Major coal companies such as Glencore have stated they are focused on extending existing operations instead of exploring for and developing new projects such as Wandoan in Queensland’s Surat Basin.
Association of Mining and Exploration Companies CEO Simon Bennison said: “Mineral exploration in the September 2015 quarter was dominated by exploration on existing deposits, leading to a fall in greenfields mineral exploration metres drilled.
“Greenfield mineral exploration is still at record lows, similar to that of the March 2009 quarter.
“Although brownfields mineral exploration is essential for extending the life of current mines, it is greenfields mineral exploration that uncovers new significant discoveries that will replace our depleting mines.”
AMEC has been a strong advocate for initiatives which encourage investment in greenfields mineral exploration, Bennison said.
“The first round of the Exploration Development Incentive (EDI) has been offered and the modulation factor of 1 was announced last week meaning applicants will receive their full allocation. This is an extremely positive result and we look forward to the ongoing success of this scheme, he said.
“The EDI will assist Australian greenfields exploration companies raise much needed investment capital by allowing them to pass on to their Australian resident shareholders a proportion of eligible exploration expenditure in the form of a tax credit.
“AMEC continues to work with all levels of government across Australia to increase exploration and reduce the cost of doing business. This includes the continuation of co-funded drilling programs and streamlining approvals processes.”
