Increasing funding for battery metal and uranium projects versus gold brings home the global energy transition but big financing deals for preproduction companies have almost disappeared, new figures show ahead of the country’s largest mining showcase.
The data, from the Prospectors and Developers Association of Canada (PDAC) which holds its 92nd annual convention Mar. 3-6 in Toronto, shows just how much junior miners are struggling, despite a growing international recognition of mining’s importance.
Last year, for the first time in a decade, there wasn’t a single financing above C$125 million on the TSX Venture Exchange, where many junior mining exploration companies are listed. Deals at the C$200 million level had previously been fairly common, Jeff Killeen, policy and program director for PDAC, said in an interview.
“The juniors, particularly those outside of the critical mineral sphere, are facing more hurdles in terms of accessing capital,” Killeen said. “When they’re accessing it, there’s just smaller deals being done.”
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