Brasil PDAC is a joint initiative of the main entities of the Brazilian mineral sector with the Federal Government and the productive sector which, joined in a consortium, have worked on actions for an organized promotion of the Brazilian Mineral Sector.
Brazil is a country of continental dimensions with a geologic scenario favorable to multiple mineral activities, which is increasingly more promising as the resumtion of exploration activities moves forward. Already recognized as a large size player in the international scenario of mineral production, Brazil has noticed the beginning of a new rapid growth in the sector.
New world class discoveries have brought back the focus to the country, which in recent years experienced an enormous institutional improvement and strengthening of its mining legislation. This process culminated in the creation in November 2018 of a regulating agency specific for the mineral sector, which offers more protection to investors.
Brazil advanced very much also in the offer of high resolution data on geologic information. Nowadays, an explorer is supported by solid bases to develop research in the country, being able to reduce the amount invested and increase its rate of return.
Brazil already is a global player among others in the iron ore, niobium, tantalum, graphite, manganese, and bauxite markets. Among the new discoveries, are some of the assets with greater future technological potential, such as lithium, nickel and cobalt. This confirms the history of Brazil as a multi-commodity producing country.
The country offers a rare combination of a democratic environment that respects contracts, with great potential offered by nature in an 8.5 million km2 area, largest than Europe as a whole. The Brazilian territory has 12% of the drinking waters of the planet. Moreover, with more than 200 million inhabitants and a GDP of more than US$ 2 trillions, Brazil is certainly a major player in the mineral sector.
In infrastructure, Brazil has one of the cleanest electric matrices of the world, with more than 60% of the generation coming from hydroelectric plants. The country is also experiencing a strong expansion of other clean sources, such as biomass, wind and solar.
The new Brazilian government, elected in November 2018 and inaugurated in January 2019, has strengthened the intention to adopt measures that simplify and improve the business environment. Thus, the goal is not only to attract investments, but to consolidate and facilitate the corporate activity with initiatives that aim at rationalizing and debureaucratizing the several economic sectors.
Especially for those activities that involve environmental licensing – the case of mining – the path to be followed involves the adoption of less subjective and more rational criteria. In this context, in the point of view of the mineral sector, the environmental licensing must have previsibility in its duration and in the obligations that are demanded from the entrepreneur.
Recently, Brazil has learned sad lessons on the necessity for a more sustainable mineral performance, both ecologically and socially. The episodes of the disruption of Mariana and Brumadinho dams are being investigated by the authorities, who also work in the improvement of the norms to prevent such unexpected events.
The three-century long history of intense metallic minerals extration, among others, guarantees a supply chain and sound laboratories to offer support to mining companies´ activities and highlights the labour force available in Brazil. In the last ten years, about 20 thousand geologists and mining engineers have been trained in the country.
Recently, the country also noticed a consistent recovery of its economy, strengthening the importance of the internal market. This advance, which includes offers for the international market, has led to the growth of the country’s production and increased the importance of the mineral sector in the positive result of the Brazilian trade balance in 2018.
Despite the acceleration in the Brazilian mineral production and the new recent discoveries, Brazil still has an unfavorable position in the ranking of investment attraction in mineral exploration among the greater players of the world. In recent years, investments in Brazil have been very small if compared to those of Canada and Australia.
Considering that with relatively fewer investments than its pairs in recent years, new world class discoveries have occurred in Brazil, the expectation of the governmental authorities and of the international geologic community is that, with greater investments, the available resources and reserves in the country may have a considerable increase.
Brazil welcomes entrepreneurs that want to discover the diversified geology of the country respecting the environment, the communities and the local norms.
Come to a country with world class opportunities!