FRASER INSTITUTE ANNUAL
Survey of Mining Companies
2012/2013
by Alana Wilson, Fred McMahon, and Miguel Cervantes Survey Director: Kenneth P. Green
About The Fraser Institute The Fraser Institute’s vision is a free and prosperous world where individuals benefit from greater choice, competitive markets, and personal responsibility. Our mission is to measure, study, and communicate the impact of competitive markets and government interventions on the welfare of individuals. Founded in 1974, we are an independent research and educational organization with locations throughout North America, and international partners in over 80 countries. Our work is financed by tax-deductible contributions from thousands of individuals, organizations, and foundations. In order to protect its independence, the Institute does not accept grants from government or contracts for research.
Media For media inquiries, please contact our Communications Department telephone: 604.714.4582; e-mail: communications@fraserinstitute.org
Disclaimer The coordinators of this survey have worked independently and opinions expressed by them are, therefore, their own, and do not necessarily reflect the opinions of the supporters, trustees, or other staff of the Fraser Institute. This publication in no way implies that the Fraser Institute, its trustees, or staff are in favor of, or oppose the passage of, any bill; or that they support or oppose any particular political party or candidate.
Copyright Copyright © 2013 by the Fraser Institute. All rights reserved. No part of this publication may be reproduced in any manner whatsoever without written permission except in the case of brief passages quoted in critical articles and reviews.
Date of issue February 2013
Editing, design, and production Kristin McCahon
Cover Design by Bill Ray. Cover images: Chief miner… © Fotolia, Zentimeter; Coal train © Bigstock, bsauter; open pit (no title) © Flickr (commons), Uncle Kick-Kick; gemstones (no title) © Flickr (commons), RocksInMyHead For additional copies of this survey, or for copies of previous years’ surveys, please call: The Fraser Institute, 4th Floor, 1770 Burrard Street, Vancouver, BC, Canada V6J 3G7 Phone: (604) 688-0221, ext. 580; call toll-free: 1-800-665-3558, ext. 580; or e-mail sales@fraserinstitute.org
Table of Contents
Survey information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4
Acknowledgements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4
Executive summary—2012/2013 mining survey . . . . . . . . . . . . . . .
5
Survey methodology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
8
Summary indexes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
11
Explanation of the figures . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 Global survey rankings . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
26
Global results . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 Investment patterns . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
65
Appendix: Tabular material . . . . . . . . . . . . . . . . . . . . . . . . . .
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About the authors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 132 Supporting the Fraser Institute
. . . . . . . . . . . . . . . . . . . . . . .
133
Purpose, funding, and independence . . . . . . . . . . . . . . . . . . . .
133
Lifetime Patrons . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
134
Editorial Advisory Board . . . . . . . . . . . . . . . . . . . . . . . . . . .
134
Survey information The Fraser Institute Annual Survey of Mining Companies was sent to approximately 4,100 exploration, development, and other mining-related companies around the world. Several mining publications and associations also helped publicize the survey. (Please see the acknowledgements.) The
survey, conducted from October 9, 2012, to January 6, 2013, represents responses from 742 of those companies. The companies participating in the survey reported exploration spending of US$6.2 billion in 2012 and US$5.4 billion in 2011.
Acknowledgements We would like to thank the hundreds of members of the mining community who have responded to the survey this year and in previous years. You do a service to your industry by providing such valuable information. We would also like to thank the Prospectors and Developers Association of Canada (PDAC), whose generous support makes this survey possible. We also owe a debt of gratitude to a number of mining as so ci a tions and pub li ca tions that gen er ously helped inform their readers and members of the opportunity to participate in the survey. These include: Association for Mineral Exploration BC, Asociación Nacional de Minería Metálica de Honduras, ANDI Cámara Asomineros—Bogotá, the Australasian Institute of Mining & Metallurgy, the Australian Coal Association, Camara Empresaria Minera de Córdoba, Camara Minera de Jujuy,
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Camára Minera de Panamá (CAMPIRA), Chamber of Mines Zimbabwe, Central Asian Free Market Cen ter, The CRU, Fédération des minerais, minéraux industriels et métaux non ferreux, Global Mining Association of China, Guyana Gold & Diamond Miners Association, Hungarian Mining As so ci a tion, MineAfrica Inc. and On the Ground Group, Mining Industry NL, the NWT & Nunavut Chamber of Mines, the Oriental Mining Club, Utah Mining Association, SERCITEC, Arizona Geology, Asia Miner, Coal Age Asia, Mining Business Media, MiningIQ, Mining Press, Mining Weekly, Republic of Mining, and, I Think Mining. We would like to thank Roberto Roca-Paz and POPULI, Bolivia, for providing research assistance. We would also like to thank then Executive Director Michael Walker and Laura Jones for conceptualizing this project 15 years ago.
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Executive summary—2012/2013 mining survey This report presents the results of the Fraser Institute’s 2012/2013 annual survey of mining and explo ra tion com pa nies to as sess how min eral endowments and public policy factors such as taxation and regulation affect exploration investment. The survey responses have been tallied to rank provinces, states, and countries according to the extent that public policy factors encourage or discourage investment. Policy factors examined include uncertainty concerning the administration of current regulations and environmental regulations, regulatory duplication, the legal system and taxation regime, uncertainty concerning protected areas and disputed land claims, infrastructure, socioeconomic and community development conditions, trade barriers, political stability, labour regulations, quality of geological database, security, labour and skills supply, corruption, and uncertainty. Investment intentions and commodity price expectations are also examined. A total of 742 responses were received for the survey, providing sufficient data to evaluate 96 jurisdictions. By way of comparison, 93 jurisdictions were evaluated in 2011/2012, 79 in 2010/2011, and 72 in 2009/2010. Jurisdictions are evaluated on every continent except Antarctica, including sub-national jurisdictions in Canada, Australia, the United States, and Argentina. This year, French Guiana, Greece, Serbia, and the sub-national jurisdictions of La Rioja and Neuquen in Argentina were added to the survey.
The rankings The Policy Potential Index (PPI) is a composite index, measuring the overall policy attractiveness of
2012/2013 Survey of Mining Companies
the 96 jurisdictions in the survey. The index is composed of survey responses to 15 policy factors that affect investment decisions. The PPI is normalized to a maximum score of 100.
The top No nation scored first in all categories. Finland had the highest PPI score of 95.5. Along with Finland, the top 10 ranked jurisdictions are Sweden, Alberta, New Brunswick, Wyoming, Ireland, Nevada, Yukon, Utah, and Norway. All were in the top 10 last year except for Utah and Norway. Yukon was the first Canadian territory to make the top 10 in 2011/2012. Both Quebec and Saskatchewan fell out of the top 10 in 2012/2013. Chile, which had previously been the only jurisdiction outside North America consistently in the top 10 over the life of the survey, has continued to fall in the rankings—to 23rd place in this survey. Norway rose to 10th in the rankings from 24th in 2011/2012, and Sweden and Finland have now been in the top 10 for the last three and four years, respectively.
The bottom The 10 least attractive jurisdictions for investment based on the PPI rankings are (starting with the worst) Indonesia, Vietnam, Venezuela, DRC (Congo), Kyrgyzstan, Zimbabwe, Bolivia, Guatemala, Philippines, and Greece. All of these jurisdictions were in the bottom 10 last year with the exception of DRC (Congo), Greece, and Zimbabwe. Greece was a new addition to the survey in 2012/2013. Both the DRC (Congo) and Zimbabwe dropped significantly in the rankings this year, with DRC (Congo) falling from 76th to 93rd, and Zimbabwe from 74th to 91st. Hon-
5
duras and India moved out of the bottom 10 in 2012/2013. Honduras’ ranking improved from last spot (93rd) in 2011/2012 to 83rd, while India moved from 89th to 81st.
Regional highlights Canada Canada’s average PPI score improved slightly, although a Canadian jurisdiction did not rank first in the survey for the first time since 2006/2007. Both Quebec and Saskatchewan dropped out of the top 10 in the rankings, to 11th and 13th respectively. The Canadian territories (Yukon, Nunavut, and the Northwest Territories) all improved their PPI scores. In fact, the Northwest Territories had the greatest improvement in score and rank amongst Canadian jurisdictions. Comments from miners suggest that while Canadian jurisdictions remain competitive globally, uncertainties with Aboriginal consultation and disputed land claims are growing concerns for some.
PPI and ranking while Tasmania dropped most significantly. New Zealand’s PPI score and ranking also declined slightly, breaking a trend that has seen it improving steadily over the last five years. Indonesia dropped the most in the rankings for Oceania to last place in this year’s survey (96th) while the Philippines remained at 88th, also in the bottom 10. Comments about these jurisdictions were a mixture of positive and negative, although many of the miners’ concerns related to uncertainties and, in particular, the permitting process.
Africa Africa’s average PPI score decreased, continuing a five-year declining trend. Mali’s rank dropped the most, followed by Madagascar. Mauritania and Namibia improved most significantly, while Botswana remained the highest ranked jurisdiction (17th) on the continent. Comments for African jurisdictions were split among concerns for political stability and uncertainty in several nations, and praise for stability and policies in others.
United States The average PPI in the US declined slightly, though overall, it has increased over the last five years. Minnesota and Michigan had the largest decrease in their scores and ranking, while Utah and Alaska improved the most. Several comments noted stability and favourable regulations, although some miners also noted challenges to mining based on environmental concerns.
Australia and Oceania The average PPI for Australia declined in 2012/ 2013, although there has been an improving trend over the last five years. Western Australia remains the country’s top-ranked jurisdiction (15th). Victoria had the greatest improvement in the country’s
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Argentina, Latin America, and the Caribbean Argentina’s average PPI score improved significantly with most jurisdictions improving their score and Rio Negro, Catamarca, and Salta improving most significantly. Chile remains the topranked jurisdiction in this region, although it again dropped in this year’s rankings—this time to 23rd. Guyana’s score dropped most significantly while the rankings for Panama and Honduras recovered. Comments for the region showed concern for resource nationalism and mining opposition in some areas, while policies to formalize informal miners (Peru) and to redistribute mining royalties to the local level were positively received by some miners.
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Eurasia The average PPI score for Eurasia didn’t change significantly, although Nordic jurisdictions (Finland, Greenland, Norway, and Sweden) performed very well. Finland took the survey’s top rank and Sweden and Norway were also in the top 10. In the Eurasian region, Norway, India, and Turkey improved most significantly in the survey rankings. China had the most significant drop in score and rank followed by Poland. Miners expressed concerns about uncertainty and lack of stability in mining policy in several Eurasian jurisdictions, but commented more favourably on Ireland and the Nordic countries.
Investment intentions To tal ex plo ra tion bud gets in 2012/2013 increased from 2011/2012 and just over half of respondents reported increasing their exploration budgets over the last five years. However, only 46% of respondents plan to increase their exploration budgets in 2013.
2012/2013 Survey of Mining Companies
Miners continue to be pessimistic about short-term commodity prices; more than half of the survey’s respondents expected small increases (less than 10%) or reduced prices for diamonds, coal, nickel, zinc, copper, potash, platinum, and silver over the next two years. Only gold was expected to increase in value by more than 20% over the next two years by a majority of respondents. Given the positive expectations for the price of gold, it is unsurprising that gold continues to be the commodity assigned the largest proportion of respondents’ budgets. Miners were somewhat more optimistic about long-term commodity prices; most respondents expected stable or moderate increases (up to 15%) in inflation-adjusted commodity prices over the next 10 years. Finally, respondents were asked about the challenges of raising funds compared with two years ago. Over 90% of respondents somewhat or fully agreed that it was currently more difficult to raise funds, with a majority believing that the reason for this difficulty was investors being worried about the state of the world economy or being risk averse and seeing mining as risky.
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Survey methodology Survey background The mining industry is an important contributor to the economy in Canada. It provides not only materials essential for all sectors of the economy, but also employment and government revenues. Mining contributes to economic growth worldwide and Canadian mining companies operate in jurisdictions around the world. While mineral potential is obviously a very important consideration in encouraging or dissuading mining investment, the impact of government policies can be significant. The effects of policy on deterring exploration investment may not be immediately apparent due to the lag time between when policy changes are implemented and when economic activity is impeded and job losses occur. Many regions around the world have attractive geology and competitive policies, allowing exploration investment to be shifted away from jurisdictions with unattractive policies. Since 1997, the Fraser Institute has conducted an annual survey of mining and exploration companies to assess how mineral endowments and public policy factors such as taxation and regulation affect exploration investment. The motivation for the survey came from a Fraser Institute conference on mining held in Vancouver, Canada, in the fall of 1996. The comments and feedback from the conference showed that the mining industry was dissatisfied with gov ern ment pol i cies that de terred exploration investment within the mineral-rich province of British Columbia. However, this dissatisfaction was not being measured and mining companies were reluctant to be publicly critical of government and policies.
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In order to address this problem and assess how various public policy factors influence companies’ decisions to invest in different regions, the Fraser Institute began conducting an anonymous survey of senior and junior companies in 1997. The first survey included all Canadian provinces and territories. The second survey, conducted in 1998, added 17 US states, Mexico, and for comparison with North American jurisdictions, Chile. The third survey, conducted in 1999, was further expanded to include Argentina, Australia, Peru, and Nunavut. The survey now includes 96 jurisdictions from all continents except Antarctica. This year, French Guiana, Greece, Serbia, and the sub-national jurisdictions of La Rioja and Neuquen in Argentina were added to the survey. Missouri and Laos were dropped due to insufficient survey response. Jurisdictions are added to the survey based on the interests expressed by survey respondents. This survey is published annually and we strive to make the results available and accessible to an increasingly global audience. The Fraser Institute’s mining survey is an informal survey that attempts to assess the perceptions of mining company executives with regard to various areas of optimal and sub-optimal public policies that might affect the hospitality of a jurisdiction to mining investment. Given the very broad circulation that the survey receives, the extensive press coverage that it receives, and positive feedback about the survey’s utility from miners, investors, and policymakers, we believe that the survey captures, in broad strokes, the perceptions of those involved in both mining and the regulation of mining in the jurisdictions included in the survey.
