Asia’s mining sector offsets risk with reward — report

Asia's mining sector continues to hold the greatest rewards globally, with positive business environments, rich mineral deposits, supportive infrastructure and political stability in countries holding the top positions in Fitch Solutions' Asia Mining Risk/Reward Index.

The analyst’s latest report, released Thursday, revealed that Australia continues to reign at the top, while Myanmar and the Philippines, in an emerging Asian market, remain the regional laggards.

Factors enabling Australia's outperformance include positive business environment, robust mineral deposits and solid infrastructure. Contrary to the high scores for rewards, the Asia region ranks second lowest for industry risks

Mongolia emerged as an investment hot spot for untapped reserves, and the availability of rich reserves will continue to attract investors.

Contrary to the high scores for rewards, the Asia region ranks second lowest for industry risks, just above Sub Saharan Africa, Fitch reports.

This partly is due to Asia having the second greatest vulnerability to commodity price volatility globally, after the Middle East and North Africa (MENA), which measures the relative vulnerability to price volatility by country according to the three largest mining commodities produced locally.

Globally, Asia has the second highest score, after Europe, on the Mining Risk/Reward Index, with a score of 55.1, maintaining its position from last quarter. Asia stands out with the highest average industry rewards due to having the largest mining sector size globally.

Emerging markets including Myanmar and the Philippines will continue to underperform, Fitch predicts. The two countries are characterised by weak mining reserves, poor regulatory framework, corruption and increasing resource nationalism.

News No: 4333
Date: 2019/04/12 - 14:47
News Source: MINING.COM

Asia  mining  Middle East  Australia  MENA 


Leave a Comment:


Gran Colombia to use machine learning at Segovia operation

GoldSpot Discoveries (TSXV: SPOT) and Gran Colombia Gold (TSX: GCM) announced that they have established a partnership to use machine learning to identify new drilling targets at the Segovia operation located in the Segovia-Remedios mining district of Antioquia, northwestern Colombia.

Australia to host battery research centre

Australia's Federal Minister for Industry, Science and Technology, Karen Andrews, announced the approval of a Future Battery Industries Cooperative Research Centre (CRC) at Curtin University in Perth. Andrews also said her office will commit A$25 million in funding.

Coal's collapse crowns winners and losers from China to the US

It’s been a stormy month for benchmark coal prices in Asia, with the potential for reverberations across the globe.

Lynas board turns down $1.1B Wesfarmers bid

Australian rare earths miner Lynas Corp (ASX: LYC) said Wednesday its board has rejected a A$1.5bn (about $1.1B) takeover proposal from Australian retail and industrial conglomerate Wesfarmers.

Wagon Pars Built 297 Passenger, Freight Cars Last Year

Iranian rolling stock manufacturer, Wagon Pars Company, built 290 freight and seven passenger wagons in the last Iranian year (March 2018-19) at a cost of 812 billion rials ($6 million), the company’s CEO said.

Kuwait Says May Back Extension of OPEC-Led Cuts

Kuwait will back an extension of OPEC-led production cuts beyond June if it's clear supply and demand factors warrant it, Haitham al-Ghais, Kuwait Petroleum Corp's manager for market research and the country's OPEC governor, said Wednesday.
Upcoming Events
 Mines & Metals

Mine & Business Today

 Scrap & Recycling


Our partners