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SKRR EXPLORATION INC. REPORTS SIGNIFICANT GOLD, SILVER & ZINC MINERALIZATION AT THE MANSON BAY PROJECT, NORTHERN SASKATCHEWAN

SKRR Exploration Inc. (TSXV: SKRR) (OTC: SKKRF) (FSE: B04Q) (" SKRR " or the " Company ") is pleased to report results from its 12-hole, 1,687.68m (5,524′ feet) fall drill program on the 100%-owned Manson Bay gold project located in the Trans Hudson corri

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SKRR Exploration Inc. (TSXV: SKRR) (OTC: SKKRF) (FSE: B04Q) (" SKRR " or the " Company ") is pleased to report results from its 12-hole, 1,687.68m (5,524' feet) fall drill program on the 100%-owned Manson Bay gold project located in the Trans Hudson corridor in east-central Saskatchewan . Ten holes targeted within the outlined historic Manson Bay Gold Zone over approximately 450m of strike, with the aim to confirm and expand upon historic results and two additional holes tested along strike to the south-west ~300m and 700m respectively of the southern extent of the Manson Bay Gold Zone.  Ten holes intersected sulphide mineralization in multiple stacked sheared and brecciated zones, occasionally graphitic, returning significantly anomalous assays in widths ranging in width from 4.57m to 20.29 meters wide (down hole width).

Highlights:

  • MB21001: 2.14 g/t Au , 12.90 g/t Ag, 0.13% Pb, and 0.55% Zn over 10.23m ( 85.68m to 95.91m )
    including: 3.07 g/t Au, 15.60 g/t Ag, 0.16% Pb, and 0.64% Zn over 6.20m ( 89.71m to 95.91m )

  • MB21002: 1.14 g/t Au , 9.49 g/t Ag, 0.13% Pb, and 0.79% Zn over 9.33m ( 99.57m to 108.90m )

  • MB21004: 1.79 g/t Au , 13.75 g/t Ag, 0.20% Pb, and 0.47% Zn over 20.29m ( 96.26m to 116.55m )
    including: 4.01 g/t Au, 28.24 g/t Ag, 0.42% Pb, and 0.76% Zn over 7.75m ( 106.75m to 114.5m )

  • MB21006: 1.10 g/t Au , 21.05 g/t Ag, 0.44% Pb, and 0.93% Zn over 9.00m ( 41.00m to 50.00m )

  • MB21012: 0.74g/t Au , 5.77g/t Ag, 0.06% Pb, and 0.45% Zn over 14.42m ( 148.00m to 162.42m )

Anomalous assays results are coincident with sulphide mineralization occuring in disseminated and interstitial, to stringers, fracture filling s and occasionally semi-massive to massive blebs. Sulphides generally include 1% to 10% pyrite and pyrrhotite, and occasionally 1% - 2% sphalerite and rarely galena.

Maps Available Here

Sherman Dahl , CEO commented:

"The Manson Bay results are exciting. SKRR is pleased to let all of our long-term investors and all new investors know that we are just getting started. In the last few years, we have done all that we set out to do with multiple discoveries.  Even better is we start drilling again in January 2022 and will soon announce back-to-back drill programs at the Olson property along with going back to Manson Bay. Saskatchewan has so much to offer. The Trans Hudson Corridor is extremely well known, yet way underexplored.  That is about to change.  SKRR is not the only one dedicating serious resources to uncovering the mineral wealth of Saskatchewan , one of the world's top jurisdictions."

Ten of twelve drill holes completed during this program served to in-fill gaps in historic drilling as well as test down-dip extensions of historic intercepts of mineralization at the Manson Bay gold zone (SMDI #2280) where historic drilling by Hudbay Minerals (1985) and MinGold Resources (1987 to 1988) outlined a gold-rich and anomalous silver and base metals zone. Two additional drillholes completed in 2021 aimed to test conductors along-strike to the SW of the Manson Lake gold zone. Drillhole planning for this drill program relied on the results of field exploration activity conducted in the summer of 2021 as well as historic data.

Drill holes completed in 2021 encountered primarily different varieties of paragneiss with short intervals of pegmatite dyke. The most impressive mineralization was generally hosted in altered and brecciated shear zones with up to 10% total disseminated-interstitial-semimassive pyrrhotite, pyrite, sphalerite, and galena.

Analytical results ranged from trace values to higher-grade intercepts, as summarized below.

