State of the Market Presentation - by Dr Chris Hinde of IntieraRMG
- kindly hosted by Buchanan
Extractive Industry All Party Parliamentary Group (APPG)
The introduction to the evening was given by Jeff Townsend who outlined what the extractive industry's APPG was doing to highlight the positive impact it was having on the UK economy. Jeff highlighted the obvious barrier facing the industry posed by groups striving for a mining-free society. His talk was insightful and we hope to continue discussions with the APPG.
State of the Market
As we are probably all aware, mining companies have slashed exploration expenditure to reduce costs. The big question is how much has been taken out of the exploration game and what effect that will have on the industry going forward.
As Dr Chris Hinde showed, exploration expenditure has reached new lows (in recent terms) which will no doubt have a negative effect on discovery rates in the near and mid term.
Whilst Dr Hinde's presentation had a slightly somber tone the outlook due to downward trend of exploration expenditure, he suggested that there was light at the end of the tunnel, although he stopped short from saying the we had definitely reached the end of the downward leg.