Yukon budgets funds to support mining

The Yukon Government has earmarked more than $1 million in its fiscal 2008-2009 budget for programs aimed at supporting both hardrock and placer mining in the territory.

The government budgeted $700,000 for the Yukon Mining Incentives Program, subject to legislative approval. The program is designed to promote and enhance mineral prospecting, exploration and development activities in Yukon by providing a portion of the risk capital required to locate and explore mineral deposits.

"We are proud to support the independent prospectors who take on the risk-intensive work of exploring for new mineral deposits," said Energy, Mines and Resources Minister Archie Lang in announcing the funding. "Their hard work attracts investors and creates mineral resource development opportunities that benefit all Yukoners."

The Yukon government also will provide $329,000 for the operations of the Yukon Placer Secretariat during fiscal 2008-09, subject to legislative approval.

The secretariat was established in 2005 by the Yukon government, Fisheries and Oceans Canada and the Council of Yukon First Nations to finalize and implement a new Yukon placer regime.

"The funding for the coming year will allow the secretariat to continue its important work," Lang said in a statement March 18. "The end result will be a made-in-Yukon solution that will support a sustainable placer mining industry in the territory, and conserve and protect fish and fish habitat."

Mining incentives support exploration

In 2007, 45 successful applicants received $719,850 under the Yukon Mining Incentives Program. Ten option deals were signed on projects advanced with the assistance of the funding, and a number of new discoveries funded by the incentives program in 2007 are generating significant interest from junior companies.

"The Yukon Mining Incentives Program really is the backbone of grassroots exploration in Yukon," said Shawn Ryan, a spokesman for Ryanwood Exploration. "Without grassroots exploration, new mining projects aren't possible. We are happy to see the continued support of this necessary program." 

Mineral exploration spending in the Yukon in 2007 reached an estimated $140 million, up from $8 million in 2000. Projects previously discovered or advanced with the assistance of YMIP accounted for $6.4 million of exploration work in 2007.

The Yukon Mining Incentives Program is administered by the Yukon Geological Survey.

The secretariat was established to coordinate the completion and implementation of a proposed new regime for the management of placer mining in Yukon under Canada's Fisheries Act.

The regime is designed to balance the objectives of conservation of fish and fish habitat supporting fisheries and a sustainable placer mining industry in the Yukon.

The secretariat is currently revising regime components. They are expected to be complete and published in final form within the next month, so that the regime may be implemented for the 2008 mining season. A consultation report also will be published in the coming weeks, Lang said. The final phase of the process will then begin, during which the secretariat will hold meetings to report back to communities on the comments received and changes to the regime.

"The placer mining industry is an important sector in the economy of both the Klondike riding and Yukon as a whole," said Steve Nordick, a Klondike lawmaker. "Many of my constituents have participated in the secretariat's consultation process and were appreciative of the opportunity to make comments on how the industry will be managed."

After the regime is finalized, the secretariat will guide ongoing implementation efforts and facilitate the participation of stakeholders, First Nations and other interested parties in decision-making related to the regime. It also will coordinate monitoring programs and ensure the adaptive management process operates effectively, the government said.