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.
Vancouver, BC — February 11, 2014 —Today, the Association for Mineral Exploration BC (AME BC) welcomed the extension of the Mineral Exploration Tax Credit in today’s federal budget. “We are pleased to see the return of the mineral exploration tax credit in the budget presented by the Honourable Jim Flaherty,” stated David McLelland, Chair of AME BC. “Many of our members are having difficulty raising capital in these financially challenging times, and the renewal is much appreciated.”
The Mineral Exploration Tax Credit increases exploration financing by providing individuals who invest in companies that are exploring for minerals in Canada with a 15 per cent tax credit on eligible expenditures. To support a vibrant mineral exploration sector, the Canadian government first introduced the tax credit in 2000 for a five year period, and extended it in 2006 for another two years. It has since been extended on a yearly basis and was set to expire on March 31, 2014. The government has proposed to extend the credit for an additional year, until March 31, 2015.
“We are grateful for the federal government’s support of the tax credit,” remarked McLelland. “In future budgets, we would further recommend making the tax credit permanent to facilitate grassroots exploration programs to aid in the discovery of new mineral deposits while contributing to steady, high-paying jobs in communities throughout the country.”
About AME BC:
AME BC is the lead association for the mineral exploration and development industry based in British Columbia. Established in 1912, AME BC represents, advocates, protects and promotes the interests of thousands of members who are engaged in mineral exploration and development in BC and throughout the world. AME BC encourages a safe, economically strong and environmentally responsible industry by providing clear initiatives, policies, events and tools to support its membership.