Significant Intercepts Table:

Hole

From
(m)

To (m)

Core
Length
(m)

Au (g/t)

Ag (g/t)

Pb (%)

Zn (%)

AuEq
(g/t)

MB21001

85.68

95.91

10.23

2.14

12.90

0.13

0.55

2.67

Including

89.71

95.91

6.20

3.07

15.60

0.16

0.64

3.70

Including

93.78

94.89

1.11

8.75

18.45

0.20

0.45

9.32










MB21002

99.57

108.90

9.33

1.14

9.49

0.13

0.79

1.76

Including

104.60

105.66

1.06

2.52

17.75

0.29

1.17

3.53










MB21003

53.75

62.15

8.40

0.63

4.63

0.07

0.29

0.89










MB21004

96.26

116.55

20.29

1.79

13.75

0.20

0.47

2.31

Including

106.75

114.50

7.75

4.01

28.24

0.42

0.76

4.97

Including

107.75

108.50

0.75

13.70

29.00

0.21

1.12

14.79










MB21005

48.35

55.65

7.30

0.72

5.57

0.04

0.26

0.96

Including

50.00

51.00

1.00

2.97

6.10

0.01

0.19

3.16










MB21006

41.00

50.00

9.00

1.10

21.05

0.44

0.93

2.07

Including

43.80

45.40

1.60

3.56

88.57

2.03

3.83

7.67










MB21007

169.47

174.29

4.82

0.62

5.57

0.05

0.59

1.04

Including

172.52

173.55

1.03

2.02

5.61

0.03

0.62

2.46










MB21008

53.95

59.90

5.95

1.44

7.60

0.07

0.32

1.74

Including

54.86

56.50

1.64

4.41

15.77

0.17

0.72

5.09


66.00

72.25

6.25

0.56

8.30

0.17

0.29

0.90

Including

67.57

68.30

0.73

2.12

36.90

0.94

0.86

3.45










MB21009

101.56

106.13

4.57

0.41

3.80

0.03

0.28

0.63










MB21010, MB21011 no significant intercepts










MB21012

148.00

162.42

14.42

0.74

5.77

0.06

0.45

1.09

Including

159.00

160.48

1.48

2.35

4.46

0.02

0.20

2.53


* Drill indicated intercepts (core length) are reported as drilled widths; true thickness is undetermined.
** No cutoffs or metal recoverability were factored into AuEq calculations.
*** Assumptions used in USD for the gold equivalent calculation were metal prices of $1,783.00 /oz Au, $22.47 /oz Ag, $1.49 /lb Zn, and $1.02 /lb Pb. Gold equivalent (AuEq) was calculated using the formula AuEq = Augpt + ((Zn%*Zn Price*22.0462) + (Ag * Ag Price /31.1035) + (Pb%*Pb price*22.0462)) / (Cu price*22.0462)

Drill core locations and Manson Bay maps are available at www.skrr.ca .

Drill holes MB21001 and MB21002 were drilled from the same pad with dips of 70° and 85° respectively. These holes were collared proximal to the historic hole MBO-15 to confirm mineralization encountered in that hole. Mineralization consisted of up to 10% total net textured pyrrhotite and pyrite. Drillhole MB21001 intercepted 12.90 g/t Ag, 2.14 g/t Au, 0.13% Pb, and 0.55% Zn over 10.23m from 85.68m to 95.91m . Drillhole MB21002 intercepted 9.49 g/t Ag, 1.14 g/t Au, 0.13% Pb, and 0.79% Zn over 9.33m from 99.57m to 108.90m .

Drill hole MB21003 was designed as an in-fill hole roughly equidistant from historic drillholes MBO-8, MBO-9, MBO-14, and MBO-36. Hole MB21003 intercepted a sheared and brecciated zone with up to 10% net-textured pyrrhotite/pyrite as well as local disseminations of 0.5% sphalerite. This zone returned 4.63 g/t Ag, 0.63 g/t Au, 0.07% Pb, and 0.29% Zn over 8.40m from 53.75m to 62.15m .

Drill hole MB21004 aimed to test the mineralized shear roughly equidistant from MBO-16, MBO-34, MBO-37, and MBO-42. The hole intercepted several, wide brecciated and sheared zone hosting up to 7% semimassive pyrrhotite, 3% semimassive pyrite, and 0.5% interstitial galena/sphalerite. Assay results from this hole returned 13.75 g/t Ag, 1.79 g/t Au, 0.20% Pb, and 0.47% Zn over 20.29m including 29.00 g/t Ag, 13.70 g/t Au, 0.21% Pb, and 1.12% Zn over 0.75m .

Drill hole MB21005 was designed to test the up-dip extension of mineralization at the Manson Lake Gold Zone. The drillhole intercepted several metres of brecciated/sheared gneiss with 3-5% disseminated-blebby pyrite. Assay results from this hole returned 5.57g/t Ag, 0.72g/t Au, 0.04% Pb, and 0.26% Zn over 7.30m from 48.35m to 55.65m .

