Royalty and Financial Considerations
Every year the Department of Industry and Resources collects more than $2 billion from mineral and petroleum producers in Western Australia.
About $750 million comes from petroleum companies, with the funds being paid to the State Government and used for law enforcement, education, health, roads and community development programs (see below).
Petroleum royalties are administered and collected under State and Commonwealth legislation.
Royalties collected for onshore projects are retained by the State Government, while offshore royalties are shared between the State and Commonwealth in accordance with the relevant legislation.
Barrow Island onshore royalties are also shared between the Commonwealth and the State.
Royalties
Petroleum royalties are administered and collected under State and Commonwealth legislation.
Wellhead Royalty
Understand how Wellhead Royalty is calculated.
Resource Rent Royalty
Find out more about Resource Rent Royalty.
Petroleum Resource Rent Tax
The Petroleum Resource Rent Tax (PRRT) is a secondary tax based on a project’s profitability, and applies to all petroleum products from a project in Commonwealth waters.
C'mnwealth Crude Oil Excise
The Commonwealth Government applies the crude oil excise to eligible crude oil production from the North West Shelf project area in Commonwealth waters, coastal waters and onshore areas.
Summary of Royalty Provisions
This page offers a summary of royalty provisions.
