Energy, Mines and Resources Minister Archie Lang is predicting another surge in mineral exploration activity for the Yukon this year.

Lang told reporters Tuesday afternoon his department is anticipating expenditures of $32 million, up from the estimated $22 million spent in the territory last year.

Exploration fell to a contemporary record low of just over $6 million in 2002. It had hit a record high in 1996 of $56 million during the heydays of the staking rush in the Finlayson district.

Last year was the second consecutive year of rebounding expenditures. With base and precious metal prices hitting highs not seen in the last 10 or 15 years, Lang expects exploration growth to remain constant for this year.

'This year looks like a very bright year for mining in the Yukon,' the minister said.

His prediction of expenditures coming in somewhere between $30 million and $40 million is conservative, he added.

'With a lot of the stuff on the radar screen, that could get a lot higher.'

Lang pointed to several projects as leading examples of advanced exploration activity in the territory:

ï Yukon Zinc Corporation's base metal project on its Wolverine property in the Finlayson district, for which the company has filed an application for a production licence, is expected to see more than $10 million in advanced exploration. The drills are in there working now.

ï Western Silver is expected to apply for a production licence for its Carmacks Copper property northeast of Carmacks, with the price of copper currently soaring.

ï Tagish Lake Gold Corp. is currently drilling its Skukum Creek gold property in the Wheaton River area, as gold shot up Tuesday alone another $6 an ounce.

ï Freegold Ventures intends to resume drilling at its Grew gold deposit east of Ross River.

Also in the field now, though not mentioned by Lang, is True North Gems. It's mobilizing equipment along a winter road into its emerald property in the Finlayson district for further exploration this spring and summer.

'We have some exploration sites that are looking to get into the next steps, and that is into production,' Lang said.

Also emphasized by the minister during an hour-long press conference was the government's new initiative to try to harmonize the territory's regulatory system to speed up the permitting process. (See story below.)

In addition to exploration activity, there will be $11.9 million spent maintaining four mining sites abandoned prior to the devolution of federal responsibility for mining to the Yukon government on April 1, 2003:

ï There will be $4.9 million spent on Faro's former open pit production of lead and zinc;

ï $3.9 million will be spent on the Elsa silver property formerly held by United Keno Hill Mines Ltd., properties which are currently up for sale;

ï $1.9 million will be spent on the Mount Nansen gold property; and

ï $1 million will be directed toward the former asbestos mine at Clinton Creek.

While the Yukon government manages the four mines and oversees the work carried out, the tab is picked up by Ottawa as the mines were permitted and monitored under the former federal authority for mining in the territory.