Drill hole MB21006 was designed as a 40m step-back, down-dip from MB21005 to in-fill historic holes MBO-6, MBO-7, MBO-12, and MBO-13. The drillhole intercepted a sheared and brecciated zone with 3% semimassive pyrite, 2% blebby pyrrhotite, 2% disseminated sphalerite, and 1% disseminated galena forming an interlocking texture. Assay results from this hole returned 21.05g/t Ag, 1.10g/t Au, 0.44% Pb, and 0.93% Zn over 9.00m from 41.00m to 50.00m , including 88.57g/t Ag, 3.56g/t Au, 2.03% Pb, and 3.83% Zn over 1.60m from 43.80m to 45.40m .

Drill hole MB21007 was designed as a 160m step-back from historic drill holes MBO-12 and MBO-13 to test the down-dip extension of mineralization on the northern side of the Manson Bay Gold Zone. The drill hole intercepted a short (~4m) zone of brecciation and shearing with 3% interstitial pyrrhotite, 1-2% pyrite, and 0.5% sphalerite. This zone returned 5.57g/t Ag, 0.62g/t Au, 0.05% Pb, and 0.59% Zn over 4.82m from 169.47m to 174.29m , including 5.61g/t Ag, 2.02g/t Au, 0.03% Pb, and 0.62% Zn over 1.03m from 172.52m to 173.55m .

Drill hole MB21008 and MB21009 were designed to in-fill zones of shearing near historic drillholes MBO-5, MBO-18, MBO-19, and MBO-21. Drill hole MB21008 intercepted shearing and brecciation in both paragneiss and pegmatite with 5% blebby/vug-filling pyrrhotite, 2% pyrite, and 0.5% sphalerite, while MB21009 intercepted less extensive 1% pyrite and 0.25% pyrrhotite. Assay results from drillhole MB21008 returned 7.60g/t Ag, 1.44g/t Au, 0.07% Pb, and 0.32% Zn over 5.95m from 53.95m to 59.9m and 8.30g/t Ag, 0.56g/t Au, 0.17% Pb, and 0.29% Zn over 6.25m from 66.00m to 72.25m . assay results from drill hole MB21009 returned 3.80g/t Ag, 0.41g/t Au, 0.03% Pb, and 0.28% Zn over 4.57m from 101.56m to 106.13m .

Drill holes MB21010 and MB21011 targeted previously undrilled conductors 300m and 700m respectively to the SE of historic drilling at the Manson Bay Gold Zone. Both holes intercepted zones of shearing with up to 3% disseminated-stringer pyrrhotite/pyrite and graphite alteration. Neither hole returned significant intervals of gold mineralization.

Drill hole MB21012 was designed as a ~50m down-dip, step-back from historic hole MBO-44. This hole intercepted a mineralized shear zone with 3% interstitial pyrrhotite, 2% interstitial pyrite, and trace sphalerite. Assay results from this hole returned 5.77g/t Ag, 0.74g/t Au, 0.06% Pb, and 0.45% Zn over 14.42m from 148.00m to 162.42m , including 4.46g/t Ag, 2.35g/t Au, 0.02% Pb, and 0.20% Zn over 1.48m from 159.00m to 160.48m .

Manson Bay Gold Zone Details

The mineral occurrence located on the Manson Bay Property referred to as the Manson Bay Gold Zone is documented in the Saskatchewan Mineral Deposit Index ("SMDI") as occurrence #2280.  Staking and exploration on the Manson Bay and Manson Bay South properties dates back to 1953.  Kay Lake Mines Ltd. acquired the property in 1955 and conducted an electromagnetic survey in 1955, and in 1956 followed up with a diamond drill program to test the anomalies along the northeast shore of Manson Bay. Hudson Bay Exploration optioned the property in 1983 and completed 3 drill holes. Drill holes MBO-1 and 2 intersected the mineralization described by this showing.  Discovery drill hole MBO-1 encountered an 0.8 ft intersection that returned 0.04 oz./ton Au, 4.38 oz./ton Ag, 5.81% Cu and 0.60% Zn. Between 1987 and 1988, Mingold Resources Limited completed a further 43 drill holes (MBO-4 to MBO-46) to outline a gold-copper rich zone of mineralization.

Geologically, the area straddles the transition zone between the highly metamorphosed (upper amphibolite facies) Amisk Group interlayered volcanics and metasediments to the south and the Kisseynew gneiss belt derived wackes (garnetiferous quartz-feldspar-biotite-hornblende gneiss, quartz-feldspar- hornblende-garnet± biotite gneiss, biotite migmatite, and sericitic quartz- feldspar-biotite schist) to the north and to the east. Pegmatite and calc-silicate gneiss are found in almost all drill holes.