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Sample design The survey is designed to identify the provinces, states, and countries that have the most attractive policies to encourage investment in mining exploration and production. Jurisdictions assessed by investors as relatively unattractive may therefore be prompted to consider reforms that would improve their ranking. Presumably, mining companies use the information that is provided to corroborate their own assessments and to identify jurisdictions where the business conditions and regulatory environment are most attractive for investment. The survey results are also a useful source of information for the media, providing independent information as to how particular jurisdictions compare. The survey was distributed to approximately 4,100 managers and executives around the world in companies involved in mining exploration, development, and other related activities. The names of potential respondents were compiled from commercially available lists, publicly available membership lists of trade associations, and other sources. Several mining publications and associations also helped publicize the survey. (Please see the acknowledgements). The survey was conducted from October 9, 2012 to January 6, 2013. A total of 742 responses were received from individuals, of whom 639 completed the full survey and 103 completed part of the survey. As figure 1 illustrates, over half of the respondents are either the company president or vice-president, and a further 25% are either managers or senior managers. The companies that participated in the survey reported exploration spending of US$6.2 billion in 2012 and US$5.4 billion in 2011. Figure 2 shows that over half of the 2012/2013 survey respondents represent an exploration company.
2012/2013 Survey of Mining Companies
Figure 1: The position survey respondents hold in their company, 2012/2013 Vice president: 16% Manager: 16%
Other senior management 9%
Consultant: 6% Company president: 42%
Other: 12%
Figure 2: Company focus as indicated by respondents, 2012/2013 Exploration company: 54%
Producer company with less than US$50M: 6%
Other: 9% Consulting company: 12%
Producer company with more than US$50M: 20%
Just over a quarter of the respondents represent producer companies, and the final 21% is made up of consulting and other companies.
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Survey questionnaire The survey was designed to capture the opinions of managers and executives regarding the level of investment barriers in jurisdictions in which their companies were familiar. Respondents were asked to indicate how each of the 17 policy factors below influence company decisions to invest in various jurisdictions. 1.
2.
Uncertainty concerning the administration, interpretation, or enforcement of existing regulations; Uncertainty concerning environmental regulations (stability of regulations, consistency and timeliness of regulatory process, regulations not based on science);
11. Political stability; 12. Labour regulations/employment agreements and labour militancy/work disruptions; 13. Quality of the geological database (includes quality and scale of maps, ease of access to information, etc.); 14. Level of security (includes physical security due to the threat of attack by terrorists, criminals, guerrilla groups, etc.); 15. Availability of labour/skills; 16. Level of corruption (or honesty); 17. Growing (or lessening) uncertainty in mining policy and implementation. Respondents were asked to score only jurisdictions with which they were familiar and only on those policy factors with which they were familiar. Policy questions were unchanged from 2011/2012. For each of the 17 factors, respondents were asked to select one of the following five responses that best described each jurisdiction with which they were familiar:
3.
Regulatory duplication and inconsistencies (includes federal/provincial, federal/state, inter-departmental overlap, etc.);
4.
Legal system (legal processes that are fair, transparent, non-corrupt, timely, efficiently administered, etc.)
5.
Taxation regime (includes personal, corporate, payroll, capital, and other taxes, and complexity of tax compliance);
1.
Encourages exploration investment
2.
Not a deterrent to exploration investment
6.
Uncertainty concerning disputed land claims;
3.
7.
Uncertainty concerning what areas will be protected as wilderness, parks, or archeological sites, etc.;
Is a mild deterrent to exploration investment
4.
Is a strong deterrent to exploration investment Would not pursue exploration investment in this region due to this factor
8.
Infrastructure (includes access to roads, power availability, etc.);
5.
9.
Socioeconomic agreements/community development conditions (includes local purchasing or processing requirements, or supplying social infrastructure such as schools or hospitals, etc.);
The survey also included questions on the respondents and their company types; most and least favourable jurisdictions for mining and the reasons why; recommended policy changes in least favourable jurisdiction(s); regulatory horror stories; exemplary policy; the weighting of mineral versus policy factors in investment decisions; and investment patterns.
10. Trade barriers (tariff and non-tariff barriers, restrictions on profit repatriation, currency restrictions, etc.);
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Summary indexes Policy Potential Index (PPI): A comprehensive assessment of the attractiveness of mining policies While geologic and economic evaluations are always requirements for exploration, in today’s globally competitive economy where mining companies may be examining properties located on different continents, a region’s policy climate has taken on increased importance in attracting and winning investment. The Policy Potential Index or PPI (see figure 3 and ta ble 1) pro vides a com prehen sive assessment of the attractiveness of mining policies in a jurisdiction, and can serve as a report card to governments on how attractive their policies are from the point of view of an exploration manager. The Policy Potential Index is a composite index that captures the opinions of managers and executives on the effects of policies in jurisdictions with which they are familiar. All survey policy questions (i.e., uncertainty concerning the administration, interpretation, and enforcement of existing regulations, environmental regulations, regulatory duplication and inconsistencies, taxation, uncertainty concerning disputed land claims and protected areas, infrastructure, socioeconomic agreements, political stability, labor issues, geological database, and security) are included with the exception of corruption and growing or lessening uncertainty. The question on corruption was just introduced last year and shows unusual variability in responses, so we have decided not to include it in the PPI this year. For general information, we have still included the results to the corruption question in the report (see figure 22 and table A18). The question on overall uncertainty is also not included in the PPI, as uncertainty issues are picked up in specific policy areas.
2012/2013 Survey of Mining Companies
The PPI is based on ranks and is calculated so that the maximum scores are 100. Each jurisdiction is ranked in each policy area based on the percentage of respondents who judge that the policy factor in question “encourages investment.” The jurisdiction that receives the highest percentage of “encourages investment” in any policy area is ranked first in that policy area; the jurisdiction that receives the lowest percentage of this response is ranked last. The ranking of each jurisdiction across all policy areas is averaged and normalized to 100. A jurisdiction that ranks first in every category would have a score of 100; one that scored last in every category would have a score of 0.
Current Mineral Potential Index The Current Mineral Potential index (see figure 4 and table 2), is based on respondents’ answers to the question about whether or not a jurisdiction’s mineral potential under the current policy environment (i.e., regulations, land use restrictions, taxation, political risk, and uncertainty) encourages or discourages exploration. Respondents clearly take into account mineral potential, meaning that some jurisdictions that rank high in the Policy Potential Index but have limited hard mineral potential will rank lower in the Current Mineral Potential Index, while jurisdictions with a weak policy environment but strong mineral potential will do better. Nonetheless, there is considerable overlap between this index and the Policy Potential Index, perhaps partly because good policy will encourage exploration, which in turn will increase the known mineral potential.
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Figure 3: Policy Potential Index Finland Sweden Alberta New Brunswick Wyoming Ireland Nevada Yukon Utah Norway Quebec Nova Scotia Saskatchewan Greenland Western Australia Ontario Botswana Newfoundland & Labrador Alaska South Australia Manitoba Northern Territory Chile Victoria Morocco New Zealand French Guiana Arizona Northwest Territories Namibia British Columbia Queensland Michigan Colorado Idaho Mauritania Nunavut Argentina: Salta Argentina: Neuquen Minnesota Argentina: Rio Negro Mexico Argentina: Catamarca New South Wales New Mexico Montana Washington Spain Tasmania Bulgaria Argentina: San Juan Serbia Turkey Ghana Burkina Faso California Poland Peru Zambia Dominican Republic Brazil Argentina: Mendoza Panama South Africa Argentina: Jujuy Colombia Guyana Argentina: Santa Cruz Egypt Niger Suriname China Russia Tanzania Argentina:L a Rioja Guinea (Conakry) Papua New Guinea Argentina: Chubut Mali Kazakhstan India Ecuador Mongolia Honduras Madagascar Romania Greece Philippines Guatemala Bolivia Zimbabwe Kyrgyzstan Democratic Republic of Congo (DRC) Venezuela Vietnam Indonesia 0
12
10
20
30
40
50
60
70
80
90
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100
Table 1: Policy Potential Index Score
Rank
Oceania
Australia
US A
Canada
2012/ 2011/ 2010/ 2009/ 2008/ 2012/ 2011/ 2010/ 2009/ 2008/ 2013 2012 2011 2010 2009 2013 2012 2011 2010 2009 Alberta
92.6
91.5
90.4
89.9
86.4
3/96
3/93
1/79
4/72
4/71
British Columbia
63.6
62.5
54.4
48.7
61.2
31/96
31/93
36/79
38/72
24/71
Manitoba
73.4
74.6
80.3
76.8
79.9
21/96
20/93
9/79
9/72
8/71
New Brunswick
90.8
95.0
67.3
94.1
80.4
4/96
1/93
23/79
2/72
6/71
Newfoundland & Labrador
76.8
77.0
74.6
78.3
84.6
18/96
16/93
13/79
8/72
5/71
NWT
63.7
50.4
40.2
40.0
46.9
29/96
48/93
52/79
50/72
40/71
Nova Scotia
81.8
77.1
68.6
72.6
74.7
12/96
15/93
19/79
15/72
12/71
Nunavut
59.9
58.5
47.6
45.0
44.4
37/96
36/93
44/79
43/72
43/71
Ontario
78.3
79.4
68.7
66.2
75.2
16/96
13/93
18/79
22/72
10/71
Quebec
81.9
89.0
86.5
96.7
96.6
11/96
5/93
4/79
1/72
1/71
Saskatchewan
81.6
88.9
87.5
81.6
79.1
13/96
6/93
3/79
6/72
