Abitibi Metals boosts resource by 62% at B26 polymetallic deposit in Quebec
Indicated resources increased to 11.3 million tonnes from 6.9 Mt.
EY’s Canadian Mining Eye index declined 13% during Q4 2016. This is predominantly due to weakness in gold and nickel prices, offset partially by gains in both copper and zinc prices. For the full year 2016, the Canadian Mining Eye index rose 61%, which was better than 18% gains in S&P/TSX composite index.
“The outlook for the Canadian mining sector remains healthy,” says Jim MacLean, EY’s Canadian Mining and Metals Leader. “The recovery of commodities prices in the latter half of 2016, paired with improved productivity and global geopolitical factors means we can anticipate more sustainable growth in 2017.”
EY’s Canadian Mining Eye: Q4 2016 suggests investors will continue to view gold as a safe haven investment, given the uncertainty surrounding various policies and plans under the Trump presidency.
“Gold is now accepted as an investment in Islamic finance,” says Jay Patel, EY’s Mining & Metals Transactions Leader. “With this adoption, the potential demand for gold and gold-based investments is expected to increase. This would help to improve supply-deficit market conditions and push gold prices above those in 2016.”
