Junior mining industry dwindling, says MacDonald Mines
The CEO of MacDonald Mines is all but begging politicians to save the junior mining industry by implementing reforms such as imposing limits on high-frequency trading and encourage financial institutions to more widely adopt resource.
The junior miner expressed its concerns about its industry's dismal prospects during its "Ring of Fire" drill program in the James Bay lowlands of northern Ontario, Canada. MacDonald is currently searching for copper and zinc (VMS), nickel and chromite in the area.
According to Kirk McKinnon, President and CEO of MacDonald, the rules of the junior sector favor "large and wealthy" customers. This attitude has discourage potential and existing investors, who have responded to the rebuff by switching their investments to the high tech and bio tech industries.
CEO McKinnon warns that a sharp decline in the number of active junior mining companies will inflict significant job losses in the country. Among those whose losses will be mostly keenly felt by the government are geologists, geophysicists, and other important exploration scientists who will either be laid off or snapped up by other interests. He recommends ending high frequency trading and easing the process for bank customers when they purchase a small part of their portfolio in junior exploration stocks.
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