Summary
Preliminary results for global exploration budget data from S&P Global Market Intelligence's Corporate Exploration Strategies (CES) series shows decreases in exploration budgets again in 2024, as the junior sector continued to have difficulty accessing funds amid languishing metal markets for many, though not all, commodities. We estimate the global nonferrous exploration budget to decrease 3% to $12.5 billion in 2024, from $12.9 billion in 2023.
Many of our 2024 budget expectations were realized. The junior sector, which is reliant on the marketplace to fund its activities, decreased, while the major companies remained mostly flat. Gold budgets fell sharply despite record prices, while exploration for critical minerals held firm. Geographically, Australia had the largest decline, as its large junior explorer population encountered issues funding its programs. In contrast, exploration directed to the US increased in 2024 on the back of stronger copper and lithium allocations. In line with the overall decrease in budgets, the number of active explorers decreased modestly to 2,210 in 2024, from 2,238 in 2023.
The current weakness in metal prices and financing levels is expected to persist through 2024 and potentially the first half of 2025, restricting any significant increases to budgets for 2025. Continuing interest in the mining supply chain, however, should help insulate the sector from any significant decreases in exploration levels.
Join our analysts as we review 2024 and look ahead to 2025:
- Exploration by commodity, geography and project stage of development
- Discovery trends
- Recent drilling and financing activity
- 2025 exploration outlook
Speakers
S&P Global Commodity Insights
Eillen Grace Dela Cruz
S&P Global Commodity Insights
Senior Specialist, Metals and Mining Research
Eillen Grace Dela Cruz is a Senior Research Specialist in the Corporate Exploration Strategies (CES) team at S&P Global Commodity Insights, specializing in the Metals and Mining Research department. With over five years of experience, she analyzes global exploration trends for mining companies and publishes research on key exploration topics. Eillen plays a vital role in Industry Monitor initiatives, focusing on drilling data, initial resources, project milestones, and financing activities. Additionally, she is actively involved in enhancing data visualization within the team, ensuring that information is delivered effectively and efficiently to clients and readers while maintaining accuracy and data integrity.
S&P Global Commodity Insights
Marlon Joaquin
S&P Global Commodity Insights
Research Specialist, Metals & Mining
Marlon Joaquin is a senior analyst at S&P Global, specializing in the commodities market, particularly in gold. His extensive expertise in the metals and mining industry empowers him to convert intricate data into actionable insights that fuel strategic decision-making and elevate the company’s research initiatives. Marlon conducts analyses of gold market trends and price fluctuations while diligently monitoring global supply and demand dynamics. He collaborates effectively with cross-functional teams, providing expert insights that influence key business strategies, and prepares detailed reports and presentations that keep stakeholders well-informed.
S&P Global Commodity Insights
Kevin Murphy
Director of Metals & Mining Research
Kevin Murphy is a Research Director for Metals and Mining Research with S&P Global Market Intelligence and is based out of Halifax, Nova Scotia. He manages a group of analysts with the Metals & Mining Research group and writes analysis on various aspects of the industry including exploration, discoveries and production pipelines.
He began his career in metals and mining in 2007 as an analyst for Metals Economics Group which, through a series of acquisitions, became the core of S&P Global Market Intelligence’s Metals & Mining division. He is passionate about the mining industry and its critical role in the global economy.