News Release

TORONTO (August 24, 2011) The Prospectors and Developers Association of Canada (PDAC) offers strong endorsement of the Geo-mapping for Energy and Minerals (GEM) program.  Geoscience research is important to help guide and inform effective investments in mineral exploration and land use decisions.
 
“We congratulate the federal government for their leadership on this important economic issue,” says Scott Jobin-Bevans, PDAC President. “Geoscience knowledge provides our country with a key competitive advantage, which is essential to maintaining Canada’s role as a pre-eminent global destination for exploration investment.”

The GEM program provides critical data by recording samples of mineral compositions of the North.  This program will continue to benefit Northern communities through investments, job creation and will provide reliable data to improve exploration efficiency and effectiveness.

“Strategic investments in initiatives such as the GEM program contribute a great deal to our economy,” says PDAC Executive Director Ross Gallinger. “The PDAC’s pre-budget submission provided the Government of Canada with clear evidence of the value of geoscience research and exploration to economic development.” The Duke Report (March 2010) found clear benefits, noting “ample evidence that government geoscience stimulates private sector exploration. Program evaluations suggest that 6 of 10 mapping projects will have immediate impact in terms of claim staking or new exploration activity.”
 
There is abundant data highlighting the return on investment for geoscience research. The Geological Survey of Canada estimates that each dollar spent on programs such as these returns over $100 on exploration related activities. Natural Resources Canada data suggests that while incremental increases in exploration expenditures are difficult to quantify, every $1 million of government investment to enhance the geoscience knowledge base will likely stimulate $5 million in private sector exploration expenditure.
 
The PDAC applauds the Government of Canada’s support for the minerals industry and their partnership with the NWT and Nunavut Chamber of Mines. Nunavut remains one of the most undermapped regions in Canada and the level of geological understanding lags behind southern Canada. The PDAC strongly supports investments in geoscience research as a critical determinant to growing a successful minerals industry.

To see the news release from the Prime Minister’s Office,  please click here.
 
Background
Mineral exploration and mining are mainstays of Canada’s economy, particularly in northern and remote regions. Canada’s mining industry accounts for approximately 20% of Canada’s annual goods exports and generally between 3 and 4% of Canada’s GDP. The industry employs over 300,000 Canadians in mineral extraction, processing and manufacturing. However, the mineral reserves which sustain mining have fallen dramatically over the past 25 years, threatening the future of the industry. The only way to replace the reserves is by mineral exploration (research and development). It is essential that policies initiated by the federal government to encourage exploration continue and that tax rules are reviewed to ensure they reflect the needs of the current economic environment.

About the PDAC
The PDAC is a national organization that represents the interests of the Canadian mineral exploration and encourages the highest standards of technical, environmental, safety and social practices in Canada and internationally.  It has 7,684 individual members (including prospectors, developers, geoscientists, consultants, mining executives, students, and those involved in the drilling, financial, investment, legal and other support fields) and 1081 corporate members (including senior, mid-size and junior mining companies).

Contact information:
Steve Virtue
Director of Communications
Prospectors and Developers Association of Canada
416-362-1969 x225