9/71
Yukon
83.8
83.0
73.0
73.9
72.5
8/96
10/93
15/79
11/72
15/71
Alaska
75.5
67.5
67.6
71.7
66.9
19/96
25/93
21/79
18/72
17/71
Arizona
64.2
65.5
65.9
62.8
59.1
28/96
29/93
25/79
25/72
27/71
California
45.3
45.8
35.1
22.6
36.2
56/96
51/93
56/79
63/72
54/71
Colorado
61.9
60.5
47.0
32.6
49.2
34/96
33/93
46/79
54/72
38/71
Idaho
61.6
66.8
55.7
55.4
50.8
35/96
26/93
33/79
32/72
36/71
Michigan
62.3
72.2
47.9
60.2
*
33/96
23/93
42/79
26/72
*
Minnesota
58.1
72.6
47.3
33.5
49.7
40/96
22/93
45/79
53/72
37/71
Montana
55.9
54.0
40.8
44.0
38.8
46/96
40/93
50/79
46/72
52/71
Nevada
85.3
84.5
89.3
88.8
87.0
7/96
8/93
2/79
5/72
3/71
New Mexico
56.2
54.0
55.0
45.9
31.9
45/96
41/93
34/79
41/72
58/71
Utah
83.8
72.9
85.1
72.6
74.8
9/96
21/93
6/79
15/72
11/71
Washington
55.7
55.1
34.4
31.8
39.6
47/96
39/93
59/79
55/72
51/71
Wyoming
90.1
89.6
77.8
73.1
91.4
5/96
4/93
10/79
13/72
2/71
New South Wales
56.4
62.4
68.2
66.6
61.4
44/96
32/93
20/79
20/72
23/71
Northern Territory
68.5
81.5
62.2
73.0
64.4
22/96
11/93
27/79
14/72
20/71
Queensland
62.8
65.5
52.8
62.9
59.9
32/96
28/93
38/79
24/72
25/71
South Australia
75.5
75.3
75.9
75.9
71.0
20/96
19/93
11/79
10/72
16/71
Tasmania
54.1
64.8
61.3
65.9
55.5
49/96
30/93
28/79
23/72
31/71
Victoria
66.0
52.1
56.9
57.0
57.1
24/96
44/93
31/79
30/72
29/71
Western Australia
79.3
81.5
70.6
67.1
63.4
15/96
12/93
17/79
19/72
21/71
Indonesia
9.4
13.5
22.5
24.7
25.1
96/96
85/93
70/79
62/72
62/71
New Zealand
65.1
65.7
63.4
55.1
43.4
26/96
27/93
26/79
33/72
45/71
Papua New Guinea
26.1
34.3
29.6
31.2
27.3
77/96
66/93
64/79
56/72
61/71
Philippines
14.0
13.0
27.3
14.0
28.1
88/96
88/93
66/79
70/72
59/71
2012/2013 Survey of Mining Companies
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Table 1: Policy Potential Index Score
Rank
Africa
2012/ 2011/ 2010/ 2009/ 2008/ 2012/ 2011/ 2010/ 2009/ 2008/ 2013 2012 2011 2010 2009 2013 2012 2011 2010 2009 Botswana
78.1
76.9
74.0
66.5
64.9
17/96
17/93
14/79
21/72
18/71
Burkina Faso
46.0
57.5
66.3
49.6
45.1
55/96
38/93
24/79
36/72
42/71
DRC (Congo)
12.3
19.9
7.8
18.9
24.1
93/96
76/93
77/79
68/72
63/71
Egypt
32.4
19.9
*
*
*
69/96
77/93
*
*
*
Ghana
48.2
52.9
45.1
53.3
51.3
54/96
43/93
47/79
34/72
35/71
Guinea (Conakry)
26.4
16.6
40.2
*
*
76/96
83/93
51/79
*
*
Madagascar
16.5
42.0
15.6
*
*
85/96
59/93
73/79
*
*
Mali
24.9
52.9
58.2
58.2
53.6
79/96
42/93
29/79
27/72
33/71
Mauritania
61.6
45.5
*
*
*
36/96
52/93
*
*
*
Morocco
65.6
60.3
*
*
*
25/96
34/93
*
*
*
Namibia
63.7
51.6
57.9
49.2
52.5
30/96
45/93
30/79
37/72
34/71
Niger
32.2
30.7
47.9
*
*
70/96
68/93
43/79
*
*
South Africa
35.0
44.5
23.4
26.2
40.4
64/96
54/93
67/79
61/72
49/71
Tanzania
28.0
38.8
32.4
44.9
41.8
74/96
63/93
61/79
44/72
48/71
Zambia
41.7
46.1
34.9
36.5
44.4
59/96
50/93
57/79
52/72
44/71
Zimbabwe
13.4
21.8
22.4
14.7
19.1
91/96
74/93
71/79
69/72
65/71
Latin America and the Carribean Basin
Argentina
Argentina
14
**
**
32.4
28.4
33.0
**
**
60/79
59/72
56/71
Catamarca
56.9
39.0
*
*
*
43/96
61/93
*
*
*
Chubut
26.0
24.6
*
*
*
78/96
70/93
*
*
*
Jujuy
34.5
20.1
*
*
*
65/96
75/93
*
*
*
La Rioja
26.5
*
*
*
*
75/96
*
*
*
*
Mendoza
36.1
22.2
*
*
*
62/96
73/93
*
*
*
Neuquen
59.3
*
*
*
*
39/96
*
*
*
*
Rio Negro
57.9
25.7
*
*
*
41/96
69/93
*
*
*
Salta
59.7
43.9
*
*
*
38/96
55/93
*
*
*
San Juan
53.3
39.0
*
*
*
51/96
62/93
*
*
*
Santa Cruz
32.7
35.7
*
*
*
68/96
65/93
*
*
*
Bolivia
13.8
8.1
9.1
20.1
16.5
90/96
91/93
76/79
66/72
66/71
Brazil
38.2
43.3
43.2
46.1
47.1
61/96
57/93
49/79
40/72
39/71
Chile
67.7
75.3
81.3
79.1
79.9
23/96
18/93
8/79
7/72
7/71
Colombia
34.4
38.0
51.2
40.6
43.0
66/96
64/93
40/79
48/72
46/71
Ecuador
19.0
13.1
27.9
10.5
4.1
82/96
86/93
65/79
71/72
70/71
Dominican Republic
39.7
31.5
*
*
*
60/96
67/93
*
*
*
French Guiana***
64.6
*
*
*
*
27/96
*
*
*
*
Guatemala
13.8
2.9
10.0
21.9
5.1
89/96
92/93
75/79
64/72
69/71
Guyana
32.9
44.7
*
*
*
67/96
53/93
*
*
*
Honduras
17.9
1.7
1.2
20.4
11.8
83/96
93/93
79/79
65/72
68/71
Mexico
57.3
58.8
54.7
58.1
57.7
42/96
35/93
35/79
28/72
28/71
Panama
35.8
16.9
23.3
31.2
42.4
63/96
82/93
68/79
56/72
47/71
Peru
42.0
43.4
43.6
47.7
56.6
58/96
56/93
48/79
39/72
30/71
Suriname
31.0
23.4
*
*
*
71/96
72/93
*
*
*
Venezuela
11.8
10.9
1.3
6.9
3.7
94/96
90/93
78/79
72/72
71/71
www.fraserinstitute.org
Table 1: Policy Potential Index Score
Rank
Eurasia
2012/ 2011/ 2010/ 2009/ 2008/ 2012/ 2011/ 2010/ 2009/ 2008/ 2013 2012 2011 2010 2009 2013 2012 2011 2010 2009 Bulgaria
53.6
50.6
55.9
*
*
50/96
47/93
32/79
*
*
China
28.5
43.1
30.9
45.1
45.2
72/96
58/93
62/79
42/72
41/71
Finland
95.5
92.4
86.0
90.2
72.7
1/96
2/93
5/79
3/72
14/71
Greenland
79.9
78.2
74.9
*
*
14/96
14/93
12/79
*
*
Greece
15.6
*
*
*
*
87/96
*
*
*
*
India
21.1
12.4
10.6
27.1
16.2
81/96
89/93
74/79
60/72
67/71
Ireland
89.7
83.0
72.6
72.1
59.8
6/96
9/93
16/79
17/72
26/71
Kazakhstan
23.3
17.0
30.4
39.0
33.0
80/96
81/93
63/79
51/72
57/71
Kyrgyzstan
13.4
13.1
51.4
29.9
22.5
92/96
87/93
39/79
58/72
64/71
Mongolia
17.9
19.5
35.7
19.0
34.5
84/96
78/93
54/79
67/72
55/71
Norway
82.4
72.0
67.3
55.9
64.5
10/96
24/93
22/79
31/72
19/71
Poland
42.7
51.2
*
*
*
57/96
46/93
*
*
*
Romania
16.2
18.0
37.9
*
*
86/96
80/93
53/79
*
*
Russia
28.1
24.6
23.1
44.2
37.9
73/96
71/93
69/79
45/72
53/71
Serbia
49.9
*
*
*
*
52/96
*
*
*
*
Spain
54.6
57.6
52.9
57.5
62.1
48/96
37/93
37/79
29/72
22/71
Sweden
93.6
85.5
82.3
73.9
73.8
2/96
7/93
7/79
12/72
13/71
Turkey
49.7
41.0
34.7
52.8
39.8
53/96
60/93
58/79
35/72
50/71
Vietnam
11.6
14.4
35.5
*
*
95/96
84/93
55/79
*
*
* Not available ** Argentina is no longer reported as a single jurisdiction (we now report separately on the sub-national jurisdictions). ***French Guiana is considered a DOM (Département d’outre-mer), a French overseas department.
Best Practices Mineral Potential Index Figure 5 shows the mineral potential of jurisdictions, assuming their policies are based on “best practices” (i.e., world class regulatory environment, highly competitive taxation, no political risk or uncertainty, and a fully stable mining regime). In other words, this figure represents, in a sense, a jurisdiction’s “pure” mineral potential, since it assumes a “best practices” policy regime. Table 3 provides more precise information and the recent historical record.
2012/2013 Survey of Mining Companies
Calculating the “Current” and “Best Practices” indexes To obtain an accurate view of the attractiveness of a jurisdiction, we combine the responses to “Encourages Investment” and “Not a Deterrent to Investment,” as the reader can see in figures 4 and 5. Since the “Encourages” response expresses a much more positive attitude to investment than “Not a Deterrent,” in calculating these indexes, we give “Not a Deterrent” half the weight of “Encourages.” For example, the “Current Mineral Potential” (figure 4 and table 2) for British Columbia was calcu-
15
Figure 4: Current Mineral Potential assuming current regulations and land use restrictions Greenland Finland Sweden Nevada Saskatchewan Alaska Yukon Wyoming Western Australia Northern Territory Chile New Brunswick Utah Newfoundland & Labrador Arizona Botswana Ontario Northwest Territories Guyana South Australia Norway Turkey Ghana Alberta Queensland Quebec Burkina Faso Nunavut New Zealand Mexico Ireland Idaho Manitoba British Columbia Serbia Namibia Nova Scotia Peru Spain Colombia New Mexico Panama Brazil Minnesota Michigan New South Wales Tanzania Mauritania Dominican Republic Montana Niger Morocco Russia Argentina: Salta Argentina: San Juan Kyrgyzstan Victoria Zambia Bulgaria Argentina: Catamarca Tasmania Suriname Colorado California Mali Argentina: Rio Negro Argentina: Neuquen French Guiana Kazakhstan Argentina: Mendoza Romania China Papua New Guinea Poland Guinea (Conakry) India South Africa Vietnam Mongolia Philippines Indonesia Washington Democratic Republic of Congo (DRC) Argentina: Jujuy Argentina: Chubut Argentina: Santa Cruz Argentina: La Rioja Greece Madagascar Egypt Ecuador Zimbabwe Venezuela Guatemala Honduras Bolivia
Encourages investment Not a deterrent to investment
0%
16
10%
20%
30%
40%
50%
60%
70%
80%
90%
www.fraserinstitute.org
100%
Table 2: Mineral potential assuming current regulations/land use restrictions†Score
Rank
Oceania
Australia
US A
Canada
2012/ 2011/ 2010/ 2009/ 2008/ 2012/ 2011/ 2010/ 2010/ 2009/ 2013 2012 2011 2010 2009 2013 2012 2011 2009 2008 Alberta
0.56
0.60
0.53
0.48
0.49
24/96
18/93
32/79
32/72
34/71
British Columbia
0.51
0.50
0.43
0.49
0.47
34/96
35/93
42/79
31/72
39/71
Manitoba
0.52
0.64
0.61
0.58
0.53
33/96
11/93
17/79
22/72
29/71
New Brunswick
0.62
0.54
0.46
0.57
0.54
12/96
27/93
38/79
26/72
28/71
Nfld. & Labrador
0.61
0.66
0.57
0.60
0.64
14/96
8/93
25/79
17/72
9/71
NWT
0.58
0.44
0.35
0.34
0.44
18/96
46/93
59/79
53/72
46/71
Nova Scotia
0.50
0.41
0.38
0.43
0.40
37/96
51/93
51/79
40/72
54/71
Nunavut
0.55
0.51
0.38
0.39
0.55
28/96
30/93
50/79
46/72
27/71
Ontario
0.59
0.56
0.60
0.50
0.57
17/96
23/93
19/79
30/72
21/71
Quebec
0.55
0.65
0.76
0.73
0.77
26/96
9/93
2/79
3/72
1/71
Saskatchewan
0.72
0.69
0.75
0.69
0.67
5/96
4/93
3/79
6/72
5/71
Yukon
0.71
0.69
0.66
0.63
0.60
7/96
3/93
11/79
11/72
16/71
Alaska
0.72
0.68
0.67
0.66
0.71
6/96
6/93
9/79
9/72
4/71
Arizona
0.60
0.51
0.54
0.51
0.46
15/96
31/93
31/79
29/72
42/71
California
0.33
0.21
0.20
0.20
0.22
64/96
88/93
72/79
68/72
64/71
Colorado
0.33
0.26
0.26
0.32
0.26
63/96
77/93
68/79
55/72
62/71
Idaho
0.52
0.36
0.48
0.43
0.48
32/96
59/93
34/79
39/72
37/71
Michigan
0.43
0.43
0.36
0.38
*
45/96
48/93
57/79
48/72
*
Minnesota
0.43
0.43
0.31
0.29
0.41
44/96
49/93
63/79
59/72
53/71
Montana
0.41
0.31
0.32
0.38
0.27
50/96
66/93
62/79
49/72
59/71
Nevada
0.72
0.67
0.73
0.75
0.73
4/96
7/93
4/79
1/72
2/71
New Mexico
0.46
0.55
0.43
0.36
0.42
41/96
24/93
43/79
51/72
51/71
Utah
0.61
0.60
0.66
0.61
0.60
13/96
15/93
13/79
16/72
15/71
Washington
0.24
0.19
0.10
0.23
0.19
82/96
91/93
78/79
65/72
70/71
Wyoming
0.71
0.63
0.60
0.58
0.61
8/96
12/93
20/79
23/72
13/71
New South Wales
0.42
0.46
0.39
0.48
0.49
46/96
41/93
49/79
33/72
36/71
Northern Territory
0.65
0.58
0.54
0.66
0.56
10/96
22/93
30/79
8/72
23/71
Queensland
0.56
0.51
0.55
0.58
0.58
25/96
32/93
28/79
21/72
19/71
South Australia
0.58
0.62
0.56
0.62
0.61
20/96
14/93
27/79
15/72
12/71
Tasmania
0.34
0.37
0.42
0.44
0.51
61/96
56/93
45/79
37/72
31/71
Victoria
0.39
0.25
0.35
0.30
0.43
57/96
78/93
60/79
58/72
49/71
Western Australia
0.67
0.64
0.68
0.59
0.62
9/96
10/93
8/79
19/72
10/71
Indonesia
0.25
0.29
0.36
0.40
0.46
81/96
73/93
58/79
43/72
42/71
New Zealand
0.54
0.30
0.47
0.24
0.21
29/96
68/93
35/79
64/72
66/71
Papua New Guinea
0.29
0.60
0.67
0.48
0.38
73/96
16/93
10/79
34/72
56/71
Philippines
0.26
0.33
0.44
0.43
0.49
80/96
63/93
40/79
38/72
35/71
2012/2013 Survey of Mining Companies
17
Table 2: Mineral potential assuming current regulations/land use restrictions†Score
Rank
2012/ 2011/ 2010/ 2009/ 2008/ 2012/ 2011/ 2010/ 2010/ 2009/ 2013 2012 2011 2010 2009 2013 2012 2011 2009 2008
Latin America and the Carribean Basin
Argentina
Africa
Botswana
18
0.60
0.75
0.68
0.68
0.59
16/96
1/93
7/79
7/72
17/71
Burkina Faso
0.55
0.63
0.71
0.70
0.57
27/96
13/93
6/79
