PERTH (miningweekly.com) – The Association of Mining and Exploration Companies (Amec) has urged explorers to make use of Round 18 of the Western Australian state government’s Exploration Incentive Scheme (EIS) co-funded drilling programme, which closes on October 5.
The co-funded exploration drilling programme offers up to a 50% refund for suitable innovative greenfield exploration drilling projects, capped at specific amounts.
The EIS provides about A$5-million a year in co-funding for innovative exploration drilling in underexplored greenfield regions.
The state government noted that the number of applications for Round 17 earlier this year jumped more than 20% to 63, compared to 52 for Round 16, with the trend likely to continue for Round 18.
“The ongoing success stories from companies taking up co-funded drilling, through the EIS, confirm the government's decision to secure funding for the scheme,” said Mines and Petroleum Minister Bill Johnston.
“There have been some very encouraging copper, gold and zinc discoveries in the eastern Pilbara by Antipa Minerals, Sipa Resources and Encounter Resources; and a nickel/colbalt find in the Eastern Goldfields by Great Boulder Resources.”
Amec CEO Warren Pearce noted that the EIS was a highly successful state government programme that encouraged greenfield drilling.
“The co-funded drilling programme helps cash strapped exploration companies undertake greenfield drilling. Each new drill hole could lead to a new mine. Each new mine creates jobs, royalties and a wide range of economic and community benefits.”
“Western Australia needs more greenfield drilling, and the latest round of the EIS co-funded drilling programme is welcomed by industry,” said Pearce.
A government funded study into the effectiveness of the EIS found that every A$1-million invested stimulates exploration activity generating A$10.3-million in direct benefits for Western Australia. The study found that every A$1-million spent under the EIS generated 12.5 full-time jobs in minerals exploration for three years.