Mining and Mining Supply and Service

The mining sector is a major part of the Saskatoon region's economy. Exploring and mining potash, uranium, gold and diamonds are ongoing activities. The region has almost two-thirds of the world's recoverable potash reserves and is the world's largest exporter of uranium. There are seven potash mines in the Saskatoon region and the head office of the PotashCorp., is located in Saskatoon. Cameco Corporation and AREVA Resources Canada Inc., two of the world's largest uranium producers, also maintain offices in the Saskatoon region.

For a list of companies in the manufacturing industry in Saskatoon, visit the Business Directory.

Link to the University of Saskatchewan's Toop Memorial Lecture, given by Mr. George Read, Senior Vice-President Exploration and Development, Shore Gold Inc.: SASKATCHEWAN'S DIAMOND PROSPECTS: From favourable mantle to surface: enormous kimberlites deliver diamonds to Saskatchewan View video here.

On Tuesday, February 26th, SREDA held its second Industry Profile event, which featured Golder Associates Ltd. Senior Mining Specialist,  Ron Barsi. Thank you to Golder Associates and Mr. Barsi for their involvement in this event, as well as our investors who attended. View Golder Associates Mining Industry presentation.

Industry Successes

• Saskatchewan supplies one-third of world demand for potash.
• Saskatchewan is the world’s largest uranium producer.
• Saskatchewan's mining industry employs about 20,000 people.
• Total mineral sales in 2006 was a record $3.2 billion.

IDP Survey Results

Each year, SREDA conducts an industry development program survey. The purpose of this survey is to maintain product information on industrial companies operating within the Saskatoon region and assess specific industry sectors' prospects for growth and labour market needs.

Sales and Growth

Thanks to a rich natural resource base in Saskatchewan, the mining and mining supply and service industry has enjoyed above average revenues over the last five years. This continued success creates a high level of optimism for future growth for companies in the sector.

Stable revenues and an optimistic outlook for the future have spurred expansion plans for 12 per cent of the sector.

Labour

The labour supply, both skilled and unskilled, in the mining and mining supply and service sector has seen a steady decline since 2004. Even though revenues are strong and growth prospects are good for this sector, labour availability is becoming an issue for industry managers.

As with many other sectors in the Saskatoon region's economy, labour shortages are occurring in the mining and mining supply and service sector. Seventy-five per cent of respondents indicated difficulty filling the following positions:

• Auditors
• Geologists
• Geophysicists
• Health Physicists
• Hydro-geologists
• Mechanical Engineers
• Mechanics
• Metallurgists
• Mine Engineers
• Mine Process Engineers
• Mining and Exploration Personnel
• Programmers
• Safety Officers
• Trades People

The short labour supply has not decreased the quality of employees in the Saskatoon region. When surveyed, industrial managers in the mining and mining supply and service sector were satisfied with their staff.

Fig. 2.37 Quality of Labour – Mining And Mining Supply and Service