The minerals industry in Australia is currently regarded as the country's economic saviour; the bastion of economic security. As Fitzgerald (1974) stated, 'Australia's natural endowments in minerals are the envy of most countries of the world'. As a result the proposed new mineral developments are on a scale that hitherto in the sixties would have been completely unenvisaged. It is reported that Australia is poised on the verge'of a sixteen billion dollar mining-based investment boom: a boom that will see Australia dominate the energy export field, the mineral processing field, and create the 'coal dollar'. This growth scenario has many inherent dangers, and it is the authors' contention that these should be carefully considered before further development proceeds. Two of the major problems related to the mineral industry growth scenario are the predictability of the future metal market, and the energy cost of mining. The latter problem is the one discussed here. The mining-mineral processing industries in Australia currently use about 36% of Australia's primary energy