Structurally, the showing area occupies the core of the Schotts Lake anticline. The host rocks have a northeast strike and dip 20°to 30°SE. Lineations indicate a plunge of 21° to 40°NE.

The Manson Bay Gold Zone showing consists of a silicified horizon within a northeast-trending shear zone. Mineralization has been traced over a strike length of 2400 ft ( 731.5 m ) within this silicified shear zone. The mineralized horizon is a quartz-rich gneiss that contains hornblende-feldspar-biotite and locally chlorite and tourmaline crystals. Minerals present include trace to 15% pyrite, trace to 20% pyrrhotite, up to 10% graphite, trace to 12% chalcopyrite, trace to 10% sphalerite, trace galena and associated gold mineralization.

Delineation drilling, at 100 to 200 ft (30.5 to 61.0 m ) centers, has outlined an area approximately 300 ft by 500 ft ( 91.4 m by 152.4 m ) where an average 12 ft 3.65 m ) width grades between 0.092 and 0.679 oz./ton Au (11 intersections). Other zones of less significant Cu-Au mineralization have been located along strike.

The above results were summarized from the SMDI descriptions and assessment reports filed with the Saskatchewan government. SKRR cautions that historical results were collected and reported by past operators and have not been verified nor confirmed by a Qualified Person, but form a basis for ongoing work at the Manson Bay Project. Further work (including drilling) is required by SKRR in order to verify the historical work on the Manson Bay Project. Management cautions that past results or discoveries on proximate land are not necessarily indicative of the results that may be achieved on the subject properties.

QA/QC:

Samples were sent for geochemical analysis with ALS Global, Vancouver, B.C. for the following analyses: 48 element four-acid ICP-MS (ME-MS61) and gold (Au) 50 g Fire Assay – AA finish (Au-AA24). Samples that returned over 5ppm Au by Au-AA24 were re-analysed using gold (Au) 50g Fire Assay – Gravimetric finish (Au-GRA22). Samples that returned over-detection limit for Pb and Zn by ME-MS61 were re-analysed using four-acid ICP-AES (ME-OG62).

On receipt of final certificates of analysis, the QA/QC sample results were reviewed to ensure the order of samples were reported correctly, that the blanks ran clean, and that the results for each standard had minimal variance from its certified value. QA/QC for the Manson Bay Drilling Program included certified reference material ("CRMs") and blanks that were inserted into each sample batch in order to verify the analytical from the lab. ALS labs is an independent certified laboratory and is independent of the Company and the Qualified Person.  The Company detected no significant QA/QC issues during review of the data. The Company is not aware of any drilling, sampling, recovery or other factors that could materially affect the accuracy or reliability of the data referred to herein.

Qualified Person

The scientific and technical information contained in this news release has been reviewed and approved by Ross McElroy P.Geol , a director of the Company and a "Qualified Person" as defined in National Instrument 43-101 – Standards of Disclosure for Mineral Projects . Mr. McElroy verified the data disclosed (unless indicated otherwise) which includes a review of the sampling, analytical and test data underlying the information and opinions contained therein.

About SKRR Exploration Inc.:

SKRR is a Canadian-based precious metal explorer with properties in Saskatchewan – one of the world's highest ranked mining jurisdictions. The primary exploration focus is on the Trans-Hudson Corridor in Saskatchewan in search of world class precious metal deposits.  The Trans-Hudson Orogen – although extremely well known in geological terms has been significantly under-explored in Saskatchewan .  SKRR is committed to all stakeholders including shareholders, all its partners and the environment in which it operates.

ON BEHALF OF THE BOARD

Sherman Dahl
President & CEO
Tel: 250-558-8340

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release .

Forward-Looking Information

This news release contains "forward–looking information or statements" within the meaning of applicable securities laws, which may include, without limitation, statements that address additional drilling and work expected to be completed in 2022, and the expected outcomes, other statements relating to the technical, financial and business prospects of the Company, its projects and other matters. All statements in this news release, other than statements of historical facts, that address events or developments that the Company expects to occur, are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Such statements and information are based on numerous assumptions regarding present and future business strategies and the environment in which the Company will operate in the future, including the price of metals, the ability to achieve its goals, the ability to secure equipment and personnel to carry out work programs, that general business and economic conditions will not change in a material adverse manner, that financing will be available if and when needed and on reasonable terms. Such forward-looking information reflects the Company's views with respect to future events and is subject to risks, uncertainties and assumptions, including the risks and uncertainties relating to the interpretation of exploration results, risks related to the inherent uncertainty of exploration and cost estimates and the potential for unexpected costs and expenses and those other risks filed under the Company's profile on SEDAR at www.sedar.com . There is a possibility that future exploration, development or mining results will not be consistent with the Company's expectations. Factors that could cause actual results to differ materially from those in forward looking statements include, but are not limited to, continued availability of capital and financing and general economic, market or business conditions, failure to secure personnel and equipment for work programs, adverse weather and climate conditions, failure to maintain all necessary government permits, approvals and authorizations, the impact of Covid-19 or other viruses and diseases on the Company's ability to operate, decrease in the price of gold and other metals, failure to maintain community acceptance (including First Nations), increase in costs, litigation, and failure of counterparties to perform their contractual obligations. The Company does not undertake to update forward–looking statements or forward–looking information, except as required by law.

