QMEA Expresses Astonishment Over the Scope of Bill 43, Part of Quebec's Mining Act Reform

ROUYN-NORANDA, QUEBEC--(Marketwired - Sept. 17, 2013) - During a presentation to the Parliamentary Committee on Bill 43 of the Mining Act, the Québec Mining Exploration Association (QMEA) expressed surprise and concern over the scope of the reform.

Following a thorough analysis of the project, QMEA concluded that in its current form, this bill will eventually reduce the ability of the Québec mining industry to develop resource, create jobs and generate wealth for all Quebecers.

"It is clear to us that the government demonstrates an unfortunate lack of understanding of how our industry and our business models work, as well as the challenges we face. The bill ignores the reality of mineral resource development in Quebec and seems to uphold a fictional vision of our practice on the ground," said Mr. Philippe Cloutier, Geologist and President of QMEA.

This new legislative framework includes too many administrative and discretionary provisions, including the introduction of more than seventy (70) separate provisions that are arbitrary and disproportionate in nature.

In an explanatory memorandum supporting its position, the Association included a variety of provisions regarding the management of mining titles and new random and significant requirements imposed on operators, as well as arbitrary provisions that will affect the development of the sector's stakeholders by rendering their business environment unpredictable.

QMEA acknowledges the presence of certain items unanimously supported by the industry, such as paying 100% of financial guarantees to ensure future site remediation, assigning a proactive role to regional county municipalities in determining zones that are incompatible to mining activities and which partly reflect an agreement reached between the industry and the municipal sector. The Association urges the government to provide a transparent, predictable and stable legal framework to ensure the development of Québec's mineral sector according the province's economic interests.

"The proposed processes will make each step of a project dependant on the whims of the presiding minister. Faced with so many random provisions, investments in our exploration projects will become illusory, since there would be little guaranty of being able to bring an interesting discovery to a viable operating project," said Valérie Fillion, General Director of QMEA.

The Association offers its full cooperation to the government to make all improvements needed to align the bill with our industry, as well as the realities of our geoscientific and economic environment.

About Quebec Mining Exploration Association (QMEA)

QMEA is a professional and industrial association representing players in Québec's mineral exploration. Founded in 1975, the QMEA's mission is to increase exploration and support the development of mining entrepreneurship in Quebec. QMEA has over 2000 individual members, as well as 250 corporate members representing Québec's mineral sector. It is run by a board of directors composed of 20 representatives from different areas of mining exploration.