January 5, 2026 - Canada is renowned for its abundant minerals and network of engineering firms with mining experience. These advantages, coupled with the rising global demand for copper, lithium, nickel, cobalt and rare-earth elements, should spur growing interest in our mining sector among investors. Yet, mining investment in Canada is on the wane.

In nominal terms, exploration investment alone fell from $4.4 billion in 2022 to $4.2 billion in 2023, with preliminary numbers for 2024 suggesting a further 2 per cent drop. And several leading exploration companies including Solaris Resources Inc., Falcon Energy Materials and Barrick Mining Corporation (the world’s second-largest mining company) have either moved their headquarters out of Canada or are considering doing so.

This downward trend extends beyond just exploration investment. In 2023 (the latest year of available data) investment in Canada’s mining sector totalled $15.2 billion, 26 per cent below the record-high $20.5 billion in 2012 (inflation-adjusted).

So, why is one of the most mineral-rich countries on Earth losing investor interest?

According to a new survey of mining investors, despite the rich mineral potential of many Canadian jurisdictions, government policies are deterring investment.

Take British Columbia, Yukon and Manitoba, for example. Although all three rank among the world’s top 10 most attractive jurisdictions for their mineral endowment, all three fall far behind in policy perception, ranking 32nd, 40th and 43rd out of 82 jurisdictions, respectively. The Northwest Territories (56th), Nunavut (59th) and Nova Scotia (76th) also rank low in terms of policy, while Saskatchewan (3rd), Newfoundland and Labrador (6th) and Alberta (9th) are the only Canadian jurisdictions that perform well.

Indeed, in multiple editions of the mining survey over many years, investors have cited policy uncertainty as a key deterrent to investment in many Canadian jurisdictions. In particular, uncertainty around disputed land claims, protected areas and environmental regulations.

Of course, Canadian jurisdictions compete with jurisdictions around the world including in the United States. And the differences in investor perception are striking. While a strong majority of survey respondents for B.C. (76 per cent), Manitoba (75 per cent) and the Yukon (69 per cent) say uncertainty around disputed land claims deters investment, the percentages are much smaller for Nevada (13 per cent) and Arizona (16 per cent). Similarly, the percentage of respondents who say uncertainty around protected areas deters investment for B.C. (76 per cent), the Yukon (76 per cent) and Manitoba (63 per cent) was much larger than for Wyoming (11 per cent) and Nevada (27 per cent).

To build new mining projects, develop technologies that improve productivity, create jobs and help spread prosperity, Canadian jurisdictions must attract investment. In 2023, mining was Canada’s second-leading export, trailing only energy, and contributed $117 billion to Canada’s total economic output. More importantly, that same year the industry provided a livelihood for 711,000 Canadians while paying wages that nearly double the average of other industries. And according to a 2021 census, the sector provided jobs to more than 17,300 First Nations people, making it one of the largest employers of Indigenous workers in the country.

Bad policies create uncertainty and deter investment. If policymakers are serious about unleashing Canada’s mining potential, they must eliminate regulatory uncertainty and establish a predictable policy framework. Otherwise, the country will keep declining in the eyes of investors.