TORONTO (miningweekly.com) – The Canadian Ministry of Natural Resources has used the world’s largest gathering of miners, the Prospectors and Developers Association of Canada’s (PDAC’s) International Convention, Trade Show and Investors Exchange to once more throw its full weight behind the mining industry.

Speaking at the convention’s opening ceremony earlier this week, Natural Resources Minister Joe Oliver called Canada the mining capital of the world, and highlighted the federal government’s actions taken to strengthen and grow the mining industry.

He said that government’s Responsible Resource Development plan ensured world-class environmental protection while providing certainty for investors; a $100-million commitment over the next seven years for the geomapping for energy and minerals initiative would help exploration companies find deposits and create jobs; the extension of the mineral exploration tax credit in Economic Action Plan 2014 had helped junior exploration companies raise $5-billion in capital; and that government was pursuing an aggressive international free trade agenda, by concluding a comprehensive free trade deal with the European Union – the largest economy in the world.

Oliver also discussed the government’s efforts to implement transparency and accountability through mandatory reporting standards for Canadian extractive companies. He encouraged provinces and territories to play a leadership role and enact their own equivalent legislation, but noted that if equivalent standards were not implemented, the federal government would enact legislation by April 1, 2015, to move this initiative forward.

While at the PDAC convention, Oliver moderated a roundtable with Prime Minister Stephen Harper and the mining industry to discuss responsible resource development and the current challenges and opportunities facing the industry. He also hosted a roundtable discussion with junior mining companies to promote the benefits of geoscience and discuss issues facing the junior sector. He also hosted a roundtable with major and midtier companies.

“Mining creates jobs, growth, and long-term prosperity across the country. That is why our government is such a strong supporter of this industry. Together, we will ensure that Canada remains the mining capital of the world – now and in the future,” he said.

Canada is a global leader in mining. Close to 60% of the world’s publicly traded mining and exploration companies are listed on Canadian stock exchanges, and more than 70% of the world’s equity financing for mineral exploration was raised by companies listed in Canada.

The country’s mining and mineral processing contributed about C$60-billion to the Canadian gross domestic product, provided employment to about 400 000 Canadians, including more than 10 000 Aboriginal people, and accounted for more than 20% of Canada’s exports.

Supporting this, Bloomberg had recently ranked Canada second only to Hong Kong as the world’s most attractive country for business.

The pan-Canadian approach to mandatory reporting standards developed by the current government, in consultation with the Resource Revenue Transparency Working Group, would require Canadian extractive companies to publicly report payments over $100 000 to all levels of government both domestically and internationally. The approach would ensure equivalency with other jurisdictions – both at home and abroad. Reports would be posted to company websites, and the public would be notified.

GEOSCIENCE PUBLICATIONS

Meanwhile, Oliver also revealed during a roundtable meeting with junior mining companies at the 2014 convention that the federal government would publish 33 new geoscience and geomapping publications to assist the mining industry to better target investment for success.

These publications would give mining and exploration companies a better understanding of where new mineral deposits were located and their potential size – meaning a better shot at success and reduced investment risk.

This was expected to promote greater investment in Canada’s world-class mining industry.

The publications comprise 13 geoscience products from the Targeted Geoscience Initiative-4 (TGI-4) and 20 products from the GeoMapping for Energy and Minerals (GEM) programme.

“Natural resource development remains at the centre of our government’s economic agenda. The TGI-4 and GEM programmes support mining investment and our government’s top priority: creating jobs, growth,and long-term prosperity,” he said.

The TGI-4 is a national programme that provides industry with new ore deposit models and innovative tools for discovery of deep deposits. The programme had published 280 geoscience knowledge products since TGI-4 was started.

In its Economic Action Plan 2013, government set aside $100-million over seven years for the GEM programme to provide the public with the geoscience needed to make informed land-use and resource investment decisions in the country’s far north region.

TIGHTER BRAZIL RELATIONS

Further, the Natural Resources Ministry had also highlighted Canada’s ongoing interest in strengthening bilateral relations, which were especially significant in the areas of mining and mineral development.

Parliamentary Secretary Kelly Block, on behalf of Minister Oliver, delivered remarks at the eighth Brazil–Canada Chamber of Commerce event during the PDAC convention, noting Canada’s relationship with Brazil was a critical priority in the government’s strategy to engage the Americas, as well as the Global Markets Action Plan.

She highlighted increased engagement through trade and commercial/economic ties as one of the best ways to support positive change and sustainable economic growth in the Americas.

Block also underscored Canada’s status as a secure, safe and reliable country in which to do business and described the elements that had enabled Canada to remain at the forefront of the global mining industry.

In particular, she highlighted Canada’s strong economic fundamentals, its work to modernise its regulatory system through responsible resource development, the federal government’s investments in geoscience and companies' greater degree of corporate social responsibility.

“Canada recognises that Brazil is not only a close friend but also a major economic player – one that we have identified as a key priority market. We look forward to strengthening our ongoing partnership and creating more trade opportunities between Brazil and Canada,” she said.

Since the depths of the recession in 2009, two-way trade between Brazil and Canada had risen by 46%, totalling almost $6-billion.

Brazil was the seventh-highest source of foreign direct investment in Canada, with almost $16-billion in cumulative stock for 2012.

According to industry analyst SNL Metals & Mining, Canada remained the world’s top destination for mineral exploration, attracting over 13% of budgeted exploration expenditures in 2013.

Similar to Canada, Brazil was one of the leading mining nations of the world. It is the top-ranked producer of niobium; the second-largest producer of iron-ore, manganese, tantalite and bauxite; and the third-largest producer of graphite.