The South Australian Government’s State Budget, announced on 4 June 2026, is set to deliver $12.4 million for the Plan for Accelerating Exploration (PACE) program, spread across four years.
The budget also outlined record-high royalties, noting $509.2 million in contributions from the industry to the state.
The Association of Mining and Exploration Companies (AMEC) notes that this commitment from the Treasurer and Minister for Energy and Mining, the Honourable Tom Koutsantonis MP, comes at a time when mineral exploration is under threat from the proposed changes to the capital gains tax (CGT), as previously reported by Mining.com.au.
AMEC Chief Executive Officer Warren Pearce says that the PACE program is essential to help grow South Australia’s mining sector and welcomes the promised funding.
“Reinstating this important program is a no-brainer and something AMEC has campaigned on consistently, given its strong track record of accelerating mineral discoveries and stimulating private investment.”
AMEC notes that previous rounds of the PACE program “delivered exceptional returns”, with every dollar from the government leveraging $19 in private investment and contributing significantly to major discoveries.
AMEC also notes that the funding comes at a time when exploration expenditure is in decline in South Australia, according to data released by the Australian Bureau of Statistics.
Other notable commitments in the new budget include $1 million to expand the Landowner Information Service over the next four years and a ‘red tape reduction’ review to identify areas of regulatory burden.
An additional $50 million Research and Development Productivity Fund is also set to be introduced to increase the scale and impact of research in South Australia.
AMEC also notes that the reintroduction of the Mining Act amendments to Parliament in May 2026 is critical for exploration projects and companies that face fixed expiry limits from 2027. AMEC calls upon the backing of all parties, regardless of political affiliation, to support the bill.
Pearce notes that while South Australia has all the right pieces for new projects, there must first be a focus on discovery.
“Right now, commodity prices are strong and, aside from the CGT issues, there are signs of momentum returning to the market. South Australia is firmly in the global spotlight as a trusted, sustainable supplier of the minerals the world needs.
“But the truth remains, none of this potential becomes reality without investment in material exploration. If we get that right, it creates a pipeline of future discoveries that have the potential to become productive mines.”
Write to Amy Rotman at Mining.com.au
Images: AMEC
