The agreement is potentially worth millions of dollars in export earnings for Australian mining companies according to AMSI.
China is looking to achieve international productivity and safety benchmark ratings for its mining sector inline with World Trade Organisation guidelines through the affiliation with Australia.
The agreement, which will be formalised in December, will see the two parties create a joint venture company, China – Australia Mining Development International, which will assist mining clusters from Australia to do work in the Chinese mining industry.
“When people go to China to do business sometimes it is very difficult. Everybody has to come back through the government at some time and through our work over the past 12 months we have actually been able to go straight to the government who have agreed that we can filter people through them,” AMSI director George Lianos said.
The Chinese government has also agreed to check the bona fides of Chinese mining projects to ensure investment opportunities and equipment deals are going to legitimate ventures.
There is also the opportunity to establish education pathways for Chinese mining students to experience Australian conditions and for Australian graduates to obtain valuable global experience.
To date AMSI has spoken with a handful of Australian companies in Western Australia, South Australia, Queensland and New South Wales and plans to conduct a series of seminars on the venture in the next few months.
In the meantime, ASMI will conduct a feasibility study, develop and sign the joint-venture contract and create the new company in China.
AMSI is wholly owned by Singleton-based Pegasus Group.