Important changes for mining companies operating in Western Australia 8 min read
The Mining Amendment (Transfer of Royalty Administration) Bill 2025, which passed through WA Parliament on 25 June 2025, shifts the responsibility for mining royalty administration in Western Australia from the Department of Mines, Petroleum and Exploration (DMPE) (formerly DEMIRS) to RevenueWA. One day later, WA Parliament introduced the new Mining Amendment Bill 2025 to modernise the WA mining legislation more broadly to address issues arising out of several judicial decisions and Wardens Court proceedings relating to the Forrest decision.
Key takeaways
- Royalty administration will transfer from the DMPE (formerly the Department of Mines, Industry Regulation and Safety (DEMIRS)) to RevenueWA on 1 September 2025, centralising processes under the Taxation Administration Act.
- Ministerial oversight under the Mining Act is now split, with the Minister for Mines handling operational matters and the Minister for Finance overseeing royalty administration.
- RevenueWA will launch a new digital portal, replacing Royalties Online, and gain expanded powers for compliance and investigation.
- Broader amendments to the Mining Act have been reintroduced to parliament to address industry concerns about administrative uncertainty and security of tenure in light of Forrest and decisions made by the Supreme Court of Western Australia and Wardens that have expounded on the Forrest decision.
Key changes to royalty administration
- Split ministerial oversight: the Mining Amendment (Transfer of Royalty Administration) Bill 2025 (Amending Bill) formally divides administration of the Mining Act 1978 (WA) (Mining Act) between the Minister for Mines, who will retain oversight of mineral titles and operational matters under the Mining Act and the Minister for Finance, who will now oversee royalty administration through RevenueWA.
- Centralised administration: RevenueWA will manage royalty returns, assessments and payments, aligning royalty processes with broader state revenue systems under the Taxation Administration Act 2003 (WA) (TAA).
- Repeal and replacement of royalty provisions: legacy royalty provisions (Sections 109 and 109A of the Mining Act) have been repealed and replaced with a new Part 5A of the Mining Act, which consolidates and modernises royalty obligations, compliance powers and enforcement mechanisms.
- Digital transition: the existing DEMIRS Royalties Online system will be decommissioned on 29 August 2025, with a new RevenueWA portal scheduled to launch on 1 September 2025.
- Transfer of compliance powers: the compliance and enforcement powers previously set out in sections 109 and 109A of the Mining Act are reformulated in the new Part 5A and are now to be conferred on RevenueWA (including the ability to enter premises, compel the provision of information and impose penalties for non-compliance).
- State agreement alignment: a new Part 8A in the TAA governs royalty administration under State Agreement Acts, seeking to ensure consistency between the administration of the Mining Act and State Agreement royalty regimes.
What this means for you
The transfer of royalty administration to RevenueWA brings several important changes for mining companies operating in Western Australia. By centralising royalty processes under RevenueWA, the government aims to improve administrative efficiency and ensure more consistent treatment of royalty obligations across various commodities and tenures.
A significant part of this transition is the introduction of a new digital portal by RevenueWA, set to launch on 1 September 2025. This system will replace the current Royalties Online platform, and companies are encouraged to prepare by training relevant staff and adapting their reporting workflows to the new infrastructure.
With RevenueWA assuming responsibility for administration, it will also gain powers to investigate and enforce compliance. Companies should take the opportunity to review their internal processes, ensuring that data is accurate and reporting obligations are fully satisfied.
The reform also clarifies the division of responsibilities between agencies: DMPE will retain responsibility for the administration of the Mining Act more broadly (including royalty policy), while RevenueWA will manage the administration of royalties, including enforcement. As a result, companies will need to engage with both agencies from a compliance perspective moving forward.
Companies will need to engage with both agencies from a compliance perspective moving forward
The transition period, particularly around the system changeover in late August, may pose challenges for companies with complex royalty arrangements or legacy data. Early engagement with both RevenueWA and DMPE is recommended to help manage this shift smoothly.
Finally, the new framework may influence how companies plan and manage their royalty liabilities. It is advisable for businesses to review their financial models and internal controls to align with the updated processes and timelines.
Next steps for producing miners
To ensure a smooth transition to the new royalty administration framework, producers should consider the following actions:
- Review current obligations: confirm that all royalty returns and payments due under the current DEMIRS system are submitted and reconciled before the Friday, 29 August 2025 cut-off (noting that the Department's website indicates that the DEMIRS Royalties Online system will be unable to be accessed from close of business 29 August 2025). Outstanding issues may complicate the transition or trigger compliance reviews.
- Engage with RevenueWA early: register for updates and guidance from RevenueWA regarding the new portal and administrative processes. Early engagement will help clarify expectations and prevent delays in accessing the new system.
- Prepare for system migration: identify team members responsible for royalty reporting and ensure they are trained on the new RevenueWA portal. Consider conducting internal testing or simulations if training materials become available.
- Audit internal processes: review their royalty calculation methodologies, data sources and reporting workflows to ensure they align with the new administrative framework. This is particularly important if operations span multiple tenures or State Agreements.
