Lower exploration budgets, fewer major discoveries and declining grades in existing deposits are particularly concerning when you consider that the outlook is for growing mineral demand as a result of the global growth and the demands of new world infrastructure.
Exploration spend has declined significantly and even though there has been some recovery in the last two years, budgets are still half of what they were in 2012.2
Strategies for growth in mine supply:
- Access to capital
- Acquire existing projects or mines
- Ramp up innovation to both find new resources and extract more value from current resources