A competent, comprehensive and efficient exploration program is an important element in just about any mineral producer's business survival plan. A recently released study by a major consulting group suggests that this crucial activity has weakened throughout the industry to the point of crisis. The report, released by the Boston Consulting Group (BCG) in iate June and titled Tackling the Crisis in Mineral Exploration, points out that from 2010 through 2013, the annual number of discoveries (excluding bulk commodities) declined by more than half, even after adjusting for discoveries yet to be drilled out. As shown in the accompanying tables presented in the report, the number of giant discoveries, which historically have accounted for the vast majority of the world's metal supplies, has tapered off to only one or two per year despite a massive increase in exploration spending from 2010 through 2012. Even if some recent major discoveries ultimately mature to giant status, major discoveries on the whole will still have declined significantly.
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