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Exploration spend up in Sept quarter

Exploration spend up in Sept quarter

Photo by Bloomberg

2nd December 2019

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

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PERTH (miningweekly.com) – New Australian Bureau of Statistics (ABS) data shows mineral exploration expenditure in the September quarter was up by 7.7%, or some A$51.5-million, compared with the previous corresponding period, to A$716.3-million.

Base metals exploration saw the biggest hike in terms of spending, with exploration spend increasing by 10.7%, or A$20.1-million.

“Mineral exploration continues to rise and the steady increases every quarter show that the industry is committed to finding new mines with jobs, royalties and benefits for the local community,” said Warren Pearce, CEO of the Association of Mining and Exploration Companies.

Brownfield exploration rose 7.1%, or A$27.7-million, in the September quarter, while greenfield expenditure rose 8.7%, or A$23.8-million.

Metres drilled for greenfields exploration rose 20.8%, and the largest increase by minerals sought came from expenditure on selected base metals.

“Australia needs greater greenfields mineral exploration, and the significant growth in greenfields mineral exploration expenditure in most states reflects the returning strength of the exploration sector,” Pearce said.

Total expenditure rose in Queensland by 18.7%, Northern Territory by 12%, Western Australia by 9.9% and New South Wales by 1.6%, while Victoria fell by 3%, South Australia by 30.4% and Tasmania by 39.2%.

“It has been a challenging investment environment for mineral exploration companies, however, the statistics show that companies are finding ways to continue funding exploration programmes, and supporting stronger growth in the industry.” 



"Australia needs to continue to invest in mineral exploration to find the mines of the future and unlock the jobs and growth still waiting to be discovered,” said Pearce.

Edited by Creamer Media Reporter

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