Today’s Australian Bureau of Statistics quarterly exploration data reveals some green shoots for exploration despite overall expenditure declining.
While in seasonally adjusted terms minerals exploration expenditure fell 1.4% to $365.3m, metres of mineral exploration drilling rose 6.9% in original terms during the December 2015 quarter, with drilling in areas of new deposits rising 29.6%.
CME Chief Executive Reg Howard-Smith said while the latest figures reflect tough market and capital raising conditions continue to be a challenge for the sector, opportunities still exist for mineral exploration in Western Australia.
The latest data reinforces the importance of the WA Government’s co-funded drilling program the Exploration Incentive Scheme (EIS) which assists in driving greenfield exploration discoveries.
“In order to secure the long-term future of the resources sector in Western Australia it is vital the next pipeline of resource projects are discovered through active exploration of the state.”
“Critical to achieving this aim is ensuring policies which advance exploration through incentives or credits, Mr Howard-Smith said.”
Without ongoing investment in exploration activities many resources would remain undiscovered, stifling the growth and prosperity of the sector and the economy into the future, risking employment, investment and government revenue.
