2017-2018 Québec government budget : MEASURES THAT RESPOND TO SEVERAL CONCERNS RAISED BY THE QUÉBEC MINING ASSOCIATION
28/03/2017
Québec City, March 28, 2017 – The 2017-2018 budget tabled by the Minister of Finance, Carlos Leitão, contains a series of measures that reflect some of the realities facing mining companies. In the view of the Québec Mining Association, the budget does not settle all these points, but provides some welcome assistance.
"Not all of the QMA's recommendations have been followed, but several of its concerns have been heard and the government is clearly taking action to support mineral development. The measures are important, because the increase in metal prices will not solve all the problems," says Josée Méthot, the QMA's president and CEO.
The budget measures welcomed by the Québec Mining Association include:
• An allowance making expenses incurred for community consultations eligible for tax measures
• Increased rates for the tax credit relating to resources, and an increase of 25% of exploration expenses incurred, are now eligible throughout the area covered by the Plan Nord
• The additional allowance of $2 million for a mine situated in Northern Québec, extended to the whole area covered by the Plan Nord, to compensate for the high costs of bringing a mine into production in the North
• An extension of the 35% reduction on the minimum cost of work to be carried out by a claim holder by one year, to allow exploration companies to allocate their resources to the most promising claims
• A reduction in the delays associated with the administration of exploration assistance
• The publication of a guide focusing on eligible exploration expenses to ensure that mining companies have access to the tax information needed to implement their project
• Support for research and innovation through a grant to COREM
"Taken together, these budget measures give some breathing space to the mining industry, which needed assistance to ensure its long-term future in Québec. Although much remains to be done, the message conveyed in the budget is clear: the government wants to see a strong mining industry that is a source of pride for Quebecers, and it is attentive to the concerns raised by mining companies," concludes Josée Méthot, who points out that the QMA will continue to push in other areas to improve Québec's competitive edge and its attractiveness for investors.
About the Québec Mining Association
The Québec Mining Association (QMA) was founded in 1936 and speaks proactively for mining companies involved in exploration, extraction and processing, mining contractors and junior mining companies, along with suppliers, institutions, non-profit organizations and other mining sector partners. It is proud of the 45,000 jobs and total expenditure of almost $6 billion generated by Québec's mining industry. The QMA’s mission is to promote, support and proactively develop a responsible, committed and innovative mining industry in Québec.