4/72
22/71
DRC (Congo)
0.23
0.38
0.21
0.30
0.44
83/96
55/93
70/79
56/72
47/71
Egypt
0.12
0.33
*
*
*
89/96
61/93
*
*
*
Ghana
0.56
0.60
0.57
0.60
0.55
23/96
17/93
24/79
18/72
26/71
Guinea (Conakry)
0.29
0.36
0.36
*
*
74/96
58/93
56/79
*
*
Madagascar
0.12
0.38
0.41
*
*
90/96
52/93
46/79
*
*
Mali
0.33
0.55
0.59
0.64
0.58
65/96
26/93
21/79
10/72
20/71
Mauritania
0.42
0.46
*
*
*
48/96
40/93
*
*
*
Morocco
0.40
0.50
*
*
*
51/96
33/93
*
*
*
Namibia
0.50
0.45
0.55
0.58
0.47
35/96
44/93
29/79
24/72
40/71
Niger
0.40
0.38
0.42
*
*
52/96
52/93
44/79
*
*
South Africa
0.28
0.33
0.28
0.39
0.45
77/96
62/93
66/79
45/72
44/71
Tanzania
0.42
0.55
0.58
0.47
0.55
47/96
25/93
23/79
35/72
24/71
Zambia
0.38
0.47
0.46
0.53
0.51
58/96
39/93
37/79
28/72
30/71
Zimbabwe
0.10
0.21
0.16
0.21
0.15
92/96
87/93
74/79
67/72
71/71
Argentina
*
*
0.37
0.33
0.43
*
*
55/79
54/72
50/71
Catamarca
0.36
0.36
*
*
*
60/96
57/93
*
*
*
Chubut
0.20
0.25
*
*
*
85/96
78/93
*
*
*
Jujuy
0.22
0.38
*
*
*
84/96
52/93
*
*
*
La Rioja
0.18
*
*
*
*
87/96
*
*
*
*
Mendoza
0.30
0.25
*
*
*
70/96
78/93
*
*
*
Neuquen
0.32
*
*
*
*
67/96
*
*
*
*
Rio Negro
0.32
0.27
*
*
*
66/96
75/93
*
*
*
Salta
0.39
0.45
*
*
*
54/96
42/93
*
*
*
San Juan
0.39
0.48
*
*
*
55/96
37/93
*
*
*
Santa Cruz
0.19
0.48
*
*
*
86/96
38/93
*
*
*
Bolivia
0.06
0.21
0.21
0.28
0.23
96/96
89/93
71/79
61/72
63/71
Brazil
0.44
0.54
0.60
0.63
0.60
43/96
28/93
18/79
12/72
14/71
Chile
0.64
0.69
0.77
0.74
0.72
11/96
5/93
1/79
2/72
3/71
Colombia
0.47
0.53
0.64
0.57
0.55
40/96
29/93
16/79
25/72
25/71
Ecuador
0.11
0.26
0.16
0.23
0.20
91/96
76/93
74/79
66/72
69/71
Dominican Republic
0.41
0.18
*
*
*
49/96
92/93
*
*
*
French Guiana
0.32
*
*
*
*
68/96
*
*
*
*
Guatemala
0.08
0.25
0.25
0.15
0.33
94/96
78/93
69/79
70/72
57/71
Guyana
0.58
0.44
*
*
*
19/96
45/93
*
*
*
Honduras
0.06
0.19
0.15
0.15
0.22
95/96
90/93
76/79
70/72
65/71
Mexico
0.53
0.58
0.64
0.70
0.64
30/96
21/93
15/79
5/72
7/71
Panama
0.45
0.22
0.40
0.30
0.50
42/96
86/93
48/79
56/72
32/71
Peru
0.49
0.42
0.59
0.63
0.64
38/96
50/93
22/79
12/72
8/71
Suriname
0.33
0.25
*
*
*
62/96
78/93
*
*
*
Venezuela
0.10
0.11
0.10
0.13
0.21
93/96
93/93
77/79
72/72
67/71
www.fraserinstitute.org
Table 2: Mineral potential assuming current regulations/land use restrictions† Score
Rank
Eurasia
2012/ 2011/ 2010/ 2009/ 2008/ 2012/ 2011/ 2010/ 2010/ 2009/ 2013 2012 2011 2010 2009 2013 2012 2011 2009 2008 Bulgaria
0.36
0.23
0.38
*
*
59/96
84/93
51/79
*
*
China
0.30
0.30
0.33
0.36
0.39
72/96
69/93
61/79
52/72
55/71
Finland
0.74
0.59
0.66
0.62
0.65
2/96
19/93
12/79
14/72
6/71
Greenland
0.76
0.72
0.73
*
*
1/96
2/93
5/79
*
*
Greece
0.13
*
*
*
*
88/96
*
*
*
*
India
0.28
0.25
0.31
0.26
0.26
76/96
78/93
64/79
63/72
61/71
Ireland
0.52
0.49
0.45
0.39
0.47
31/96
36/93
39/79
44/72
38/71
Kazakhstan
0.31
0.32
0.38
0.38
0.50
69/96
65/93
51/79
47/72
32/71
Kyrgyzstan
0.39
0.30
0.38
0.28
0.21
56/96
72/93
51/79
60/72
68/71
Mongolia
0.27
0.44
0.53
0.42
0.33
79/96
47/93
33/79
42/72
58/71
Norway
0.57
0.32
0.47
0.47
0.43
21/96
64/93
36/79
36/72
48/71
Poland
0.29
0.45
*
*
*
75/96
42/93
*
*
*
Romania
0.30
0.28
0.20
*
*
71/96
74/93
*
*
*
Russia
0.40
0.30
0.30
0.37
0.47
53/96
67/93
65/79
50/72
41/71
Serbia
0.50
*
*
*
*
36/96
*
*
*
*
Spain
0.48
0.34
0.41
0.43
0.42
39/96
60/93
47/79
41/72
52/71
Sweden
0.73
0.59
0.65
0.56
0.59
3/96
20/93
14/79
27/72
18/71
Turkey
0.57
0.50
0.57
0.59
0.62
22/96
33/93
26/79
20/72
11/71
Vietnam
0.27
0.30
0.43
*
*
78/96
69/93
41/79
*
*
† = The figures in this table and the accompanying figure count 100% of all “encourages” answers, but only 50 percent of the “not a deterrent” answers. For a discussion, please see page 15. * = not available.
lated by adding the percent of respondents who rated BC’s mineral potential as “Encourages Investment” (33%) with the 36% that responded “Not a Deterrent to investment,” which was half weighted at 18% (see table A1). Thus, British Columbia has a score of 51, taking into account rounding, for 2012/2013.
Room for improvement Figure 6 is one of the most revealing in this study. It subtracts each jurisdiction’s score for mineral potential under “best practices” from mineral potential under “current” regulations. To understand this
2012/2013 Survey of Mining Companies
fig ure’s mean ing, con sider Mon go lia, the jurisdiction with the most room for improvement in 2012/2013. When asked about Mongolia’s mineral potential under “current” regulations, miners gave it a score of 27. Under a “best practices” regulatory regime, where managers can focus on pure mineral potential rather than policy-related problems, Mongolia’s score was 84. Thus, Mongolia’s score in the “Room for Improvement” category is 58. (Numbers may not add up due to rounding). The greater the score in figure 6, the greater the gap between “current” and “best practices” mineral potential, and the greater the “room for improvement.”
19
Figure 5: Policy/Mineral Potential assuming no land use restrictions in place and assuming industry “best practices� Mongolia Yukon Papua New Guinea Indonesia Alaska Western Australia Nevada Ontario Botswana Turkey Chile Philippines Saskatchewan Greenland Nunavut Quebec Northwest Territories Mexico British Columbia Queensland Kyrgyzstan Colombia Democratic Republic of Congo (DRC) Finland Wyoming Manitoba India South Australia Northern Territory Arizona Newfoundland and Labrador Sweden Tanzania Kazakhstan Russia Peru Serbia Brazil Utah Argentina: Santa Cruz Vietnam Namibia Zambia New Brunswick Montana China Argentina: Jujuy Madagascar Ghana Argentina: San Juan Norway Argentina: Catamarca Alberta South Africa Idaho Colorado Argentina: La Rioja Guyana Burkina Faso Egypt Ecuador Zimbabwe California Mauritania Argentina: Mendoza Minnesota Bolivia New South Wales New Mexico Argentina: Salta Argentina: Chubut Mali Suriname Ireland Tasmania New Zealand Venezuela Michigan Guatemala Argentina: Rio Negro Dominican Republic Guinea(Conakry) Spain Romania Panama Nova Scotia Victoria French Guiana Washington Argentina: Neuquen Niger Poland Morocco Bulgaria Honduras Greece
Encourages investment Not a deterrent to investment
0%
20
10%
20%
30%
40%
50%
60%
70%
80%
90%
www.fraserinstitute.org
100%
Table 3: Policy mineral potential assuming no regulations in place and assuming industry best practices†Score
Rank
Oceania
Australia
US A
Canada
2012/ 2011/ 2010/ 2009/ 2008/ 2012/ 2011/ 2010/ 2009/ 2008/ 2013 2012 2011 2010 2009 2013 2012 2011 2010 2009 Alberta
0.57
0.64
0.61
0.56
0.64
50/96
57/93
59/79
62/72
48/71
British Columbia
0.72
0.83
0.80
0.79
0.77
18/96
12/93
23/79
17/72
24/71
Manitoba
0.69
0.76
0.74
0.80
0.78
25/96
26/93
33/79
14/72
21/71
New Brunswick
0.60
0.52
0.43
0.65
0.61
44/96
78/93
74/79
50/72
53/71
Nfld. & Labrador
0.68
0.82
0.76
0.78
0.73
29/96
15/93
29/79
18 72
35/71
NWT
0.73
0.85
0.87
0.82
0.77
16/96
6/93
8/79
7/72
20/71
Nova Scotia
0.40
0.47
0.40
0.56
0.42
86/96
87/93
78/79
63/72
70/71
Nunavut
0.74
0.85
0.84
0.77
0.84
12/96
5/93
16/79
22/72
5/71
Ontario
0.75
0.78
0.85
0.81
0.80
8/96
25/93
11/79
11/72
14/71
Quebec
0.73
0.82
0.84
0.84
0.88
16/96
13/93
17/79
3/72
2/71
Saskatchewan
0.74
0.81
0.89
0.79
0.80
12/96
20/93
5/79
15/72
16/71
Yukon
0.81
0.89
0.90
0.82
0.76
2/96
2/93
2/79
8/72
26/71
Alaska
0.78
0.93
0.93
0.85
0.82
5/96
1/93
1/79
2/72
10/71
Arizona
0.68
0.73
0.76
0.73
0.74
29/96
31/93
30/79
29/72
29/71
California
0.51
0.58
0.58
0.60
0.59
63/96
67/93
64/79
56/72
60/71
Colorado
0.56
0.64
0.70
0.69
0.64
55/96
55/93
47/79
44/72
50/71
Idaho
0.56
0.68
0.65
0.68
0.73
55/96
36/93
56/79
45/72
34/71
Michigan
0.45
0.55
0.54
0.71
*
78/96
72/93
68/79
36/72
*
Minnesota
0.50
0.54
0.77
0.61
0.59
64/96
75/93
27/79
54/72
58/71
Montana
0.59
0.70
0.70
0.74
0.79
45/96
33/93
47/79
27/72
20/71
Nevada
0.76
0.81
0.85
0.83
0.86
7/96
17/93
13/79
4/72
3/71
New Mexico
0.49
0.64
0.68
0.63
0.59
67/96
54/93
52/79
52/72
58/71
Utah
0.64
0.66
0.71
0.74
0.79
39/96
48/93
45/79
24/72
19/71
Washington
0.37
0.50
0.43
0.50
0.55
88/96
80/93
75/79
68/72
66/71
Wyoming
0.69
0.68
0.74
0.70
0.70
25/96
42/93
36/79
38/72
40/71
New South Wales
0.49
0.55
0.55
0.62
0.71
67/96
71/93
67/79
53/72
37/71
Northern Territory
0.68
0.66
0.72
0.83
0.81
29/96
49/93
42/79
6/72
13/71
Queensland
0.72
0.75
0.80
0.81
0.82
18/96
29/93
22/79
10/72
9/71
South Australia
0.69
0.79
0.73
0.80
0.77
25/96
23/93
39/79
12/72
22/71
Tasmania
0.46
0.47
0.66
0.59
0.70
75/96
86/93
55/79
57/72
41/71
Victoria
0.40
0.37
0.42
0.51
0.66
86/96
91/93
76/79
67/72
47/71
Western Australia
0.77
0.83
0.87
0.77
0.84
6/96
11/93
7/79
21/72
6/71
Indonesia
0.79
0.84
0.85
0.75
0.80
3/96
10/93
12/79
23/72
17/71
New Zealand
0.46
0.47
0.50
0.53
0.58
75/96
88/93
70/79
65/72
62/71
Papua New Guinea
0.79
0.89
0.89
0.71
0.81
3/96
3/93
6/79
34/72
12/71
Philippines
0.74
0.85
0.82
0.72
0.82
12/96
7/93
19/79
33/72
11/71
2012/2013 Survey of Mining Companies
21
Table 3: Policy mineral potential assuming no regulations in place and assuming industry best practices†Score
Rank
Latin America and the Carribean Basin
Argentina
Africa
2012/ 2011/ 2010/ 2009/ 2008/ 2012/ 2011/ 2010/ 2009/ 2008/ 2013 2012 2011 2010 2009 2013 2012 2011 2010 2009
22
Botswana
0.75
0.78
0.77
0.72
0.68
8/96
24/93
28/79
31/72
44/71
Burkina Faso
0.55
0.76
0.81
0.74
0.70
58/96
28/93
21/79
25/72
43/71
DRC (Congo)
0.70
0.87
0.90
0.86
0.89
23/96
4/93
4/79
1/72
1/71
Egypt
0.54
0.45
*
*
*
60/96
90/93
*
*
*
Ghana
0.58
0.81
0.75
0.71
0.76
47/96
18/93
31/79
35/72
28/71
Guinea (Conakry)
0.43
0.66
0.73
*
*
82/96
50/93
39/79
*
*
Madagascar
0.58
0.62
0.68
*
*
47/96
60/93
51/79
*
*
Mali
0.48
0.71
0.79
0.79
0.60
71/96
32/93
24/79
16/72
56/71
Mauritania
0.50
0.61
*
*
*
64/96
61/93
*
*
*
Morocco
0.33
0.50
*
*
*
93/96
80/93
*
*
*
Namibia
0.62
0.50
0.69
0.71
0.51
40/96
80/93
49/79
37/72
68/71
Niger
0.35
0.57
0.58
*
*
91/96
69/93
65/79
*
*
South Africa
0.57
0.64
0.72
0.66
0.70
50/96
56/93
43/79
48/72
42/71
Tanzania
0.67
0.67
0.79
0.70
0.76
32/96
47/93
25/79
40/72
27/71
Zambia
0.60
0.61
0.78
0.68
0.74
43/96
62/93
26/79
46/72
31/71
Zimbabwe
0.52
0.64
0.74
0.58
0.58
62/96
58/93
34/79
58/72
61/71
Argentina
*
*
0.71
0.73
0.74
*
*
44/79
28/72
31/71
Catamarca
0.57
0.68
*
*
*
50/96
39/93
*
*
*
Chubut
0.48
0.84
*
*
*
71/96
9/93
*
*
*
Jujuy
0.58
0.50
*
*
*
47/96
80/93
*
*
*
La Rioja
0.56
*
*
*
*
55/96
*
*
*
*
Mendoza
0.50
0.57
*
*
*
64/96
69/93
*
*
*
Neuquen
0.36
*
*
*
*
90/96
*
*
*
*
Rio Negro
0.44
0.68
*
*
*
79/96
42/93
*
*
*
Salta
0.49
0.55
*
*
*
67/96
74/93
*
*
*
San Juan
0.57
0.69
*
*
*
50/96
35/93
*
*
*
Santa Cruz
0.62
0.65
*
*
*
40/96
52/93
*
*
*
Bolivia
0.49
0.58
0.60
0.65
0.64
67/96
66/93
62/79
49/72
49/71
Brazil
0.65
0.81
0.86
0.78
0.77
35/96
21/93
9/79
20/72
23/71
Chile
0.75
0.81
0.85
0.83
0.80
8/96
18/93
14/79
5/72
15/71
Colombia
0.71
0.80
0.90
0.72
0.83
21/96
22/93
3/79
32/72
7/71
Ecuador
0.54
0.65
0.70
0.69
0.71
60/96
51/93
46/79
43/72
38/71
Dominican Republic
0.44
0.29
*
*
*
79/96
93/93
*
*
*
French Guiana
0.37
*
*
*
*
88/96
*
*
*
*
Guatemala
0.44
0.63
0.69
0.63
0.60
79/96
59/93
50/79
51/72
55/71
Guyana
0.55
0.53
*
*
*
58/96
77/93
*
*
*
Honduras
0.29
0.53
0.59
0.48
0.56
95/96
76/93
63/79
70/72
63/71
Mexico
