|By Marketwired .||
|February 11, 2014 05:43 PM EST||
TORONTO, ONTARIO -- (Marketwired) -- 02/11/14 -- The Prospectors & Developers Association of Canada (PDAC) congratulates the Government of Canada on its Economic Action Plan 2014 that includes specific supports for the mineral exploration and development sector.
The 2014 Budget includes a number of key initiatives designed to stimulate economic growth in some of Canada's most northern and remote communities. Economic Action Plan 2014 proposes to extend the Mineral Exploration Tax Credit (METC), continues to support northern development by working with territorial governments and local municipalities to develop transportation infrastructure in the North, and provides $40 million over two years to renew the Strategic Investments in Northern Economic Development program delivered by the Canadian Northern Economic Development Agency. The Government's extension of the 15 per cent tax credit for an additional year will help to stimulate exploration across Canada.
"Today's commitment from the Government, and especially Minister Flaherty, demonstrates continued support for growth and investment in the exploration sector," says Glenn Nolan, PDAC's President. "The METC and northern development remain vital to the exploration industry in Canada as it helps to keep jobs and investment in Canada, and ensures our competitive position globally."
PDAC also supports and looks forward to working with the Government on northern infrastructure, northern regulatory improvement, and northern economic development to help expand the transportation, energy and community infrastructure necessary to support resource development in northern and remote regions.
The Canadian mineral sector is a key driver of Canada's economy. The industry accounts for approximately 20 per cent of Canadian goods exports and roughly 3.5 per cent of Canada's GDP, or about $35 billion. "The renewed investment in METC by the Government ensures Canadian companies have the right financial tools needed to succeed and remain competitive in this challenging economy," adds Nolan. "Since its inception in 2000, METC has encouraged Canadian investors to invest in Canadian exploration, helping Canada become the top global destination for mineral exploration."
The Government of Canada's renewal of Geo-mapping for Energy and Minerals (GEM) program-$100 million over seven years-is also an essential for exploration. Investment in the GEM program shows that the government understands and supports the strategic importance and value of mineral exploration for Canada and the North.
Researchers estimate that every dollar invested in basic geological mapping triggers five dollars in exploration spending by the private sector. And every dollar invested in pre-competitive geoscience leads to the discovery of in-ground resources worth between $100 and $150.
About the PDAC
The Prospectors & Developers Association of Canada (PDAC) is a national association representing the mineral exploration and development sector. The PDAC has more than 10,000 individual and corporate members, and encourages the highest standards of technical, environmental, safety and social practices in Canada and around the world. The PDAC also hosts the mineral industry's largest annual convention in downtown Toronto. The PDAC 2014 Convention will take place from March 2- 5, 2014.
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