Why do you think junior exploration companies are a major source of future mine supply?

Answer 1

the leases they bet on (frequently in lesser developed countries) are so risky that the majors won't put the money or time into them.

what you hope happens with a junior is that it finds a fine deposit and makes the deals to develop it ... after which a mid-size outfit or senior will take it over via merger.

still, the senior companies have already explored the areas near their existing properties quite well [it is cheap compared to the value of extending a mine's life] and so you can be pretty sure that major new sources of supply won't come from them -- which leaves only the companies who are active in new areas and many of them are juniors.

:-)