0.72
0.85
0.86
0.80
0.79
18/96
8/93
10/79
13/72
18/71
Panama
0.42
0.58
0.63
0.58
0.60
84/96
68/93
57/79
60/72
57/71
Peru
0.65
0.82
0.85
0.81
0.85
35/96
14/93
15/79
9/72
4/71
Suriname
0.47
0.55
*
*
*
73/96
73/93
*
*
*
Venezuela
0.46
0.59
0.56
0.58
0.55
75/96
65/93
66/79
58/72
64/71
www.fraserinstitute.org
Table 3: Policy mineral potential assuming no regulations in place and assuming industry best practices† Score
Rank
Eurasia
2012/ 2011/ 2010/ 2009/ 2008/ 2012/ 2011/ 2010/ 2009/ 2008/ 2013 2012 2011 2010 2009 2013 2012 2011 2010 2009 Bulgaria
0.32
0.50
0.45
*
*
94/96
80/93
73/79
*
*
China
0.59
0.67
0.73
0.67
0.73
45/96
46/93
37/79
47/72
33/71
Finland
0.70
0.68
0.74
0.73
0.72
23/96
36/93
34/79
30/72
36/71
Greenland
0.74
0.76
0.73
*
*
12/96
27/93
39/79
*
*
Greece
0.25
*
*
*
*
96/96
*
*
*
*
India
0.69
0.68
0.50
0.50
0.63
25/96
44/93
70/79
68/72
51/71
Ireland
0.47
0.60
0.61
0.42
0.55
73/96
63/93
60/79
72/72
64/71
Kazakhstan
0.67
0.70
0.75
0.70
0.71
32/96
33/93
31/79
39/72
39/71
Kyrgyzstan
0.71
0.68
0.67
0.56
0.67
21/96
39/93
53/79
64/72
46/71
Mongolia
0.84
0.82
0.83
0.78
0.74
1/96
16/93
18/79
19/72
30/71
Norway
0.57
0.50
0.53
0.60
0.61
50/96
80/93
69/79
55/72
54/71
Poland
0.35
0.68
*
*
*
91/96
39/93
*
*
*
Romania
0.42
0.47
0.61
*
*
84/96
89/93
58/79
*
*
Russia
0.65
0.68
0.67
0.69
0.83
35/96
38/93
54/79
42/72
8/71
Serbia
0.65
*
*
*
*
35/96
*
*
*
*
Spain
0.43
0.52
0.41
0.45
0.53
82/96
79/93
77/79
71/72
67/71
Sweden
0.67
0.68
0.73
0.74
0.62
32/96
45/93
38/79
25/72
52/71
Turkey
0.75
0.73
0.81
0.70
0.67
8/96
30/93
20/79
41/72
45/71
Vietnam
0.62
0.36
0.60
*
*
40/96
92/93
61/79
*
*
† = The figures in this table and the accompanying figure count 100% of all “encourages” answers, but only 50 percent of the “not a deterrent” answers. For a discussion, please see page 15. * = not available.
A caveat This survey captures miners’ general and specific knowl edge. A miner may give an oth er wise high-scoring jurisdiction a low mark because of his or her individual experience with a problem. We do not believe this detracts from the survey. In fact, we have made a particular point of highlighting such differing views in the survey comments and “What miners are saying” quotes.
2012/2013 Survey of Mining Companies
Surveys can also produce anomalies. For example, in this survey New Brunswick and Nova Scotia received higher scores for existing policies than for best practices. It is also important to note that different segments of the mining industry (exploration and development companies, say) face different challenges. Yet many of the challenges the different segments face are similar. This survey is intended to capture the overall view.
23
Figure 6: Room for improvement Mongolia Indonesia Papua New Guinea Philippines Democratic Republic of Congo (DRC) Madagascar Bolivia Ecuador Argentina: Santa Cruz Egypt Zimbabwe India Argentina: La Rioja Guatemala Argentina: Jujuy Kazakhstan Venezuela Vietnam Kyrgyzstan South Africa China Argentina: Chubut Russia Tanzania Colombia Honduras Colorado Zambia Argentina: Catamarca British Columbia Brazil Argentina: Mendoza Mexico Nunavut Montana Turkey Argentina: San Juan California Quebec Manitoba Peru Ontario Queensland Botswana Serbia Mali Guinea (Conakry) Northwest Territories Suriname Washington Greece Tasmania Romania Argentina: Rio Negro Namibia Chile South Australia Yukon Argentina: Salta Western Australia Mauritania Arizona Newfoundland & Labrador Minnesota Alaska New South Wales Poland French Guiana Idaho Argentina: Neuquen Northern Territory Nevada Utah New Mexico Dominican Republic Michigan Saskatchewan Ghana Victoria Alberta Norway Burkina Faso Wyoming Greenland New Brunswick Guyana Panama Finland Bulgaria Spain Niger Sweden Ireland Morocco New Zealand Nova Scotia -10%
24
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
www.fraserinstitute.org
100%
Explanation of the figures Figures 4 through 23 Figures 4 and 5 show the percentage of respondents who say that “current” or “best practices” policy either “encourages exploration investment” or is “not a deterrent to exploration investment” (a “1” or a “2” on the scale above; see also earlier discussion of the calculation of these indexes). This differs from figures 7 through 23, which show the percentage of respondents who rate each policy factor as a “mild deterrent to investment exploration” or “strong deterrent to exploration investment” or “would not pursue exploration investment in this region due to this factor” (a “3”, “4,” or “5” on the scale). Readers will find a breakdown of both negative and positive responses for all areas in the appendix so they can make their own judgments independent of the charts.
Figure 24: Composite Policy and Mineral Index The Composite Policy and Mineral Index combines both the Policy Potential Index and results from the “best practices” question, which in effect ranks a jurisdiction’s “pure” mineral potential, given best practices. This year, the index was weighted 60 percent by mineral potential and 40 percent by policy. These ratios are determined by a survey question asking respondents to rate the relative importance
2012/2013 Survey of Mining Companies
of each factor (see table 9). In most years, the split was nearly exactly 60 percent mineral and 40 percent policy. This year the answer was 58.65 percent mineral potential and 41.35 percent policy. We maintained the precise 60/40 ratio in calculating this index to allow comparability with other years. The Policy Potential Index provides the data for policy potential while the rankings from the “Best Practices” (figure 5), based on the percentage of responses for “Encourages Investment,” provide data on the policy component. To some extent, we have de-emphasized the importance of the Composite Policy and Mineral Index in recent years, moving it from the executive summary to the body of the report. We believe that our direct question on “current” mineral potential provides the best measure of investment attractiveness (figure 4). This is partly because the 60/40 relationship is probably not stable at the extremes. For example, extremely bad policy that would virtually confiscate all potential profits, or an environment that would expose workers and managers to high personal risk, would discourage mining activity regardless of mineral potential. In this case, mineral potential, far from having a 60 percent weight, might carry very little weight. Nonetheless, we believe the composite index provides some insights and have maintained it for that reason.
25
Global survey rankings The top
The bottom
No nation scored first in all categories. Finland had the highest Policy Potential Index score of 95.5. Along with Finland, the top 10 ranked jurisdictions are Sweden, Alberta, New Brunswick, Wyoming, Ireland, Nevada, Yukon, Utah, and Norway. All were in the top 10 last year except for Utah and Norway. Yukon was the first Canadian territory to make the top 10 in 2011/2012. Both Quebec and Saskatchewan fell out of the top 10 in 2012/2013. Chile, which had previously been the only jurisdiction outside North America consistently in the top 10 over the life of the survey, has continued to fall in the rankings—to 23rd place in this year’s survey. Norway rose to 10th in the rankings from 24th in 2011/2012, and Sweden and Finland have now been in the top 10 for the last three and four years, respectively.
The 10 least attractive jurisdictions for investment based on the PPI rankings are, starting with the worst, In do ne sia, Viet nam, Ven e zuela, DRC (Congo), Kyrgyzstan, Zimbabwe, Bolivia, Guatemala, Philippines, and Greece. All of these jurisdictions were in the bottom 10 last year with the exception of DRC (Congo), Greece, and Zimbabwe. Greece was a new ad di tion to the sur vey in 2012/2013.
26
Both the DRC (Congo) and Zimbabwe dropped significantly in the rankings this year, with DRC (Congo) falling from 76th to 93rd, and Zimbabwe from 74th to 91st. Honduras and India moved out of the bottom 10 in 2012/2013. Honduras’ ranking improved from last spot (93rd) in 2011/2012 to 83rd, while India moved from 89th to 81st.
www.fraserinstitute.org
Global results Canada Canada’s average PPI score improved slightly in 2012/2013, but for the first time since 2006/2007, a Canadian jurisdiction did not rank first in the survey. The highest ranked Canadian jurisdiction was Alberta, which remained in 3rd place. Last year’s number one jurisdiction, New Brunswick, dropped to 4th place.
score amongst Canadian jurisdictions, increasing from 50.4 in 2011/2012 to 63.7 in 2012/2013. The Northwest Territories saw improvement in all policy factors, most significantly in its legal system (23%); labour and skill availability (13%); and uncertainty concerning the administration, interpretation, and enforcement of existing regulations (12%).
Comments: Canada The comments in the following section have been edited for length, grammar and spelling, to retain confidentiality, and to clarify meanings.
Both Quebec and Saskatchewan dropped out of the top 10 in 2012/2013. Saskatchewan had been in the top 10 since 2008/2009 and dropped from 6th in 2011/2012 to 13th in 2012/2013 due to worsening perceptions amongst respondents for uncertainty over which areas will be protected as wilderness, parks, or archeological sites (-12%)1; the taxation regime (-11%); and labour and skills availability (-10%). Quebec had been in the top 10 since 2001/2002, but it dropped to 11th in 2012/2013 from 5th in 2011/2012 due to worsening perceptions amongst respondents for political stability (-25%); and uncertainty concerning the administration, interpretation, and enforcement of existing regulations (-14%). Quebec was the top-ranked jurisdiction in 2007/2008, 2008/2009, and 2009/2010.
Ca na dian pro jects [are] tak ing years to wind through regulatory processes in which every opinion has the same validity regardless of how poorly informed. I am not sure that any province is immune from this nonsense. —A consulting company, Manager
The PPI score for all of Canada’s territories—Yukon, Nunavut, and the Northwest Territories—continued to improve in this year’s survey. In fact, for the second year in a row, Yukon was among the top 10 jurisdictions. The Northwest Territories showed the greatest year-to-year improvement in it its PPI
Constant back and forth in Canada [with] First Nations trying to prove negative impacts of mining in order to get contractual financial and other commitments from mining companies. We need to find our way to a regulatory and cultural regime where First Nations can focus on holding companies to responsi-
1
Canada in general Canadian mining regulations and legislation are generally easy to operate under. —A producer company with more than US$50M, Company president
Numbers in brackets refer to the difference in the percentage of respondents who responded that a particular policy factor “Encourages investment” between the 2011/2012 and 2012/2013 mining surveys.
