JOHANNESBURG (miningweekly.com) – The focus of exploration in British Columbia is shifting to grassroots and early-stage exploration, according to the British Columbia Mineral and Coal Exploration Survey.
The survey is compiled in a joint initiative between EY, the British Columbia Ministry of Energy and Mines and the Association for Mineral Exploration British Columbia.
“We're seeing a number of projects that supported exploration expenditure over the past five years now evolving into the mine development phase, resulting in a drop in expenditure in the capital intense later stages of the exploration lifecycle.
“But importantly, the survey indicates a swing in focus with a rise in expenditure in the early stages of exploration. The resilience of the exploration industry in BC over time reflects the province's favourable geology, good infrastructure, and stable policy environment,” says EY Canadian Mining & Metals practice associate partner Iain Thompson.
While the overall downward trend in exploration in British Columbia continued in 2016, led by low commodity prices, market uncertainty and another sharp drop in advanced-stage exploration, the survey found that grassroots and early-stage projects experienced significant growth in exploration expenditure in 2016.
Grassroots expenditure increased by 24% year-on-year to nearly $15-million and early-stage expenditure rose by 48% year-on-year to nearly $42-million.