Mining in Ontario: A Dependable Engine of Growth

MINING IN ONTARIO A Dependable Engine of Growth RELIABLE GROWTH in Ontario's mining industry Ontario's mining industry continues to generate prosperity and opportunity in the province, despite a challenging economic climate. 80% GROWTH in Ontario's mining industry 2008 2007 2009 10.9 9.6 2006 6.3 9.5 2010 8.1 E 10.7 BILLION MINERAL PRODUCTION ONTARIO OF CANADIAN 21% In 2011 Ontario was responsible for 21% of mineral production in Canada. PROVINCES TOTAL VALUE BILLIONS This was the highest among the provinces. EMPLOYMENT in Ontario's Mining Industry Employment in mining is not just recovering faster, but growing and now tops other industries. Paper Manufacturing 35,000 30,000 25,000 Wood Products Manufacturing 20,000 Mining and Support Activities for Mining 15,000 10,000 5,000 Logging, Forestry and Support Services to Forestry 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Ontario is one of the safest mining jurisdictions in the world and mining is one of the safest industries in Ontario, achieving 91% improvement in lost time injury frequency over the last 30 years. 2011 OUTPUT COMPARISON Support Activities for Mining 1,600 1,400 Mining $ 680,000 per mining employee 1,200 VS Paper Manufacturing 1,000 $ 110,000 per industrial employee Forestry, Logging & Support Wood Manufacturing All Ontaria Industries That's SIX TIMES greater. As a result, wages are significantly higher than other industries, and are also growing faster. 600 MINING EXPORTS from Ontario's mining industry A Rest of Canada Europe ( United States China Rest of the World 72% PERCENTAGE OF OUTGOING MINING RESOURCES OF ONTARIO'S MINING CUSTOMERS ARE LOCATED 27.8 % Ontario 21.9% USA 15.1 % Europe 13.7% 11.3 % 10.1 % China Rest of Canada OUTSIDE OF THE PROVINCE. Rest of World ON THE OTHER HAND, MINE SUPPLIERS ARE MUCH CLOSER TO HOME. 74% OF ONTARIO'S MINE SUPPLIERS ARE LOCATED PERCENTAGE OF OUTGOING MINING RESOURCES 74.4 % Ontario 14.5 % Rest of Canada WITHIN THE PROVINCE. 11.1 % Rest of World 10 15 20 25 Ontario Mineral Trade Balance Ontario's 15 Mineral Trade Balance CONTINUES TO GROW 10 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 MINING'S IMPACT ON ONTARIO'S FINANCIAL MARKETS IN 2011 TSX 90% which accounted for 40% traded through Global Mining Equity Finances The Toronto Stock Exchange The TSX Venture Exchange of the worlds New Mining Equity Capital THAT EQUALS $ 12,500,000,000 MINING SHARES TRADED ROUGHLY IN 2011 $440,000,000,000 TSX TOTAL OF ) THE FOR THE YEAR INVESTMENTS IN THE FUTURE The Ontario mining industry is making long term investments at record breaking levels. There are currently more than INDUSTRY SPENDING OVER 10 YEARS 330 COMPANIES Repairs Machines and Equipment from across the world Construction Exploration actively exploring Ontario. 2002 2006 2011 1.30 B 2.40 B $ 5.4 B Many people associate the industry exclusively with northern Ontario - in reality, mining activity and related services are distributed all over the province. Innovation 31% of mine Keep it local suppliers are located within 100 Communities positively impacted by Mining km of the mine site. Community Ontario's mining industry continues to be an engine of growth, and the province is moving forward by harnessing the natural resources that it contains. The Ontario Mining Association (OMA) was established in 1920 to represent the mining industry of the province and is one of the longest serving trade organizations in Canada. Our goal is to overcome challenges that impede the competitiveness of responsible operations and to foster an environment that bolsters mining's potential to be the cornerstone of Ontario's new, innovation-oriented green economy. OntarioMining A S SO C I A TI 0 N Learn more at www.oma.on.ca VISUAL CAPITALIST Educating a new generation of investors on resource investing and management VISUAL CAPITALIST www.visualcapitalist.com Sources: http://www.oma.on.calen/ontariomining/resources/UofTMiningReport2012Final.pdfhttp:// http://www.oma.on.ca/en/ontariomining/resources/OMAReport2012newRead-Onlypdfhttp:// http://www.nrcan.gc.ca/minerals-metals/publications-reports/3575 2004 E002 2002 2005 7.4 5.7 Employed Weekly Wage Billions Jobs