International Mining Investment - Factors Affecting Country Selection\

In recent years there has been a trend among mining companies to diversify exploration and development away from the countries that have dominated mining activity for the latter half of this century. With some exceptions, this trend is accelerating and is a function of the recognition that many parts of the world, with no previous exposure to modern exploration, are endowed with considerable mineral potential. In addition coincident with changing political and economic circumstances, many countries have recognised the benefits of attracting international mining investment and have radically changed policies, fiscal and legal regimes so as to encourage exploration and mining. Some countries, however, have not readily accepted mining for cultural or social reasons and have yet to make effective changes to mining legislation. For historical reasons, other countries may have little or no direct experience of western economics, nor may they fully recognise the need for stability and competitive fiscal and legal systems to attract foreign investment. Not all ventures in new countries have been commercial successes and there have been some lamentable and recent lapses from grace. Company strategies, company standards and management objectives can also vary widely from company to company. What may be an acceptable risk or rate of return for one may be completely