Improving confidence sees lift in petroleum exploration investment, but coal, minerals and copper exploration spending continues to decline
A new report shows confidence in Queensland’s exploration sector is improving, but more needs to be done to support new discoveries, projects and regional jobs.
The Queensland Resources Council’s exploration arm, the Queensland Exploration Council (QEC), has released its 16th annual Exploration Scorecard which assesses the drivers of future exploration activity alongside recorded exploration investment and outcomes.
The 2026 Scorecard found sentiment improved across 12 of 18 factors, including access to capital, resource prospectivity, exploration permits and government assistance.
However, royalty and tax settings recorded the largest deterioration in sentiment, falling 11 points and placing Queensland 27 points behind competing jurisdictions. Seventy per cent of respondents were concerned royalty changes could be applied to their sector.
Queensland Resources Council Chief Executive Janette Hewson said Queensland’s geology remained its greatest competitive advantage, but explorers needed competitive and predictable investment conditions.
“Queensland has the resources and industry capability the world needs, but geological potential must be converted into investment, discoveries and producing projects,” Ms Hewson said.
“Having the highest coal royalty rates in the world increases perceptions of risk across the entire Queensland resources sector.
Queensland competes globally for highly mobile exploration capital, so competitive tax settings and lasting policy certainty are essential.”
Total exploration expenditure rose 13.7 per cent to $900.3 million in 2025-26, driven by a 52 per cent increase in petroleum exploration to $434.4 million, principally reflecting activity in the emerging Taroom Trough.
In contrast, coal exploration expenditure fell 11.5 per cent to $188 million, minerals exploration declined 6.6 per cent and copper exploration dropped 24.4 per cent.
Queensland Exploration Council Chair Kim Wainwright said the results provided grounds for cautious optimism, but confidence had not yet produced a broad exploration recovery.
“Confidence is improving, but confidence alone does not deliver discoveries,” Ms Wainwright said.
“Explorers need faster and more predictable pathways that support long-term investment in Queensland.
“Exploration is the starting point for every future resources project. Without investment today, Queensland risks missing the projects, jobs and exports of tomorrow.”
Only 24 per cent of minerals and coal exploration expenditure was directed towards greenfield activity, remaining close to the historic low recorded in 2024-25.
“The focus on established deposits rather than new discoveries is a warning sign for Queensland’s future resources pipeline,” Ms Wainwright said.
Ms Hewson said faster approvals, continued investment in pre-competitive geoscience and stable policy settings were essential to convert Queensland’s resource potential into long-term regional prosperity.
The QEC 2026 Scorecard is available here
Media Contact:
Matt Dunstan – [email protected]
