The Queensland government is offering explorers the chance to share in $A2 million if they undertake higher risk exploration projects in under-explored areas of the state.

This is the third time the grants have been offered under the government’s Collaborative Drilling Initiative.

The initiative is part of a four-year, $29 million program called Smart Mining, which looks to increase exploration in Queensland.

“The program is designed to encourage companies to work in frontier areas that would be considered high-risk under normal circumstances,” Queensland Mines and Energy Minister Geoff Wilson said.

“We know exploration can be costly and we want to give these explorers a leg up in their search for undiscovered resources.”

In the first two rounds of the program 37 exploration companies received $4.3 million in grants to carry out 47 drilling projects.

Twenty-one of these projects are either underway or completed.

Exploration companies can access grants to recover up to half their actual costs, with a limit per proposal of $150,000.

Applicants are required to have granted tenure to be eligible for a grant.

Applications close Friday December 5, 2008.

For more information on how to apply for grants visit www.dme.qld.gov.au or email minerals@dme.qld.gov.au