o3 BLOG | Investing

Gold Production in Canada to Grow in 2022

October 1, 2022

Kara Lattanzio

A recent report released by GlobalData, a London-based data analytics and consultancy, shows that following a 2.4% year over year increase in 2021, gold production is expected to rise 3.1% to 120.7 million ounces (Moz) in 2022. We can attribute this substantial increase to post-pandemic recovery and improved global demand expectations. This increase comes as good news to the Canadian economy after a 6.3% dip in gold production in 2020. The consultancy also recently predicted that Canada would play a prominent role in the rise of the world’s total gold production in 2022. Further, global gold mine production will climb by 3.1% to 120.7Moz in 2022, with Canada continuing to be the most significant contributor to the growth, with output expected to expand from an estimated 7Moz to 7.8Moz, an 11.4% increase. Australia (8.3%) and China (+5.9%) will come next. 

South Africa (+620.4koz), the United States (+543.5koz), and Mexico (+385.7koz) were the other significant contributors to global gold production in 2021. While it narrowly lost its place with Australia for the top spot in a recent study to select the world’s most appealing mining jurisdiction, Canada has been designated the clear winner to become the major contributor to a projected increase in global gold production in 2022.

Canadian gold mining production is predicted to expand at a CAGR of 18.7% from 2022 to 2026, reaching 15.5Moz. New developments in Ontario and Quebec are driving this expansion. The report also indicated improvements in output at the Detour Lake, Canadian Malartic, Meadowbank Complex, Meliadine, Eagle Gold, and Young-Davidson mines, which accounted for most of Canada’s 2021 production rise.

In 2022, production is predicted to increase by 11.4% to 7.8 million ounces. GlobalData’s estimates are backed up by fresh data from Statistics Canada, which shows that mining production in the country climbed 6.45% in February 2022 compared to the same month the previous year.


An appealing investment location

Canada was the highest-ranked area in terms of global mining investment attractiveness in the Fraser Institute Annual Survey of Mining Companies, with a score of 81.6, up from third last year.

According to the Fraser Institute, when evaluating how Canadian jurisdictions rank on the Investment Attractiveness Index, Canada is the world’s second-most attractive location for investment behind Australia. Factors contributing to the Investment Attractiveness Index include Canada’s policy performance (first) and geographic attractiveness (ranked second in the Best Practices Mineral Potential Index).

This year, Canadian provinces placed high in worldwide attractiveness, with Saskatchewan (second), Quebec (sixth), and the Yukon (ninth), all ranking in the top ten mining jurisdictions. Significant investments, both domestic and global, bolster the country’s mining sector.


Capital Spending in Canada’s Mining Sector

Capital spending in the Canadian mining industry represented 4.6% of the national total in 2021, at C$12.3 billion, a 5.1% increase, year over year. 

The mining and mineral sector is vital to the success of many other industries. From healthcare to renewable energy and the tech sector, the mining industry is a driving force of the Canadian economy. Further, the mining industry will play a significant role in Canada’s goal to transition to net zero. Canada has set the global bar, producing some of the lowest-carbon-intensity mineral and metal products in the world.


Budgetary support

The Mining Association of Canada (MAC) favoured the Canadian government’s recent budget for its support of the mining industry. According to the Association, Budget 2022 will position Canada’s minerals and metals industry for success as a partner in achieving Canada’s aim of a greener future while also creating stronger supply chain resiliency, notably in battery and advanced manufacturing materials.


Budget Highlights

  • C$80 million to public geoscience and exploration programs to aid in the discovery of the next generation of vital mineral resources.
  • Doubling The Mineral Exploration Tax Credit for mining essential minerals such as nickel, copper, cobalt, rare minerals, and uranium.
  • C$1.5 billion to new infrastructure development in crucial locations such as the Ring of Fire.
  • C$1.5 billion on new essential minerals projects, with a priority on mineral processing, materials manufacture, and recycling for vital mineral and metal products in the battery and rare-earths supply chains.
  • C$144M to critical minerals research and development to promote responsible critical mineral extraction and processing.
  • Renew the Centre of Excellence on Critical Minerals for three more years with an additional C$10 million investment.
  • C$40 million to help northern regulatory processes assess and approve priority resources projects.
  • C$70 million is invested in global partnerships to enhance Canadian mining leadership.


A Nation with Widespread Wealth

Mining is still a vital business in several provinces, with mineral treasures dispersed across the country. The following mining provinces and their primary metal and mineral production districts:


British Columbia (BC)

  • The Elk Valley (metallurgical coal)
  • Kitimat (aluminium)
  • Northern British Columbia (copper, gold, molybdenum, metallurgical coal)
  • Southern British Columbia (copper, gold, molybdenum)
  • Vancouver (exploration, mine financing, allied industries)
  • Trail (lead, zinc)


  • Coal


  • Saskatchewan’s northwestern region (uranium, gold)
  • Saskatchewan’s south (potash, coal)


  • Manitoba’s northwestern region (nickel, cobalt, gold)
  • Flin Flon,

Ontario (copper, zinc, gold)

  • Ontario’s North (gold, palladium, platinum, copper, zinc, diamonds)
  • Sudbury (nickel, copper, cobalt, allied industries)
  • Timmins (gold, silver)
  • Southern Ontario and Toronto (salt, uranium refining, exploration and mine financing, allied industries)

NW Territories (diamonds)

Nunavut (diamonds)


  • Abitibi and James Bay (gold, copper, zinc, diamonds)
  • Val-d’Or and Rouyn-Noranda (gold, copper, silver, zinc)
  • Sorel-Tracy and Havre St. Pierre (titanium)
  • Montreal and its environs (metal smelting and refining, allied industries)
  • Quebec’s northwestern region (nickel, copper, cobalt, platinum group metals)
  • Region of Saguenay (aluminum refining, niobium)
  • Fermont and Schefferville (iron)

Labrador and Newfoundland

  • Wabush and Labrador City (iron ore)
  • Bay of Voisey’s (nickel, copper, cobalt)
  • Newfoundland Island (gold, nickel refining)

New Brunswick

  • NB zinc, lead, metal smelting

Nova Scotia 

  • peat, sand, and gravel


  • gypsum, gold, coal, copper








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A Year
in Review

To Our
O3 Mining

What a year it has been! I want to personally thank you for supporting O3 Mining throughout this unprecedented time. At O3 Mining we experienced a year of tremendous growth as our exploration campaigns surpassed all expectations and we invested significant capital into our projects.

Our Year In Review

A Year
in Review

What a year it has been! I want to personally thank you for supporting O3 Mining throughout this unprecedented time. At O3 Mining we experienced a year of tremendous growth as our exploration campaigns surpassed all expectations and we invested significant capital into our projects.

Our Year In Review