2012/2013 Survey of Mining Companies
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Figure 7: Uncertainty concerning the adminstration, interpretation, and enforcement of existing regulations Botswana Sweden New Brunswick Greenland Saskatchewan Chile Wyoming Alberta Northern Territory Finland Nova Scotia Norway Morocco Utah Turkey Yukon Newfoundland & Labrador Nevada Ireland Mexico South Australia Western Australia Alaska Mauritania Burkina Faso Namibia Zambia Guyana Brazil Dominican Republic Serbia Ghana Arizona Quebec Argentina: Catamarca New Zealand Manitoba Argentina: Salta Colombia Ontario Northwest Territories Nunavut Idaho New South Wales Panama Peru Spain Argentina: San Juan Queensland British Columbia Bulgaria Suriname Argentina: Jujuy New Mexico Mali Papua New Guinea Victoria Argentina: Neuquen Argentina: Rio Negro Tasmania Argentina: Santa Cruz Michigan Tanzania Argentina: La Rioja Vietnam Niger Kazakhstan Russia French Guiana Poland Colorado Minnesota India South Africa Romania China Washington Guatemala Argentina: Chubut Argentina: Mendoza Greece Guinea (Conakry) Montana Mongolia Madagascar California Philippines Honduras Indonesia Democratic Republic of Congo (DRC) Ecuador Egypt Zimbabwe Bolivia Venezuela Kyrgyzstan
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ble behaviour and opportunities for mutually beneficial business relationships—not percentages of projects (this includes a transparent and reliable approach to determining whether a First Nation should share in the royalty paid on minerals, not negotiating an additional financial payment). —A producer company with more than US$50M, Vice-president Canada’s federal/provincial regulatory duplicity, primarily EAs [Environmental Assessments], lends itself to detracting investment opportunities. —A producer company with more than US$50M, Manager Re-affirm that the province has real ownership and control of its land and mineral resources. Mining companies are not sure who really owns the resources, therefore mineral claims or titles are becoming meaningless. —An exploration company, Company president I believe the federal courts have put provincial governments in Canada in a near impossible situation by imposing the “duty to consult” requirements on the provinces without ensuring that the additional rights given or upheld (depending on the perspective) for First Nations people are balanced by giving the provinces an adequate mechanism to deal with how this affects their mining community (which is a pro vin cial ju ris dic tion). It is an off-load ing and im po si tion of a re spon si bil ity without the authority to balance exploration’s basic requirements of land access. —An exploration company, Company president
Alberta Strong mining province, open for business. —An exploration company, Company president
2012/2013 Survey of Mining Companies
British Columbia I think that Canada and BC in general have a lot more potential for being the highest rated jurisdictions for mineral exploration, but politics (for the purpose of getting elected or re-elected) gets in the way of making the right policies in exchange for votes. —An exploration company, Vice-president Dealing with the Ministry of Mines in BC via a phone call. Always polite. Always willing to go the extra mile to answer the question. —An exploration company, Other senior management Both exploration and development permit wait times are unacceptable as they can range from 3 months to 2 years in some cases. Recently a permit application that had been sitting without release for referral to First Nations for 3 months was resolved, but only with the intervention of the government minister. There is no consistency between how local offices deal with referrals and no consistency with how they are issued. There is a general lack of communication and commitment from BC government employees to service the public, although there are notable exceptions. —An exploration company, Manager Construction of the Northwest Transmission Line is critical to unlocking billions in future revenue for the province of BC. —A producer company with more than US$50M, Manager
Manitoba Duty to consult needs to be streamlined and adequately resourced. —A producer company with less than US$50M, Other senior management
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Figure 8: Uncertainty concerning environmental regulations Botswana Burkina Faso Saskatchewan Mexico Zambia Greenland Mali Alberta Wyoming Utah Namibia Guyana Chile New Brunswick Tanzania Yukon Ghana Turkey Serbia Northern Territory Niger Finland Morocco Ireland Nevada Egypt Newfoundland and Labrador Western Australia Mauritania South Australia Brazil Quebec Sweden Ontario Argentina: Salta Dominican Republic Manitoba Kazakhstan South Africa Argentina: Catamarca Suriname Alaska Spain Mongolia Nova Scotia China Argentina: San Juan Nunavut Papua New Guinea Colombia Argentina: Santa Cruz Bulgaria Northwest Territories Peru Norway Guinea (Conakry) Arizona Panama Russia French Guiana Madagascar Queensland New South Wales Democratic Republic of Congo (DRC) Kyrgyzstan Argentina: La Rioja New Mexico Vietnam Idaho India Zimbabwe Romania Indonesia Argentina: Neuquen British Columbia New Zealand Bolivia Philippines Minnesota Michigan Argentina: Rio Negro Tasmania Washington Venezuela Honduras Poland Montana Argentina: Jujuy Victoria Colorado Argentina: Chubut Guatemala Ecuador Argentina: Mendoza California Greece
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Many firms in Manitoba have not been able to get permits in anything approaching a timely manner. This is true even for very low impact exploration activities. —A producer company with more than US$50M
Northwest Territories
New Brunswick
Nunavut
Land acquisition and permitting seems easy and straight forward compared to most other jurisdictions. —Vertically integrated, Other senior management Provincial bureaucrats understand mining and key issues that need to be addressed through permitting and taxation policies. —An exploration company, Company president
Newfoundland and Labrador Policy change is needed to improve the overall government structure and the regulatory process—one unified process rather than two conflicting processes (Inuit vs. NL). A concerted effort is needed to create and maintain fairness through a) better coordination between Nunatsiavut and the province; b) Less “us vs. them” and exclusionary treatment of “outsiders”; c) local government needs to find well-informed advisors with a recognized background in economic development. —An exploration company, Company president Newfoundland very likely has the best policies related to claim staking and the ease/quickness of staking, the highest land tenure & security possible, and also the best system known of acquiring historical exploration data, all of it on-line and free for downloading to anyone in the world. These policies are a major, 100% encouragement to explore and develop in Newfoundland-Labrador. —An exploration company, Company president
2012/2013 Survey of Mining Companies
Too hard to get exploration permits on a predictable schedule and without excessive and overly expensive early-stage community consultation. —An exploration company, Manager
Nunavut is a territory that is in many ways in conflict. It wants investment and then creates a bureaucracy and commercial environment that is strongly negative towards any investment. —An exploration company, Vice-president
Ontario Government is pro-active, people are well educated, indigenous people are consulted and cooperative, and there is still plenty of mineral potential, particularly in the far north. —A consulting company, Other senior management New legislation is creating uncertainty in dealing with First Nations as each group has their own priorities when negotiating with mining companies. We’re not opposed to sharing the wealth, but these priorities need to be standardized through legislation to remove the uncertainty for both parties and investment—i.e., First Nations should receive predetermined Net Smelter Return %, ownership %, employment %, or any combination thereof. —An exploration company, Chief Financial Officer
Quebec The government has given municipalities and surface right owners absolute control over mineral development. One may own the mineral rights but not be able to explore or mine without paying what amounts to pay-offs. A great system destroyed in order to garner votes. —An exploration company, Company president
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Figure 9: Regulatory duplication and inconsistencies Botswana Sweden Saskatchewan Chile Greenland Finland Burkina Faso Namibia Northern Territory New Brunswick Nova Scotia Zambia Norway Yukon Ghana Western Australia South Australia Mexico Alberta Turkey Guyana Ireland Wyoming Nevada Newfoundland and Labrador Morocco Quebec Utah Panama Mauritania Alaska Dominican Republic Manitoba Brazil Ontario French Guiana Serbia Bulgaria Mali Arizona Colombia New Zealand New South Wales Spain Niger Northwest Territories Suriname Tanzania Victoria Peru Idaho Papua New Guinea Queensland British Columbia Montana Argentina: Catamarca Mongolia Nunavut Kazakhstan New Mexico South Africa Argentina: Salta Madagascar Argentina: San Juan Poland Argentina: Neuquen Argentina: Jujuy Tasmania China Argentina: Rio Negro Argentina: Santa Cruz Minnesota Guinea (Conakry) Romania Washington Democratic Republic of Congo (DRC) Russia Colorado Bolivia India Michigan Philippines Greece Indonesia Kyrgyzstan Argentina: Mendoza Ecuador Egypt California Argentina: La Rioja Zimbabwe Guatemala Argentina: Chubut Vietnam Venezuela Honduras
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Everything that is done in Quebec is exemplary. Skilled labour, government cooperation, strong First Nations assistance, good resources, good infrastructure, and a positive outlook. —An exploration company, Company president Quebec already has in place aboriginal land claim settlements in many areas and a clear and well documented set of mining regulations. —An exploration company, Company president I was impressed with the public consultation process managed by a branch of the ministry of environment in Quebec. Transparent, available, and respectful of timelines. —A producer company with more than US$50M, Manager Different environmental process and permitting rules in the same province. One portion of the province is covered by a First Nation agreement with the provincial government making it impossible to obtain any kind of preliminary permits before the final certificate of authorization is granted. In the same province, the same type of project can receive construction permits while waiting to finalize the certificate of authorization to open the mine. The end result is that the same project will take at least 2 years extra to open its mine and start mining. —An exploration company, Company president Quebec has dropped significantly over last 18 months with First Nations concerns, political risk, uncertain tax treatment, uncertain policies, negative on mining, and negative changes to mining legislation. —A producer company with less than US$50M, Company president
2012/2013 Survey of Mining Companies
Saskatchewan Progressive, mining friendly government, well regulated, balanced approach to protected lands, balanced approach to First Nation Land issues, very high mineral potential in a diversity of metals and minerals, great access and infrastructure, political stability, regulatory certainty and consistency, and a populace who know what pays the bills. —An exploration company, Company president Saskatchewan is one of the more straight forward jurisdictions for obtaining an approved LUP [Land Use Plan]; not because it is easy and lacking in substance, but because of the clarity in the requirements from the operator plus it provides a one-stop-shop approach with direct communication with the land use administrator. —An exploration company, Company president They have developed an effective mechanism for consultation and issuing permits. They have a native coordinator with Saskatchewan Environment that has trust and relationships with both aboriginal and industry groups. —An exploration company, Vice-president Saskatchewan—a fixed work permit and regulatory environment; in other words, a transparent process. —An exploration company, Company president
Yukon Yukon: the bands working with the miners to help grow the economy. —An exploration company, Investor relations Good mineral endowment and government just seems to work like one would hope it would. —A consulting company, Consultant
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Figure 10: Legal processes that are fair, transparent, non-corrupt, timely, and efficiently administered Northern Territory New Brunswick Wyoming Sweden Saskatchewan Newfoundland and Labrador Botswana Yukon Alberta Greenland Western Australia New South Wales South Australia Finland Norway Ireland Queensland New Zealand Victoria Nova Scotia Nevada Ontario Tasmania French Guiana Utah Alaska British Columbia Michigan Chile Manitoba Minnesota Idaho Northwest Territories Quebec Arizona Nunavut Namibia Mauritania Turkey Montana New Mexico Colorado Morocco Ghana Spain Mexico Washington Colombia Guyana Peru Argentina: Salta Serbia Zambia California Brazil Panama Dominican Republic Poland Burkina Faso Argentina: Catamarca Niger Bulgaria Argentina: San Juan Tanzania Mali Suriname South Africa Argentina: Rio Negro Papua New Guinea Argentina: Santa Cruz Romania Argentina: Neuquen Madagascar Argentina: Jujuy Argentina: Mendoza Russia Argentina: La Rioja Philippines Kazakhstan Greece China Argentina: Chubut India Mongolia Ecuador Kyrgyzstan Guatemala Zimbabwe Vietnam Venezuela Honduras Guinea (Conakry) Democratic Republic of Congo (DRC) Bolivia Indonesia Egypt
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The United States Although the USA’s average PPI score declined slightly in 2012/2013, it had three jurisdictions ranked in the top 10: Wyoming (5), Nevada (7), and Utah (10). Overall, US jurisdictions have improved their PPI scores over the last five years, with the exception of top-ranked Ne vada and Wy oming, which dropped slightly. Minnesota and Michigan saw the largest declines in their scores and rankings in 2012/2013. However, both had also moved up sig nif i cantly in the 2011/2012 rankings. Minnesota fell from 22nd in 2011/2012 to 40th in 2012/2013 due to worsening perceptions amongst respondents for labour and skills availability (-26%); and political stability (-14%). Michigan fell from 23rd in 2011/2012 to 33rd in 2012/2013 due to wors en ing per cep tions amongst respondents for availability of labour and skills (-29%); the legal system (-18%); and the quality of the geological database (-14%). Utah saw the greatest improvement in rankings amongst US jurisdictions in 2012/2013, moving from 21st in 2011/2012 to 9th due to increased survey ratings for the quality of the geological database (29%); taxation regime (22%); and regulatory duplication and inconsistencies (12%). Alaska also improved since last year’s sur vey—from 25 th in 2011/2012 to 19th in 2012/2013. The improvement was due to increased survey ratings for availability of labour and skills (13%); the quality of the geological database (11%); and infrastructure (8%).
