However, in Mexico, there is more emphasis on extraction and processing of minerals, while
the exploration technology to find ore bodies or advance discoveries is less of a priority.
The number of significant mine operations underway in Mexico today is certainly a direct
consequence of the foreign investment in the country, and the magnitude of important new
discoveries is even more impressive. In recent years large, new, gold deposits have been outlined and several bulk tonnage copper projects are also being advanced in addition to rising
output from primary silver mines.
Modern exploration technology has enabled 'blind discoveries' for deposits that are
entirely covered by overburden, beyond the established mineral belts. Historic mining
districts that had been considered fully exploited are now yielding new resource discoveries as comprehensive exploration programs have encountered previously overlooked
mineralization. This too is contributing to higher mine production and great opportunities for growth in the sector.
As a result of NAFTA, some of the regulatory and tax burden on trading partners has
decreased. For Canadian mining companies operating in Mexico this means it is easier to
source equipment and machinery to support ongoing mining operations. Earlier in the cycle
junior miners opted to buy and refurbish older equipment that was available nationally. As
more and more companies have become active with mining development and commenced
operations, the importation of new equipment and supplies is the preferred option; however, the players involved need to know what they are doing to avoid delays.
Shipments of consumables and supplies are fairly easy to arrange, although Mexico
requires a domestic carrier for trucking into the country. Customs can tie up a shipment for
months if the proper paperwork and documentation are not filed correctly. However, there
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