- Update contracts and templates: where relevant, update internal documentation, templates and contractual references to reflect the change in administrative authority from DMPE to RevenueWA. This may include royalty clauses in joint venture agreements or reporting schedules.
- Monitor regulatory communications: stay informed of any transitional regulations or procedural updates issued by DMPE or RevenueWA. These may affect reporting formats, deadlines or compliance requirements during the handover period.
Beyond royalty reform: broader amendments revived
On 26 June 2025, the WA Government introduced a new Mining Amendment Bill 2025, reviving and building on the Mining Amendment Bill 2024, which lapsed before the state election.
These reforms have been in development since the High Court’s landmark decision in Forrest & Forrest Pty Ltd v Wilson & Ors [2017] HCA 30 (Forrest), which found that strict compliance with certain procedural requirements was necessary for valid mining lease applications. This ruling invalidated several tenements and disrupted longstanding industry practices.
The implications of Forrest are still relevant today, most notably in the reasoning of the Supreme Court of Western Australia in Blue Ribbon Mines Pty Ltd v Roy Hill Infrastructure Pty Ltd [2022] WASC 362 (Blue Ribbon) and in the decision of the Warden in True Fella Pty Ltd v Pantoro South Pty Ltd [2022] WAMW 19 (True Fella).
The new bill seeks to restore authority to the mining registrar, Warden and the Minister and ensure they have jurisdiction to deal with existing applications affected by Forrest that may not have strictly complied with every prescribed requirement under the Mining Act. It also clarifies that the mining registrar and Warden can exercise their powers under the Mining Act to request further information in relation to these affected applications, allowing them to be assessed on their merits rather than rejected due to procedural technicalities. However, unlike the Mining Amendment Bill 2024, the new bill does not seek to address indefeasibility for existing tenements.
The key reforms include:
- Authority to determine pending applications affected by Forrest: the bill introduces a new Division 2, Part 9 in the Mining Act that allows for pending applications for the grant, amendment or renewal of a mining tenement to be dealt with and be determined as if the prescribed requirements of the Mining Act had been complied with. This will not apply where the applications have already been marked invalid in the register, the applicant has not paid the prescribed application fee or where, if applicable, the applicant has not obtained consent from the occupier and owner of private land.
These changes ensure that the mining registrar, Warden and Minister have jurisdiction to deal with existing applications affected by Forrest. However, the bill does not seek to reintroduce the amendment to section 116(2) from the Mining Amendment Bill 2024. This would have extended indefeasibility of title to existing tenements in circumstances where there was a failure to comply with requirements of the Mining Act in relation to the application for those tenements. - Excising areas from exploration licence applications: this reform is in response to the regulatory uncertainty created by Blue Ribbon. In this case, it was decided that there was no power under the Mining Act for the Minister to grant an exploration licence over part of a block by excising areas of the application subject to a miscellaneous licence or private land. The bill clarifies when an exploration licence application may be granted over an area less than the area applied for and also provides applicants with an ability to amend their application with the approval of the Minister to remove blocks overlapping with another exploration licence application.
- Clarification of True Fella uncertainty: in True Fella, the Warden found that a compliant statement under s58(1) of the Mining Act is required for the grant of an exploration licence, and that this statement must provide details of how the full area of the application will be explored during the full five-year term of the exploration license (noting that this interpretation is under judicial review in the Supreme Court of Western Australia and remains reserved for decision (Supreme Court matter CIV 2404 of 2023)). At the time True Fella was delivered, industry practice had been to only provide details for the initial phase of exploration.
The bill seeks to address this uncertainty by amending s58 to provide expressly that applicants will only need to provide information relating to the proposed work program, estimated expenditure and technical and financial resources available to the applicant during the first year of the term of the exploration licence. - Second renewals of mining leases: the bill clarifies the process and timing for second renewal applications for mining leases.
- Transparency of section 19 instruments: section 19 instruments, by which the Minister may exempt land from mining activities, specific mining purposes or provisions of the Mining Act, will now be published on the Department's website.
- Variation of tenement conditions post-grant: conditions imposed on the grant of mining tenements will now be able to be cancelled or varied by the Minister post-grant if the Minister is satisfied the cancellation or variation is necessary to correct an error or can be done without detriment to the tenement holder.
- Repeal of obsolete provisions: the bill removes obsolete provisions, such as the requirement that resource reports lodged in support of a mining lease application comply with the JORC Code because it is sufficient that the resource report has been given to the ASX.
- Prescribed time for supporting information: applicants for exploration licences and mining leases may submit certain supporting documents (including section 58(1) statements and mineralisation reports) within a prescribed timeframe rather than at the time of application, addressing another post-Forrest administrative burden and reflecting industry practice pre-Forrest.
- Amendments to forfeiture provisions: the Mining Act's forfeiture regime will be consolidated and modernised. Ultimate decision-making authority for forfeiture of prospecting licences and miscellaneous licences will be transferred from Wardens to the Minister.
- Amendments to expenditure exemption processes: amendments will be made to s102 to clarify that an applicant for an exemption to expenditure conditions must lodge, within the prescribed manner and time, a statutory declaration setting out the reasons for which the exemption is sought.