SOURCE SKRR Exploration Inc.

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Riley Gaines Explains How Women’s Sports Are Rigged To Promote The Trans Agenda

Riley Gaines Explains How Women’s Sports Are Rigged To Promote The Trans Agenda

Is there a light forming when it comes to the long, dark and…

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2 hours ago

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March 13, 2024

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Riley Gaines Explains How Women's Sports Are Rigged To Promote The Trans Agenda

Is there a light forming when it comes to the long, dark and bewildering tunnel of social justice cultism?  Global events have been so frenetic that many people might not remember, but only a couple years ago Big Tech companies and numerous governments were openly aligned in favor of mass censorship.  Not just to prevent the public from investigating the facts surrounding the pandemic farce, but to silence anyone questioning the validity of woke concepts like trans ideology. 

From 2020-2022 was the closest the west has come in a long time to a complete erasure of freedom of speech.  Even today there are still countries and Europe and places like Canada or Australia that are charging forward with draconian speech laws.  The phrase "radical speech" is starting to circulate within pro-censorship circles in reference to any platform where people are allowed to talk critically.  What is radical speech?  Basically, it's any discussion that runs contrary to the beliefs of the political left.

Open hatred of moderate or conservative ideals is perfectly acceptable, but don't ever shine a negative light on woke activism, or you might be a terrorist.

Riley Gaines has experienced this double standard first hand.  She was even assaulted and taken hostage at an event in 2023 at San Francisco State University when leftists protester tried to trap her in a room and demanded she "pay them to let her go."  Campus police allegedly witnessed the incident but charges were never filed and surveillance footage from the college was never released.  

It's probably the last thing a champion female swimmer ever expects, but her head-on collision with the trans movement and the institutional conspiracy to push it on the public forced her to become a counter-culture voice of reason rather than just an athlete.

For years the independent media argued that no matter how much we expose the insanity of men posing as women to compete and dominate women's sports, nothing will really change until the real female athletes speak up and fight back.  Riley Gaines and those like her represent that necessary rebellion and a desperately needed return to common sense and reason.

In a recent interview on the Joe Rogan Podcast, Gaines related some interesting information on the inner workings of the NCAA and the subversive schemes surrounding trans athletes.  Not only were women participants essentially strong-armed by colleges and officials into quietly going along with the program, there was also a concerted propaganda effort.  Competition ceremonies were rigged as vehicles for promoting trans athletes over everyone else. 

The bottom line?  The competitions didn't matter.  The real women and their achievements didn't matter.  The only thing that mattered to officials were the photo ops; dudes pretending to be chicks posing with awards for the gushing corporate media.  The agenda took precedence.

Lia Thomas, formerly known as William Thomas, was more than an activist invading female sports, he was also apparently a science project fostered and protected by the athletic establishment.  It's important to understand that the political left does not care about female athletes.  They do not care about women's sports.  They don't care about the integrity of the environments they co-opt.  Their only goal is to identify viable platforms with social impact and take control of them.  Women's sports are seen as a vehicle for public indoctrination, nothing more.

The reasons why they covet women's sports are varied, but a primary motive is the desire to assert the fallacy that men and women are "the same" psychologically as well as physically.  They want the deconstruction of biological sex and identity as nothing more than "social constructs" subject to personal preference.  If they can destroy what it means to be a man or a woman, they can destroy the very foundations of relationships, families and even procreation.  

For now it seems as though the trans agenda is hitting a wall with much of the public aware of it and less afraid to criticize it.  Social media companies might be able to silence some people, but they can't silence everyone.  However, there is still a significant threat as the movement continues to target children through the public education system and women's sports are not out of the woods yet.   

The ultimate solution is for women athletes around the world to organize and widely refuse to participate in any competitions in which biological men are allowed.  The only way to save women's sports is for women to be willing to end them, at least until institutions that put doctrine ahead of logic are made irrelevant.          

