Iqaluit (Feb 07/05) - Exploration permits may be down, but Nunavut remains the most popular choice among mining companies searching the North.

James Wright, above, and Gordon Mcleod hurry to unload cargo from a North-Wright Airways Twin Otter on the Fort Good Hope runway. - John Curran/NNSL photo

The federal government approved 1,137 prospecting permit applications for the territory. In the NWT that number was 449. De Beers alone topped that number with 538 approved applications in Nunavut.

This was the second year in a row the mining firm claimed the most permits. BHP Billiton, operators of the Ekati diamond mine in the NWT, had 233 of its permit applications approved.

The permits have been valid since Feb. 1. While the Nunavut numbers are down from last year's 1,578 applications, Indian and Northern Affairs Canada (INAC) said interest in mineral exploration is still high.

"If one of these companies finds something, it will certainly spur more interest," said Carl McLean, supervising mining recorder with INAC. Last year, $150 million was spent on prospecting.

"I think we can expect that there will continue to be lots of dollars being spent in Nunavut to explore for minerals," said McLean. "Mineral exploration will hopefully also mean opportunities for local residents."

By Oct. 18, 2004 - earlier than in any other year - people began lining up outside an INAC office in Iqaluit.

Applications were not accepted until about six weeks later, on Dec. 1. Many of the five groups waiting outside in the cold were likely there on behalf of mining companies, but McLean said he does not know which companies.

Prospecting permits are valid for between three and five years depending on how far north you go.

A certain amount of money must be spent each year for the permit to remain valid. Once a mineral deposit is found, a claim - which is valid for a longer period of time - can be staked.