 per cent of all copper exports,” Minister for State Development Chris Picton said.
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