Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
An exceptional number of mineral claims have been filed in British Columbia, Canada, over the last three years and more than 11,000 were filed in the first seven months of 2012, in what seems to be a prospecting boom in the country’s most western province.
The industry revenues in B.C. have doubled over the past eight years, reaching more than $9.8 billion in 2011. In terms of mineral exploration, CTV BC reports that nearly $463 million was spent last year alone and 2012 should see a similar amount by the end of the year.
The industry employs over 9,000 hydrologists, geologists, financiers and engineers. Including all the positions in the mining sector in the province, it accounts for about 28,000 jobs.
At the heart of this recent boom there are two major power supply projects: the upcoming and much-needed half-billion dollar Northwest Transmission Line by BC Hydro the Forrest Kerr project, a $730-million power plant currently under construction by Calgary-based energy company AltaGas.
Related:
The coal boom’s impact on BC (infographic) >> >>
