In what is traditionally a negative quarter for mineral exploration, this year there has been an increase in metres drilled driven by exploration on new deposits, according to its CEO Simon Bennison.

“Compared with the September 2015 quarter, greenfields metres drilled is up 30 percent in the December 2015 quarter whilst expenditure is down 8 percent. The cost of exploration is coming down as would be expected in the current market conditions,” he said.

“The increase in greenfields mineral exploration highlights the Federal Government’s Exploration Development Incentive (EDI), which was effective from 1 July 2015, is having a positive impact on greenfields mineral exploration as intended.”

AMEC has been working with the Australian Taxation Office, Treasury and the Department of Industry and Science to review the operation of the EDI to make it more effective for explorers and investors, Bennison said.

“Territory and State exploration incentive schemes have also been crucial in encouraging mineral exploration,” he said. “They are highly regarded by the industry and have demonstrated significant economic returns to the jurisdictions.”