Senate Bill 2 34, a measure to expand Utah's mineral exploration tax credit, passed the Senate Revenue and Taxation Committee on Feb. 14 by a unanimous vote. Sponsor Senator Owens said the bill grew from months of work by the Unified Economic Opportunity Commission and would broaden an existing 2022 tax-credit program to cover more exploration and production activities.

Brian Summers, president of the Utah Mining Association, told the committee the bill would expand the 2022 exploration tax credit to include activities at existing operations that produce new minerals or use new technologies, and to refund a portion of qualified exploration expenditures once production generates new severance-tax revenue. "This will allow for mining companies to undertake more exploration and development activities," Summers said, adding the credit has helped the state show it is open for new mining and exploration.

Sponsor and proponents disputed how the fiscal-note process treats post-performance credits. Senator Owens said the bill's fiscal note is listed as $2,000,000 but described it as post-performance and argued the net cost should be lower because the state would receive new severance tax revenue before issuing refunds. The committee acknowledged concerns and said staff would follow up with the Legislative Fiscal Analyst.

Senators voted to recommend SB 2 34 favorably; the motion passed unanimously 4–0 in committee. Proponents cited Utah's mineral endowment and a recent ranking of Utah by the Fraser Institute as a favorable mining jurisdiction.

What happens next: The bill will proceed to the Senate floor for further consideration; sponsors said companies are prepared to move forward if the credit expansion becomes law.