United States in general There needs to be a classification just for the “United States.” While Alaska has great potential and the state government is welcoming, the federal government exerts incredible control over Alaska and thus it’s difficult to rate it high, given the federal intrusion. —A producer company with more than US$50M, Vice president
Alaska Supportive government, particularly in the central district where areas are specifically designated for mineral resource development. Permit process is a known quantity. Despite opposition in Southwest Alaska toward one project, the central district is the best place to have a project for certainty, exploration potential and geo-political risk. —An exploration company, Company president Alaska Land Claims Act. Unequivocally identifies native interest. —An exploration company, Company president
Arizona Withdrawal of over one million acres of federal lands in northern Arizona in January 2012 to prevent mining. The result was over 99% of valid claims were closed to further exploration. —A producer company with less than US$50M, Other senior management
Comments: United States California The comments in the following section have been edited for length, grammar and spelling, to retain confidentiality, and to clarify meanings.
2012/2013 Survey of Mining Companies
In California, greenhouse gas regulations (cap and trade regulations) are being implemented. There is
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Figure 11: Taxation regime Yukon Alberta Finland New Brunswick Utah Wyoming Alaska Saskatchewan Botswana Chile Northwest Territories Ireland Morocco Nevada Sweden Idaho French Guiana Arizona Greenland Turkey Mexico Nova Scotia New Zealand Newfoundland and Labrador Ontario Guyana Colombia Michigan Dominican Republic Nunavut Manitoba Panama Spain Peru British Columbia Burkina Faso Ghana Norway Quebec Victoria Namibia Colorado Papua New Guinea New Mexico Montana Serbia Washington Bulgaria Minnesota Mauritania Northern Territory Zambia Queensland New South Wales Argentina: San Juan Mali Western Australia Tasmania Brazil Argentina: Salta Niger South Australia Kazakhstan Argentina: Neuquen Indonesia Suriname Argentina: Catamarca Romania Philippines Argentina: Santa Cruz Honduras Madagascar Argentina: Rio Negro China Russia South Africa India Guatemala Tanzania California Argentina: Jujuy Vietnam Argentina: Mendoza Kyrgyzstan Poland Greece Democratic Republic of Congo (DRC) Argentina: Chubut Argentina: La Rioja Egypt Guinea (Conakry) Ecuador Mongolia Bolivia Zimbabwe Venezuela
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total confusion as to how the legislation will affect the mining industry, what the cost impacts will be, and you cannot get any answers from the California Air Resources Board who are implementing the legislation. —An exploration company, Company president
Nevada
Difficult land access, myriad environmental issues, hostile regulatory environment. —An exploration company, Company president
Good legal framework, tax regime stability at competitive rates, good approval procedures. —A producer company with more than US$50M, Company president
Colorado World class resources, but crippling regulations have clients not even considering investment. —An exploration company, Counsel
Idaho Good inter-agency coordination. —An exploration company, Company president
In Nevada, the NEPA process has become relatively streamlined allowing companies to have some certainty of what the permitting process is and achieving an outcome for a known cost and timeframe. —An exploration company, Company president
New Mexico New Mexico has turned around as a place to build uranium projects. It should be noted in your study that the new government is strongly supportive of resource development. —An exploration company, Company president
Utah Streamlined permitting and review process. —An exploration company, Senior management
Michigan Washington Straightforward, modern mining regulations were put in place in 2007. The current governor is pro-jobs and pro-mining —An exploration company, Company president
Washington needs balanced public policy regarding mining and environmental concerns. —A producer company with more than US$50M, Manager
Minnesota
Wyoming
Need to streamline the environmental approval process. —An exploration company, Company president
Lower tax regime, government encourages mining, little political downside. —A consulting company, Vice-president
2012/2013 Survey of Mining Companies
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Figure 12: Uncertainty concerning disputed land claims Greenland Utah Wyoming Sweden Nevada Botswana Norway Ireland Finland Idaho Chile Arizona Spain Colorado Alaska New Brunswick French Guiana Turkey Michigan Minnesota Burkina Faso Montana New Mexico California Nova Scotia New Zealand Washington Saskatchewan Alberta Namibia Serbia Queensland Ghana Argentina: Rio Negro Western Australia Argentina: Santa Cruz Nunavut Mali Yukon Morocco Victoria Northern Territory South Australia New South Wales Mauritania Quebec Argentina: Catamarca Dominican Republic Newfoundland & Labrador Argentina: San Juan Niger Tasmania Argentina: Salta Northwest Territories Colombia Mexico Zambia Brazil Argentina: Chubut Guyana Argentina: Mendoza Panama Bulgaria China Manitoba Kazakhstan Ontario Poland Madagascar Argentina: Jujuy Egypt Argentina: La Rioja Argentina: Neuquen India Guinea (Conakry) South Africa Mongolia Tanzania Peru British Columbia Romania Vietnam Russia Suriname Ecuador Kyrgyzstan Indonesia Democratic Republic of Congo (DRC) Honduras Philippines Papua New Guinea Greece Bolivia Guatemala Zimbabwe Venezuela
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Australia and Oceania The average PPI score for Australia is down slightly from 2011/2012, although there has been an increasing trend over the last five years. Western Australia is the highest ranked Australian jurisdiction with a rank of 15th and a PPI score of 79.3 in 2012/2013. Victoria showed significant improvement in both its PPI and rank, moving from 44th in 2011/2012 to 24th in 2012/2013 due to improvements in ratings for political stability (38%); and the legal system (16%).
Australia in general
New Zealand has steadily improved both its PPI score and rank ing over the last five years. In 2012/2013, its ranking rose slightly to 26th from 27th, with survey ratings improving most significantly for political stability (18%); the legal system (13%); and quality of the geological database (12%).
New South Wales
Indonesia dropped in the rankings from 85th in 2011/2012 to 96th (of 96) in 2012/2013 due to worsening ratings amongst survey respondents for politi cal sta bil ity (-6%); un cer tainty con cern ing environmental regulations (-6%); and uncertainty concerning the administration, interpretation, or enforcement of existing regulations (-3%). Papua New Guinea also dropped—to 77th in 2012/2013 from 66th in 2011/2012—with lower survey ratings for trade barriers (-15%); uncertainty regarding the administration, interpretation, or enforcement of existing regulations (-11%); and political stability (-6%). The Philippines remained at 88th (in the bottom 10) for the second year in a row.
Comments: Australia and Oceania
Across Australia, political and regulatory panic is seriously impacting the quality and timeliness of decisions, and certainty about access to land is very concerning. The “Twitter” factor is determining political attitudes and actions, and regulators are reacting to minimize the perceived “risk exposure” of their ministers. —An exploration company, Company president
Stable, not corrupt, has technical potential, skilled labour force, not too green, and sensitive to how mining assists remote development and usefulness of royalties. Pro-mining conservative government. —A consulting company, Company president
Queensland The introduction of new compensation agreements for exploration drilling in the minerals sector has been a disaster. Legal bills and compensation payments are outrageous. —An exploration company, Managing director
South Australia You get a professional case officer to deal with your approvals and the regulators are willing to be engaged at the highest level and help, not hinder, your proposals. —An exploration company, Vice-president
Tasmania The comments in the following section have been edited for length, grammar and spelling, to retain confidentiality, and to clarify meanings.
2012/2013 Survey of Mining Companies
Very green policies. —An exploration company, Company president
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Figure 13: Uncertainty concerning which areas will be protected as wilderness areas, parks or archeological sites Niger Morocco Burkina Faso Mali Mauritania Botswana Namibia Ghana Zambia Guinea(Conakry) Kazakhstan Wyoming Sweden Ireland Chile Tanzania Utah Finland Greenland Mexico Saskatchewan China New Brunswick Egypt Guyana Spain Nevada South Africa Western Australia Papua New Guinea Turkey Alberta Norway South Australia Argentina: Catamarca Russia Northern Territory Argentina: San Juan Serbia Argentina: Salta Yukon Newfoundland & Labrador Dominican Republic Minnesota New South Wales Democratic Republic of Congo (DRC) Peru French Guiana Kyrgyzstan Idaho Panama Michigan Alaska Mongolia Bulgaria Argentina: Jujuy New Mexico Victoria Brazil Argentina: Santa Cruz Nova Scotia New Zealand Quebec Vietnam Poland Suriname Queensland Guatemala Washington Manitoba Zimbabwe Nunavut Arizona Colombia Madagascar Montana Argentina: Chubut Argentina: Rio Negro Northwest Territories Argentina: Neuquen Ontario Argentina: La Rioja Argentina: Mendoza Philippines Tasmania Indonesia Greece Romania Bolivia Colorado Honduras India British Columbia Ecuador California Venezuela
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Victoria Difficult regulatory regime which increases exploration ex penses and in creases de ci sion-mak ing timeframes. —An exploration company, Managing director/ CEO
Western Australia Western Australia should have everything going for it, but its permitting processes are now more costly than actual exploration on the ground, are slow, and the reg u la tors woe fully un der manned and underfunded. In exploration and development, time is money and imposing 60-day (some agencies) or 45 working day approval window does not work, especially when the first feedback typically comes in 2 or 3 days before the deadline... —An exploration company, Vice-president Clear guidelines, rules, and regulations. Prompt government response. —An exploration company, Managing director
Indonesia The degree of corruption and the uncertainties regarding engagement of local stakeholders and shifting environmental regulations make this one of the most risky destinations for investment. The number of horror stories continues to grow. —An exploration company, Vice-president Forestry permits are purposely delayed and used as a means to either extort huge grease money or wait out an exploration to force it to abandon a viable project in order to be picked up by a domestic company owned by army generals or the political/economic elite. —An exploration company, Manager As a relative change measure, Indonesia has gone backwards more than any country due to ongoing
2012/2013 Survey of Mining Companies
uncertainty over foreign ownership laws, mandatory downstream processing requirements (implemented without industry consultation), a ban on export of raw commodities, corruption, poor governance […], unfair and unworkable forestry restrictions and impediments […], lack of confidence in the judiciary (mainly through corruption, but incompetence also), the rise in resource nationalism, etc. Although 70% of all investment comes from foreign capital, recent policy changes have either knowingly or unwittingly resulted in the marginalization of foreign investors. —A producer company with less than US$50M, Vice-president
New Zealand Risk-based approach to permitting. Easy and local councils have all the regulatory power without having to jump through hoops with different regulators. —A producer company with more than US$50M, Vice-president Quick issuing of permits (within 40 or so days) to carry out exploration in New Zealand. —An exploration company, Manager
Papua New Guinea Political instability. —A producer company with more than US$50M, Manager No legislative or regional stability. —A consulting company, Company president
Philippines Recent Executive Order and required pending legislation creates massive uncertainty for companies involved in exploration and final design stages of mining development. —Other, Vice-president
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Figure 14: Infrastructure (includes access to roads, power availability, etc) Utah Ireland New Brunswick Michigan Nevada Minnesota Finland Norway Arizona Wyoming Nova Scotia Alberta Idaho Sweden Turkey Washington Montana California New Zealand Bulgaria Colorado New Mexico New South Wales Victoria Spain Quebec Western Australia Ontario Saskatchewan Queensland Mexico Tasmania Northern Territory South Australia Serbia Argentina: Mendoza Manitoba Poland Greece Argentina: Salta British Columbia Namibia Morocco Argentina: San Juan Chile Botswana Dominican Republic Romania Argentina: Jujuy Argentina: Catamarca Argentina: Rio Negro South Africa Egypt Newfoundland & Labrador Peru Ghana Argentina: Santa Cruz Panama Zambia Argentina: Neuquen Kazakhstan Argentina: Chubut Argentina: La Rioja Brazil Yukon China Colombia Northwest Territories Alaska Russia India Tanzania Kyrgyzstan Burkina Faso Zimbabwe Honduras Guatemala French Guiana Vietnam Madagascar Ecuador Venezuela Indonesia Greenland Mali Niger Nunavut Mauritania Bolivia Suriname Philippines Guinea (Conakry) Guyana Mongolia Democratic Republic of Congo (DRC) Papua New Guinea
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Africa The average PPI score for Africa is down from 2011/2012, continuing a declining trend over the last five years. Botswana is the bright spot in Africa. It is the highest ranked jurisdiction on the continent (17th) and has improved its PPI score over the last five years. Mali saw the largest decline in its rank in 2012/2013, falling from 42nd to 79th. Mali dropped on nearly every policy factor, but most significantly in its survey ratings for uncertainty concerning environmental regulations (-29%); uncertainty concerning the administration, interpretation, or enforcement of existing regulations (-28%); and taxation regime (-23%). Mali also dropped in security (-12%) and political stability (-14%), although both factors were already rated very low in the 2011/2012 survey. Madagascar also fell in the rankings from 59th in 2011/2012 to 85th in 2012/2013 due to worsening perceptions amongst respondents for uncertainty concerning what areas will be protected as wilderness, parks, or archaeological sites (-23%); uncertainty con cern ing en vi ron men tal reg u la tions (-21%); and uncertainty concerning the administration, interpretation, or enforcement of existing regulations (-16%); although it did improve significantly on its rating for trade barriers (15%). Mauritania saw the largest improvement in Africa in both PPI and rankings; it moved up to 36th in 2012/2013 from 52nd in 2011/2012 due to improvements in the ratings for regulatory duplication and inconsistencies (19%); quality of the geological database (17%); legal system (17%); and uncertainty concerning what areas will be protected as wilderness, parks or archeological sites (17%). Namibia also recovered to 30th in 2012/2013 after dropping to 45th in 2011/2012. Its improved ratings were for uncertainty concerning disputed land claims (18%); availability of labour and skills (13%); and uncer-
2012/2013 Survey of Mining Companies
tainty con cern ing the ad min is tra tion, interpretation, or enforcement of existing regulations (11%).
