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Yukon government lifts funding for mining incentive programme

30th January 2013

By: Henry Lazenby

Creamer Media Deputy Editor: North America

  

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TORONTO (miningweekly.com) – The Yukon government on Monday increased funding to the Yukon Mining Incentive Programme (YMIP), in a move that is aimed at encouraging mineral exploration.

Yukon Minister of Energy, Mines and Resources Brad Cathers announced the funding increase on Monday night at the Mineral Exploration Roundup.

"We are increasing funds for the YMIP by C$200 000 to a total of C$770 000 for 2013/14. This new money will encourage more investment in mineral exploration during a period when raising capital is extremely challenging," Cathers said.

The YMIP provides funding to individuals, partnerships and companies to move forward on their mineral exploration projects. Part of the programme's function is to provide a portion of the risk capital required to locate, explore and develop mineral projects to an advanced stage.

"The incentive programme has a proven track record at leveraging exploration dollars. In an average year, the grants we issue typically are matched by investors at a ratio of four to one. The programme also provides economic incentive for individuals and companies to operate locally and invest in the Yukon economy,” Cathers said.

The programme has been critical in assisting prospectors who have made some of the most significant recent mineral discoveries in Yukon.

For example, the programme initially assisted several large discoveries and projects in the White Gold district in central Yukon.

YMIP focuses on quality projects. It is a competitive, proposal-driven process that is merit-based. The projects most likely to be funded are ones that have the best chance of succeeding and have the strongest potential to generate additional investment in Yukon's economy.

During the 2011/12 financial year, the C$570 000 YMIP budget supported 34 exploration projects that eventually spent a total of C$2-million on their operations.

Edited by Creamer Media Reporter

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