Tyler Durden Wed, 03/13/2024 - 17:20

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Congress’ failure so far to deliver on promise of tens of billions in new research spending threatens America’s long-term economic competitiveness

A deal that avoided a shutdown also slashed spending for the National Science Foundation, putting it billions below a congressional target intended to…

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March 13, 2024

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Science is again on the chopping block on Capitol Hill. AP Photo/Sait Serkan Gurbuz

Federal spending on fundamental scientific research is pivotal to America’s long-term economic competitiveness and growth. But less than two years after agreeing the U.S. needed to invest tens of billions of dollars more in basic research than it had been, Congress is already seriously scaling back its plans.

A package of funding bills recently passed by Congress and signed by President Joe Biden on March 9, 2024, cuts the current fiscal year budget for the National Science Foundation, America’s premier basic science research agency, by over 8% relative to last year. That puts the NSF’s current allocation US$6.6 billion below targets Congress set in 2022.

And the president’s budget blueprint for the next fiscal year, released on March 11, doesn’t look much better. Even assuming his request for the NSF is fully funded, it would still, based on my calculations, leave the agency a total of $15 billion behind the plan Congress laid out to help the U.S. keep up with countries such as China that are rapidly increasing their science budgets.

I am a sociologist who studies how research universities contribute to the public good. I’m also the executive director of the Institute for Research on Innovation and Science, a national university consortium whose members share data that helps us understand, explain and work to amplify those benefits.

Our data shows how underfunding basic research, especially in high-priority areas, poses a real threat to the United States’ role as a leader in critical technology areas, forestalls innovation and makes it harder to recruit the skilled workers that high-tech companies need to succeed.

A promised investment

Less than two years ago, in August 2022, university researchers like me had reason to celebrate.

Congress had just passed the bipartisan CHIPS and Science Act. The science part of the law promised one of the biggest federal investments in the National Science Foundation in its 74-year history.

The CHIPS act authorized US$81 billion for the agency, promised to double its budget by 2027 and directed it to “address societal, national, and geostrategic challenges for the benefit of all Americans” by investing in research.

But there was one very big snag. The money still has to be appropriated by Congress every year. Lawmakers haven’t been good at doing that recently. As lawmakers struggle to keep the lights on, fundamental research is quickly becoming a casualty of political dysfunction.

Research’s critical impact

That’s bad because fundamental research matters in more ways than you might expect.

For instance, the basic discoveries that made the COVID-19 vaccine possible stretch back to the early 1960s. Such research investments contribute to the health, wealth and well-being of society, support jobs and regional economies and are vital to the U.S. economy and national security.

Lagging research investment will hurt U.S. leadership in critical technologies such as artificial intelligence, advanced communications, clean energy and biotechnology. Less support means less new research work gets done, fewer new researchers are trained and important new discoveries are made elsewhere.

But disrupting federal research funding also directly affects people’s jobs, lives and the economy.

Businesses nationwide thrive by selling the goods and services – everything from pipettes and biological specimens to notebooks and plane tickets – that are necessary for research. Those vendors include high-tech startups, manufacturers, contractors and even Main Street businesses like your local hardware store. They employ your neighbors and friends and contribute to the economic health of your hometown and the nation.

Nearly a third of the $10 billion in federal research funds that 26 of the universities in our consortium used in 2022 directly supported U.S. employers, including:

  • A Detroit welding shop that sells gases many labs use in experiments funded by the National Institutes of Health, National Science Foundation, Department of Defense and Department of Energy.

  • A Dallas-based construction company that is building an advanced vaccine and drug development facility paid for by the Department of Health and Human Services.

  • More than a dozen Utah businesses, including surveyors, engineers and construction and trucking companies, working on a Department of Energy project to develop breakthroughs in geothermal energy.

When Congress shortchanges basic research, it also damages businesses like these and people you might not usually associate with academic science and engineering. Construction and manufacturing companies earn more than $2 billion each year from federally funded research done by our consortium’s members.

A lag or cut in federal research funding would harm U.S. competitiveness in critical advanced technologies such as artificial intelligence and robotics. Hispanolistic/E+ via Getty Images

Jobs and innovation

Disrupting or decreasing research funding also slows the flow of STEM – science, technology, engineering and math – talent from universities to American businesses. Highly trained people are essential to corporate innovation and to U.S. leadership in key fields, such as AI, where companies depend on hiring to secure research expertise.

In 2022, federal research grants paid wages for about 122,500 people at universities that shared data with my institute. More than half of them were students or trainees. Our data shows that they go on to many types of jobs but are particularly important for leading tech companies such as Google, Amazon, Apple, Facebook and Intel.

That same data lets me estimate that over 300,000 people who worked at U.S. universities in 2022 were paid by federal research funds. Threats to federal research investments put academic jobs at risk. They also hurt private sector innovation because even the most successful companies need to hire people with expert research skills. Most people learn those skills by working on university research projects, and most of those projects are federally funded.

