Budget 2015

Canada’s rich natural resource endowment remains a pillar of the country’s economic engine and maintaining the vibrancy of the mineral exploration and development industry will help ensure economic growth, jobs and fiscal sustainability for Canada. The Prospectors & Developers Association of Canada recommends the Government of Canada take the following actions in Budget 2015 to ensure the viability of Canada’s unique mineral sector.

Renew the Government of Canada’s Targeted Geoscience Initiative (TGI)

Given the increasing depths at which discoveries in Canada are now found, TGI plays a critical role in maintaining Canada’s competitiveness as a destination for exploration, improving the odds of exploration success in a cost-effective. The PDAC recommends that the federal government renew the TGI for an additional 5 years, at $5 million per year. PDAC also recommends that, if renewed, TGI-5 include greater industry participation, particularly at the planning and design states, which will help to increase the uptake and application of the product generated by this important initiative. Read more

Establish a Northern Infrastructure Financing Authority

The sustainability of the northern mineral industry and the northern economy requires innovative financing options to support the development of public benefit infrastructure, aimed at unlocking the mineral potential of northern Canada. The PDAC recommends the Government of Canada establish a federal Crown corporation, similar to the Alaska Industrial Development and Export Authority, to provide long-term financing (loans, bonds, equity) to northern infrastructure projects that generate public benefits but do not meet the ‘public use’ criterion of existing federal programs. Read more

Increase the Mineral Exploration Tax Credit from 15% to 30% for a period of three years

The PDAC recommends that the METC be temporarily increased from 15% to 30% for a period of 3 years to attract risk capital back to the exploration sector. Read more