Ontario Premier Pushes to Fast Track Mining as | Commodities

A new report from the Ontario Mining Affiliation reveals that the province’s mineral exports reached C$64 billion in 2023, accounting for more than 25 p.c of Ontario’s complete items exports.

Of that quantity, C$42 billion value of minerals had been shipped to the US, together with C$5.7 billion in crucial minerals akin to platinum-group metals, nickel, copper, uranium and zinc.

Extra than half — or 57 p.c — of Ontario’s crucial mineral exports had been destined for the US.

The State of the Ontario Mining Sector report highlights the industry’s profound influence on the provincial financial system.

Ontario stays Canada’s prime gold producer, home to 18 working gold mines that yielded roughly 2.9 million troy ounces of gold in 2023, valued at C$6.5 billion. The province additionally boasts 9 lively crucial mineral mines and 10 processing services, feeding industries akin to aerospace, protection and electric vehicle manufacturing.

The report underscores mining’s financial contributions, together with a C$23.8 billion injection into Ontario’s GDP in 2023 — practically 3 p.c of the province’s complete GDP. Mining investments reached C$5.2 billion in capital expenditures, instantly using 22,000 staff with an average wage of C$150,000 — virtually double the provincial average.

The industry additionally helps 126,000 oblique jobs, and 12 p.c of its workforce identifies as Indigenous, considerably larger than the three p.c Indigenous participation throughout Ontario’s total workforce.

“Ontario’s mining sector is a cornerstone of our technology-driven economy, delivering well-paying jobs, producing essential inputs to North America’s manufacturing supply chain, and plays a vital role in our continental security,” said Ontario Mining Association President Priya Tandon in a Tuesday (March 4) press release.

Ontario’s mineral production reached C$15.7 billion in 2023, a 50 percent increase over the past decade. Between 2019 and 2024, four new mines opened in Northern Ontario, with six new projects and four expansions underway.

Ontario remains a global leader in mining finance, with the TSX and TSXV listing 40 percent of the world’s publicly traded mining companies, valued at C$603 billion by the end of 2024 — more than triple their market value in 2015.

However, exploration spending — key to ensuring long-term commodities supply — was C$976 million in 2023, representing 23 percent of Canada’s total, but highlighting the need for continued investment.

The sector also faces labor shortages, with 21 percent of its workforce over the age of 55 and declining enrollment in mining-related educational programs. The Ontario Mining Association’s “That is Mine Life” marketing campaign, funded partly by the provincial and federal governments, is working to draw younger people and newcomers to Canada to mining careers.

Ontario’s push to speed up mining development

Ontario Premier Doug Ford used his speech on the Prospectors & Builders Affiliation of Canada (PDAC) conference to reaffirm his dedication to fast monitoring mineral extraction initiatives.

Specifically, he highlighted the Ring of Hearth, a area recognized for its huge nickel, copper and chromite deposits.

On the occasion, Ford reiterated his pledge to streamline useful resource development approvals and create particular zones the place crucial minerals initiatives can transfer ahead with expedited timelines.

“Together, we need to build the most competitive economy in the G7 to invest, create jobs, and do business,” Ford instructed attendees, warning that Ontario should be ready for “anything and everything” in response to US tariffs.

As half of his efforts to strengthen Indigenous participation, Ford reiterated his dedication to including C$70 million to the Aboriginal Participation Fund and to relaunching the Aboriginal Mortgage Assure Program as a C$3 billion First Nations Alternatives Financing Program. Nonetheless, Indigenous leaders have raised issues in regards to the pace of development within the mining industry and potential infringement on treaty rights.

Ford, when requested whether or not his push for fast monitoring mining development means bypassing environmental assessments, responded, “We’re going to sit down with (First Nations leaders) and have a great conversation.”

Total, the Ford authorities has dedicated C$500 million to a crucial minerals processing fund, aiming to draw buyers and set up Ontario as a hub for refining supplies like nickel, copper and lithium. The initiative aligns with broader western efforts to counter China’s dominance within the international provide of refined metals.

“We have the critical minerals the world needs, and we have the workforce to get them out of the ground,” Ford said in the identical PDAC deal with. “But we don’t want to see those minerals ripped and shipped overseas or south of the border. We want Ontario’s critical minerals to be processed and refined right here by Ontario workers.”

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Securities Disclosure: I, Giann Liguid, maintain no direct investment curiosity in any company talked about on this article.

The views and opinions expressed herein are the views and opinions of the writer and don’t essentially replicate these of Nasdaq, Inc.