High stakes

If Congress doesn’t move to fund fundamental science research to meet CHIPS and Science Act targets – and make up for the $11.6 billion it’s already behind schedule – the long-term consequences for American competitiveness could be serious.

Over time, companies would see fewer skilled job candidates, and academic and corporate researchers would produce fewer discoveries. Fewer high-tech startups would mean slower economic growth. America would become less competitive in the age of AI. This would turn one of the fears that led lawmakers to pass the CHIPS and Science Act into a reality.

Ultimately, it’s up to lawmakers to decide whether to fulfill their promise to invest more in the research that supports jobs across the economy and in American innovation, competitiveness and economic growth. So far, that promise is looking pretty fragile.

This is an updated version of an article originally published on Jan. 16, 2024.

Jason Owen-Smith receives research support from the National Science Foundation, the National Institutes of Health, the Alfred P. Sloan Foundation and Wellcome Leap.

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What’s Driving Industrial Development in the Southwest U.S.

The post-COVID-19 pandemic pipeline, supply imbalances, investment and construction challenges: these are just a few of the topics address by a powerhouse…

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March 13, 2024

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The post-COVID-19 pandemic pipeline, supply imbalances, investment and construction challenges: these are just a few of the topics address by a powerhouse panel of executives in industrial real estate this week at NAIOP’s I.CON West in Long Beach, California. Led by Dawn McCombs, principal and Denver lead industrial specialist for Avison Young, the panel tackled some of the biggest issues facing the sector in the Western U.S. 

Starting with the pandemic in 2020 and continuing through 2022, McCombs said, the industrial sector experienced a huge surge in demand, resulting in historic vacancies, rent growth and record deliveries. Operating fundamentals began to normalize in 2023 and construction starts declined, certainly impacting vacancy and absorption moving forward.  

“Development starts dropped by 65% year-over-year across the U.S. last year. In Q4, we were down 25% from pre-COVID norms,” began Megan Creecy-Herman, president, U.S. West Region, Prologis, noting that all of that is setting us up to see an improvement of fundamentals in the market. “U.S. vacancy ended 2023 at about 5%, which is very healthy.” 

Vacancies are expected to grow in Q1 and Q2, peaking mid-year at around 7%. Creecy-Herman expects to see an increase in absorption as customers begin to have confidence in the economy, and everyone gets some certainty on what the Fed does with interest rates. 

“It’s an interesting dynamic to see such a great increase in rents, which have almost doubled in some markets,” said Reon Roski, CEO, Majestic Realty Co. “It’s healthy to see a slowing down… before [rents] go back up.” 

Pre-pandemic, a lot of markets were used to 4-5% vacancy, said Brooke Birtcher Gustafson, fifth-generation president of Birtcher Development. “Everyone was a little tepid about where things are headed with a mediocre outlook for 2024, but much of this is normalizing in the Southwest markets.”  

McCombs asked the panel where their companies found themselves in the construction pipeline when the Fed raised rates in 2022.   

In Salt Lake City, said Angela Eldredge, chief operations officer at Price Real Estate, there is a typical 12-18-month lead time on construction materials. “As rates started to rise in 2022, lots of permits had already been pulled and construction starts were beginning, so those project deliveries were in fall 2023. [The slowdown] was good for our market because it kept rates high, vacancies lower and helped normalize the market to a healthy pace.” 

A supply imbalance can stress any market, and Gustafson joked that the current imbalance reminded her of a favorite quote from the movie Super Troopers: “Desperation is a stinky cologne.” “We’re all still a little crazed where this imbalance has put us, but for the patient investor and owner, there will be a rebalancing and opportunity for the good quality real estate to pass the sniff test,” she said.  

At Bircher, Gustafson said that mid-pandemic, there were predictions that one billion square feet of new product would be required to meet tenant demand, e-commerce growth and safety stock. That transition opened a great opportunity for investors to run at the goal. “In California, the entitlement process is lengthy, around 24-36 months to get from the start of an acquisition to the completion of a building,” she said. Fast forward to 2023-2024, a lot of what is being delivered in 2024 is the result of that chase.  

“Being an optimistic developer, there is good news. The supply imbalance helped normalize what was an unsustainable surge in rents and land values,” she said. “It allowed corporate heads of real estate to proactively evaluate growth opportunities, opened the door for contrarian investors to land bank as values drop, and provided tenants with options as there is more product. Investment goals and strategies have shifted, and that’s created opportunity for buyers.” 

“Developers only know how to run and develop as much as we can,” said Roski. “There are certain times in cycles that we are forced to slow down, which is a good thing. In the last few years, Majestic has delivered 12-14 million square feet, and this year we are developing 6-8 million square feet. It’s all part of the cycle.”  

