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Yukon Gold Rush 2.0

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"The Yukon still possesses an abundance of mineral wealth."

Historically, the Yukon has been known for its mining industries with many economic deposits of lead, zinc, silver, copper, tungsten, molybdenum, nickel, iron, coal and gold. The area still possesses an abundance of mineral wealth and lays claim to 2,600 known mineral occurrences and over 80 mineral deposits boasting significant resources.

The Yukon territorial boundaries resulted from a population influx during the famous Klondike gold rush in 1898, although the land was originally acquired from the Hudson's Bay Company in 1870. In total, about 12.5 million ounces of gold (about 390 tons) have been taken from the Klondike area in the century since first discovery; however, industry observers believe significant resource potential remains undetected.

The Department of Energy, Mines and Resources for the Yukon indicate an excellent potential for resource exploration and discovery, and the region is still relatively underdeveloped with existing mineral claims covering only 3.6% of Yukon land. Since 1999, the total annual exploration expense for projects in the Yukon has increased from slightly below $10 million to a high of just under $140 million in 2007. The department indicates that at least 32 advanced-level primary gold projects are in various stages of operation.

The Yukon ranked #4 out of 51 in Fraser Institute's Survey of Mining Companies: 2010 Midyear Update. Investors may be familiar with the survey based on the opinions of mining executives representing 429 mineral exploration and development companies on the overall investment climate. The update was conducted following the global recovery in commodity prices and the introduction of new regulatory hurdles and taxation in many jurisdictions. In the most recent edition, the Yukon gained 11.6 points, which moved it considerably from 13th in the previous adjusted 2009/10 survey to a prominent spot within the top five.

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