$ Junior Mining and Exploration $

[Dragynn]

Had to add this post, for all who own Canadian JM's, repost from the SRSR board by mtcotc:

Posted by: mtcotc Member Level Date: Friday, March 05, 2010 5:46:22 PM
In reply to: None Post # of 78640 Send a link via email Share on Facebook Tweet this post
EXPLORATION TAX CREDIT TO BE EXTENDED

Canadian mining associations praise federal budget mining initiatives
Canada's Conservative government Thursday demonstrated its continued commitment to the nation's mining and exploration sector through several initiatives contained within the proposed federal budget.

Author: Dorothy Kosich
Posted: Friday , 05 Mar 2010

RENO, NV -

Canada's proposed federal budget, which aims to slash Canada's $53.8 million (US$52.2 billion) budget deficit in half, also contains several provisions which are designed to benefit the nation's mining industry.

Total federal spending in 2010-2011, including debt charges, will hit $280.5 billion, almost $13 billion over the fiscal year that ends March 31st. A deficit of C$49.2 billion is forecast for 2010-11.

In the budget document presented by Finance Minister Jim Flaherty Thursday, the Canadian Government declared, "Canada's rich mineral resources represent significant economic opportunities. Promoting the exploration and development of these resources offers important benefits in terms of employment, investment and infrastructure, especially for rural and remote communities."

Budget 2010 proposed to extend the temporary 15% Mineral Exploration Tax Credit (METC) to March 31, 2011. The credit is designed to assist junior mining companies in raising new equity through the issuance of flow-through tax shares.

The program only applies to preliminary mineral exploration activities conducted from ground level or above ground level. Expenses for underground exploration or for the purpose of bringing a mine into production are also excluded.

The estimated net cost of extension of the credit will be $65 million over the next two fiscal years.

The budget also allocates $12 million over two years to Natural Resources Canada to renew the Targeted Geoscience Initiative, with a focus on developing new ways of exploring for deeper mineral deposits.

Budget 2010 proposes several new initiatives to improve the federal regulatory system. Earlier this week, the Conservative government pledged to "untangle the daunting maze of regulations that needlessly complicates project approvals, replacing it with simpler, clearer processes that offer improved environmental protect and greater certainty to industry."

The Mining Association of Canada (MAC) said, "The Government's commitment to ‘support responsible development of Canada's energy and mineral resources,' by untangling ‘the daunting maze of regulations that needlessly complicates project approvals, replacing it with simpler, clearer processes that offer improved environmental protection and greater certainty to industry,' is a positive signal that Canada is serious about responsible resource development."

"This commitment to clarity is a positive signal to industry that the government recognizes that

Canada's mining industry is integral to this country's recovery and long term prosperity," stated

Gordon Peeling, CEO of MAC. "Duplication leads to waste of government resources and at stake are thousands of high-paying jobs, billions of dollars in private sector investment and billions of dollars in government revenues."

Association for Mineral Exploration British Columbia (AME BC) CEO Gavin Diron said the announcement was "a welcome signal to industry that Canada is open to investment."

He also noted, "The federal budget represents several steps in the right direction to ensure that safe and modern mineral exploration and mining continue to benefit all Canadians."

"We appreciate the leadership being demonstrated, and we look forward to working with the federal government to make the Mineral Exploration Tax Credit Permanent and to ensure that mine proposals in this country are evaluated efficiently and effectively," Diron concluded.

http://www.mineweb.com/mineweb/view/mineweb/en/page72068?oid=100097&sn=Detail