Creecy-Herman noted that compared to the other asset classes and opportunities out there, including office and multifamily, industrial remains much more attractive for investment. “That was absolutely one of the things that underpinned the amount of investment we saw in a relatively short time period,” she said.  

Market rent growth across Los Angeles, Inland Empire and Orange County moved up more than 100% in a 24-month period. That created opportunities for landlords to flexible as they’re filling up their buildings. “Normalizing can be uncomfortable especially after that kind of historic high, but at the same time it’s setting us up for strong years ahead,” she said. 

Issues that owners and landlords are facing with not as much movement in the market is driving a change in strategy, noted Gustafson. “Comps are all over the place,” she said. “You have to dive deep into every single deal that is done to understand it and how investment strategies are changing.” 

Tenants experienced a variety of challenges in the pandemic years, from supply chain to labor shortages on the negative side, to increased demand for products on the positive, McCombs noted.  

“Prologis has about 6,700 customers around the world, from small to large, and the universal lesson [from the pandemic] is taking a more conservative posture on inventories,” Creecy-Herman said. “Customers are beefing up inventories, and that conservatism in the supply chain is a lesson learned that’s going to stick with us for a long time.” She noted that the company has plenty of clients who want to take more space but are waiting on more certainty from the broader economy.  

“E-commerce grew by 8% last year, and we think that’s going to accelerate to 10% this year. This is still less than 25% of all retail sales, so the acceleration we’re going to see in e-commerce… is going to drive the business forward for a long time,” she said. 

Roski noted that customers continually re-evaluate their warehouse locations, expanding during the pandemic and now consolidating but staying within one delivery day of vast consumer bases.  

“This is a generational change,” said Creecy-Herman. “Millions of young consumers have one-day delivery as a baseline for their shopping experience. Think of what this means for our business long term to help our customers meet these expectations.” 

McCombs asked the panelists what kind of leasing activity they are experiencing as a return to normalcy is expected in 2024. 

“During the pandemic, shifts in the ports and supply chain created a build up along the Mexican border,” said Roski, noting border towns’ importance to increased manufacturing in Mexico. A shift of populations out of California and into Arizona, Nevada, Texas and Florida have resulted in an expansion of warehouses in those markets. 

Eldridge said that Salt Lake City’s “sweet spot” is 100-200 million square feet, noting that the market is best described as a mid-box distribution hub that is close to California and Midwest markets. “Our location opens up the entire U.S. to our market, and it’s continuing to grow,” she said.   

The recent supply chain and West Coast port clogs prompted significant investment in nearshoring and port improvements. “Ports are always changing,” said Roski, listing a looming strike at East Coast ports, challenges with pirates in the Suez Canal, and water issues in the Panama Canal. “Companies used to fix on one port and that’s where they’d bring in their imports, but now see they need to be [bring product] in a couple of places.” 

“Laredo, [Texas,] is one of the largest ports in the U.S., and there’s no water. It’s trucks coming across the border. Companies have learned to be nimble and not focused on one area,” she said. 

“All of the markets in the southwest are becoming more interconnected and interdependent than they were previously,” Creecy-Herman said. “In Southern California, there are 10 markets within 500 miles with over 25 million consumers who spend, on average, 10% more than typical U.S. consumers.” Combined with the port complex, those fundamentals aren’t changing. Creecy-Herman noted that it’s less of a California exodus than it is a complementary strategy where customers are taking space in other markets as they grow. In the last 10 years, she noted there has been significant maturation of markets such as Las Vegas and Phoenix. As they’ve become more diversified, customers want to have a presence there. 

In the last decade, Gustafson said, the consumer base has shifted. Tenants continue to change strategies to adapt, such as hub-and-spoke approaches.  From an investment perspective, she said that strategies change weekly in response to market dynamics that are unprecedented.  

McCombs said that construction challenges and utility constraints have been compounded by increased demand for water and power. 

“Those are big issues from the beginning when we’re deciding on whether to buy the dirt, and another decision during construction,” Roski said. “In some markets, we order transformers more than a year before they are needed. Otherwise, the time comes [to use them] and we can’t get them. It’s a new dynamic of how leases are structured because it’s something that’s out of our control.” She noted that it’s becoming a bigger issue with electrification of cars, trucks and real estate, and the U.S. power grid is not prepared to handle it.  

Salt Lake City’s land constraints play a role in site selection, said Eldridge. “Land values of areas near water are skyrocketing.” 

The panelists agreed that a favorable outlook is ahead for 2024, and today’s rebalancing will drive a healthy industry in the future as demand and rates return to normalized levels, creating opportunities for investors, developers and tenants.  

This post is brought to you by JLL, the social media and conference blog sponsor of NAIOP’s I.CON West 2024. Learn more about JLL at www.us.jll.com or www.jll.ca.

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