A rebound in commodity prices and a lower Canadian dollar have injected fresh momentum into the mining industry in Quebec.
In some ways, this is a continuation of the strengthening we’ve seen across the industry since the financial crisis. Things have improved significantly since 2008, with producers across the province shoring up their balance sheets and holding much healthier cash balances. And on the cost side, miners are continuing to drive down expenses through a focus on productivity and the subsequent automation and digitization of their operations.
Even with these positive indicators, insufficient financing and volatility in the mining industry continue to persist, and a number of other significant business risks pose challenges for Quebec producers. Based on EY’s 2017 ranking of the business risks facing mining and metals, the following three risks stand out as particularly relevant for producers and explorers based in the province. Continue Reading →