2016 marked the fourth consecutive year of declining mining exploration expenditure. The industry has slashed its budget on the search for metals to barely one-third of the record high of US$21.5 billion allocated in 2012.
S&P Global Market Intelligence’s latest Corporate Exploration Strategies (CES) report calculates that the budget for nonferrous exploration in 2016 totaled US$6.89 billion, down 21% from the total in 2015.
Nevertheless, the past three quarters have brought signs of optimism for a long-struggling mining industry. Since last March, exploration companies have increasingly been able to raise funds, which represents a marked improvement over recent years. Despite recent concern over the availability of finance as we enter 2017, S&P Global Market Intelligence is cautiously optimistic for the near term, and expects corporate exploration budgets this year to be flat.
The Worldwide Exploration Trends report is an extract of the CES report.
The 16-page report provides valuable insight into:
- Improved metals price and Trump's impact on the market
- Trends and patterns of exploration spending by mining company, region and commodity type
- State of the mining industry