The overall value of the minerals and petroleum industry in Western Australia was A$145 billion in 2018–19, a 26 percent increase on the previous financial year.

[2][5][3] In 2020–21 the Western Australian Government received A$9.8 billion in royalties from the iron ore mining industry in the state.

[12][13] After the end of the Second World War, the company, now a BHP subsidiary, began developing the deposit on Cockatoo Island, and its first ore shipment was in 1951.

While the Pilbara iron ore deposits were known, such as the Mount Whaleback deposit discovered in 1957 by Stan Hilditch, it was not until 1960, when the Australian government lifted the embargo on iron ore exports that it had put in place because of concerns the mineral was in short supply, that mining began in earnest.

[26] In 2008–09, expenditure for exploration in iron ore in Western Australia increased by 33 percent compared to the previous financial year, 2007–08.

[21] Rio Tinto operates twelve iron ore mines in Western Australia, BHP seven, Fortescue two, all of those are located in the Pilbara region.

Examples are Windarling Range and Koolyanobbing – from Koolyanobbing to the port of Esperance; Karara mine using the Karara railway to link to the state network at Morawa; Koolanooka using a 60 km spur line linking to the state network at Morawa; and Mt Gibson trucking to an ore loading siding at Perenjori.

[36][37] BHP is currently spending A$1.85 billion on its Rapid Growth Project 4, aimed at increasing its annual iron ore output to 155 million tonnes.

As a follow-up, Rapid Growth Project 5, with a budget of A$4.8 billion, targets a further production increase of 50 million tonnes annually.

Additionally to upgrades at the mines and ports, it will also include duplication of existing railway lines and is scheduled for completion in late 2011.

To achieve this, the Cape Lambert port capacity will be expanded to handle an additional 100 million tonnes annually.

Communities in the Pilbara region have seen a large influx of residential and Fly-in fly-out workers which has seen land prices skyrocket and has negatively affected tourism as accommodation has become sparse.

[47][48] Australian Aboriginal culture in the region is deeply connected to the land and water and the mining activities threaten the fragile desert environment of the Pilbara.

A lack of accommodation and the unattractive nature of relocating to the "dusty outback" resulted in a majority work force of fly-in fly-out workers, depriving local towns of the benefits of a high-earning permanent population.

However, some Aboriginals feel short-changed, given the enormous profits made from mining, and also consider the financial benefits and employment opportunities as insufficient compensation for the destruction caused to their habitat.

The managing director of Ngarda, Brian Taylor, saw this contract as a positive step, moving Aboriginal people in the region away from government welfare and into permanent employment.

Western Australian Aboriginals, in 2007, suffered from an unemployment rate of 14 percent in the state, compared to 3.3% for the general population.

Rio Tinto also, as of 2010, employs 700 indigenous workers in its Pilbara operations, comprising 6 percent of its overall work force.

FMG, under the leadership of Andrew Forrest, is driving a national program which aims to find 50,000 jobs for indigenous workers in Australia.

[50] Companies like BHP, FMG and Rio Tinto have programs aimed at increasing the number of Aboriginal employees in their operations.