Exploration is the riskiest stage of the mineral development cycle. Out of every 10,000 identified mineral prospects, only about 10% will lead to a drilling program (1 in 10), and just 0.01% (1 in 10,000) will lead to a new mine. As a result, attracting capital to help finance exploration projects can be challenging, whether the exploration agent is a prospector, mineral exploration company or the exploration division of a mining company. Once a discovery has been made, additional resources are required to help develop a deposit and move into production.
Mineral exploration begins and ends with financing. PDAC undertakes a wide range of activities to help companies finance mineral exploration in Canada and abroad. To help the mineral exploration and mining industry secure access to the capital required to finance these activities, PDAC undertakes work in the following three areas.