Comments: Africa The comments in the following section have been edited for length, grammar and spelling, to retain confidentiality, and to clarify meanings.
Africa in general Resource nationalism in Africa is a major concern. Corruption needs to be controlled. Governments have to be more pro-active towards Investors. Transparency is a must and could be a strong motivator for investors. —A producer company with more than US$50M, Company president
Botswana Can get work done. Reasonable approval process. Not excessive regulations. Clearly pro-mining culture. Honest civil servants. —A producer company with more than US$50M, Manager Favourable attitude of government, fair social and environmental approach, fair taxation and no added requirements, and government is increasingly investing in assets such as infrastructure and education. —An exploration company, Manager
Burkina Faso The country recognizes the contribution to the economy that mining brings and they have great need. Permitting risk is very low and the time it takes from
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Figure 15: Socioeconomic agreements/community development conditions Wyoming Norway Finland Nevada Utah Sweden Alberta Arizona Nova Scotia Ireland New Mexico Idaho Saskatchewan New Brunswick Michigan Washington South Australia New South Wales Western Australia Spain Victoria Chile Minnesota Montana Northern Territory Yukon California New Zealand Queensland Manitoba Newfoundland & Labrador Tasmania Alaska Turkey Quebec Colorado Ontario Poland Botswana British Columbia Namibia Mexico Serbia Bulgaria Russia French Guiana Argentina: Catamarca Greenland Colombia Guyana Dominican Republic Brazil Mauritania Argentina: San Juan Ghana Northwest Territories Argentina: Salta Zambia India China Argentina: Rio Negro Panama Argentina: Mendoza Nunavut Argentina: Santa Cruz Morocco Argentina: Neuquen Argentina: Jujuy Kazakhstan Tanzania Mali Vietnam South Africa Madagascar Argentina: La Rioja Burkina Faso Mongolia Niger Suriname Egypt Romania Indonesia Peru Greece Argentina: Chubut Honduras Papua New Guinea Philippines Kyrgyzstan Guinea (Conakry) Guatemala Zimbabwe Venezuela Democratic Republic of Congo (DRC) Ecuador Bolivia
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discovery to development can be half that in most countries. —An exploration company, Company president
constrained within law. The future is uncertain. Local comment: “it’s under control.” —A consulting company, Consultant
Attractive mining code and stable legal system. —A producer company with more than US$50M, Founder and vice-chairman
The latest mining code is grossly unbalanced toward the government and of pure political nature. —An exploration company, Shareholder
Democratic Republic of Congo (DRC)
Madagascar
Corrupt beyond description and, from a mining point of view, a shambles in each and every conceivable respect. —A producer company with more than US$50M, Company president
Great mineral assets, highly corrupt government, and unstable policies and application thereof. —A producer company with more than US$50M, Company president
Mali Egypt Lack of transparency, lack of modern/reasonable mining code. —An exploration company, Vice president Uncertainty of tenure. —An exploration company, Company president
Ghana Second largest producer in Africa with a small population that depends on mining revenues. Large mining corporations have made sure title laws are strong and in place and maintained. There are minerals everywhere and due to a number of socio-political circumstances, many opportunities still exist. As long as you create employment in the field, traditional leaders will back you and they have the final say on the land. —An exploration company, Company president
First-in-time applications are being rejected in favour of other applicants due to corrupt payments by other applicants. —An exploration company, Director High tax, high import duty, and after-effects from the recent coup. Uncertainty about the Northern part of Mali and how it will affect the whole of Mali. —A producer company with more than US$50M, Former president
Mauritania Openness and flexibility by the government of Mauritania. They are keen to attract foreign investment in the resource sector and are sincere in their desire to create a world-class mining regime. —A producer company with more than US$50M, Vice-president
Morocco Guinea (Conakry) Guinea Conakry: licences were issued then transferred to a third party. Transfer methodology is not
2012/2013 Survey of Mining Companies
Professional people with good will... in one word: easy. —A producer company with more than US$50M, Manager
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Figure 16: Trade barriers—tariff and non-tariff barriers, restrictions on profit repatriation, currency restrictions, etc. Yukon Idaho New South Wales Finland New Brunswick Victoria Colorado Tasmania Nova Scotia Utah Queensland Michigan Ontario Nevada Sweden Newfoundland & Labrador California Northwest Territories Wyoming Saskatchewan Alaska Manitoba Ireland British Columbia Montana Greenland Spain Alberta Northern Territory Arizona Washington Norway Western Australia Nunavut New Zealand Turkey Minnesota Chile South Australia Botswana New Mexico Quebec Bulgaria French Guiana Panama Mexico Morocco Colombia Guyana Dominican Republic Poland Peru Namibia Ghana Greece Zambia Mauritania Burkina Faso Romania Serbia Mali Tanzania Papua New Guinea Honduras Brazil Madagascar Kazakhstan South Africa Guatemala Kyrgyzstan Philippines Niger Guinea (Conakry) Suriname Ecuador India Russia Indonesia Mongolia China Vietnam Democratic Republic of Congo (DRC) Argentina: Mendoza Argentina: San Juan Egypt Argentina: Rio Negro Zimbabwe Bolivia Argentina: Catamarca Argentina: Salta Venezuela Argentina: Neuquen Argentina: Jujuy Argentina: Chubut Argentina: Santa Cruz Argentina: La Rioja
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Namibia: mineral resources data is provided at relatively low cost to industry participants. This creates a junior-senior company level playing field thus encouraging investment. Well done! —A consulting company, Consultant
Government’s increased involvement in mining projects. —An exploration company, Vice-president
Zambia Black Economic Empowerment (BEE) rules, the uranium moratorium, and moves by the government to change mining law are toxic to new exploration investment. —An exploration company, Company president
Niger
Environmental approval process in Zambia: No duplication—a properly constructed and submitted EMP/EIS [Environmental Management Plan/ Environmental Impact Statement] approved in statutory time. —An exploration company, Company president
South Africa
Zambia: imposing a long moratorium and other delays, then penalizing investors for running out of time. —An exploration company, Executive director
Strikes, demonstrations, military killing workers. —An exploration company, Vice-president
Zimbabwe
Lack of stability. —A consulting company, Company president
Country with an unworkable political structure. —An exploration company, Company president Both South Africa and Zimbabwe are driving social experiments not driven by logic and economy, but by ide ol ogy. In the ab sence of rea son, pri mary industries be come the cash cows to fund the un-fundable. The rise of oligarchs in both countries evidences decline. —An exploration company, Vice-president
2012/2013 Survey of Mining Companies
Zimbabwe: unofficial government policy is you will never expatriate profits. Black empowerment and political uncertainty make large or long-term investment impossible; no rights of ownership, no rights to enter required professionals, corruption is high, border restrictions—unstable future. —A producer company with less than US$50M, Company president
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Figure 17: Political stability New Brunswick Saskatchewan Finland Botswana Greenland Northern Territory New Zealand Victoria Yukon Western Australia Alberta Newfoundland and Labrador Nova Scotia South Australia Wyoming Norway Nevada Arizona Manitoba Alaska Sweden Utah Ireland New Mexico Idaho Nunavut French Guiana Tasmania Ontario New South Wales Queensland Turkey Chile Northwest Territories Morocco Michigan Namibia Dominican Republic Montana Bulgaria Minnesota Colorado Poland Ghana Vietnam Brazil India Quebec Mexico British Columbia Washington China Spain Zambia Tanzania Panama Colombia California Guyana Serbia Russia Argentina: Catamarca Peru Argentina: San Juan Mauritania Kazakhstan Argentina: Neuquen Argentina: Salta Burkina Faso Argentina: Rio Negro Romania Indonesia Argentina: Mendoza Suriname Argentina: Chubut Argentina: Santa Cruz Argentina: Jujuy South Africa Philippines Argentina: La Rioja Ecuador Kyrgyzstan Papua New Guinea Madagascar Greece Niger Mali Democratic Republic of Congo (DRC) Mongolia Venezuela Honduras Guatemala Guinea(Conakry) Bolivia Zimbabwe Egypt
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Argentina, Latin America, and the Caribbean Basin The average PPI score for Argentina improved significantly in 2012/2013, with all jurisdictions except Santa Cruz improving. Rio Negro had the largest rank ing im prove ment, mov ing from 69 th in 2011/2012 to 41st in 2012/2013 due to improved ratings for the quality of the geological database (29%); socioeconomic agreements/community development conditions (24%); and uncertainty concerning disputed land claims (24%). Catamarca and Salta also im proved rank ings sig nif i cantly be tween 2011/2012 and 2012/2013, with Catamarca moving from 61st to 43rd, and Salta from 55th in to 38th. The average PPI score for the rest of Latin America and the Caribbean Basin also improved in the last year, in large part due to the addition of French Guiana to the survey in 2012/2013 and its PPI score of 64.6 (ranking it 27th). Chile remains the top-ranked jurisdiction in Latin America although its ranking dropped again in 2012/2013 to 23rd (Chile was a top-10 jurisdiction from 2007/2008 to 2010/2011) due to worsening perceptions amongst survey respondents for its legal system (-15%); regulatory duplication and inconsistencies (-14%); and uncertainty regarding the administration, interpretation, or enforcement of existing regulations (-14%). Guyana dropped most significantly in the ratings—from 53rd in 2011/2012 to 67th in 2012/2013—due to decreased ratings for labour regulations/employment agreements and labour militancy/work disruptions (-25%); uncertainty concerning disputed land claims (-22%); and uncertainty concerning environmental regulations (-17%). Panama recovered in the 2012/2013 rankings to 63rd after dropping to 82nd in 2011/2012. It improved its ratings for trade barriers (25%); uncertainty regarding the administration, interpretation,
2012/2013 Survey of Mining Companies
or enforcement of existing regulations (21%); and socioeconomic agreements/community development conditions (10%), although it also dropped notably in its rating for labour regulations/employment agreements and labour militancy/work disruptions (-10%). Honduras recovered in 2012/2013 to 83rd after dropping to the bottom spot (93rd of 93 jurisdictions) in 2011/2012 with modest improvements in most policy areas including uncertainty concerning disputed land claims (6%) and trade barriers (6%).
Comments on Argentina, Latin America, and the Caribbean Basin The comments in the following section have been edited for length, grammar and spelling, to retain confidentiality, and to clarify meanings.
Argentina in general The battles between the national and provincial governments in Argentina at the present time exacerbate the difficulty of operating any business in the country, and are especially difficult for mining, which depends on free trade, the ability to repatriate income from massive capital investments, and access to competitive labor, services, and supplies. —A producer company with more than US$50M, Senior management In the last three years Argentina has gone from being a place that welcomed mining investment and protected it to one where “nothing is certain,” other than the country’s and province’s desires to take an ever-increasing amount of the investment return. Inflation, currency controls, union activism, changing laws, corruption, and an unwillingness to acknowl-
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Figure 18: Labor regulations, employment agreements, and labour militancy or work disruptions Saskatchewan Yukon Greenland Utah Wyoming Finland New Brunswick Idaho Alberta Nevada Sweden Botswana Alaska Arizona Manitoba Norway Nunavut Northwest Territories Montana New Mexico Guyana Nova Scotia Michigan Colorado Turkey New Zealand Newfoundland & Labrador Ontario Ireland Minnesota Ghana Morocco Serbia Washington Quebec French Guiana Namibia Burkina Faso Northern Territory Vietnam Mauritania British Columbia Dominican Republic Chile Bulgaria Western Australia Queensland Colombia China Mexico Panama California Argentina: Catamarca Russia South Australia Spain Zambia Papua New Guinea Tasmania Victoria Mongolia Argentina: San Juan Tanzania New South Wales Suriname Romania Brazil Mali Philippines Argentina: Salta Poland Madagascar Guatemala Niger Indonesia Kazakhstan Peru Guinea (Conakry) Argentina: Rio Negro Democratic Republic of Congo (DRC) Argentina: Neuquen Argentina: La Rioja India Kyrgyzstan Argentina: Mendoza Honduras Argentina: Jujuy Argentina: Chubut Greece Zimbabwe Ecuador Argentina: Santa Cruz South Africa Venezuela Egypt Bolivia
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edge the negative aspects of the changes has made Argentina one of the most difficult places to invest and in fact has plummeted [it] from “desirable” to “not a chance at the moment,” even though the mineral endowment is largely untapped and the economic benefits to the poorest regions of the country could be enormous. —A producer company with more than US$50M, Company president Confiscatory tax regimes in Argentina, threats of expropriation, corruption at all levels of government. —An exploration company, Consultant
Catamarca The provincial government supports mining in line with the national government and according to the Mining Investment Law. The miniscule anti-mining opposition is not an impediment to mining devel op ment. We have strong sup port from the national, provincial, and municipal governments. [translated] —An exploration company, Company president
Chubut The current debacle unfolding in Chubut over the new proposed mining law has been devastating. Promised changes to allow open pit mining in the Messeta Central were supposed to open the door to a floodgate of new investment, but misguided drafters attached extremely punitive new tax and royalty clauses to the legislation, stalling projects and throwing the province into uncertainty. —An exploration company, Company president
Mendoza Legislation “against mining” in Mendoza province. —Other (Academia), Study coordinator
2012/2013 Survey of Mining Companies
Salta The government and the locals are mining friendly. —An exploration company, Manager
Santa Cruz Corrupt, unstable political environment, nationalistic. —A producer company with more than US$50M, Consultant
Latin America in general Honduras, El Salvador, and Ecuador need clear mining law and secure land tenure. —An exploration company, Company president In general, the countries with good mineral potential but the worst policies (Venezuela, Zimbabwe, various Argentina provinces, Ecuador, Honduras, El Salvador) need new pro-private enterprise regimes. —A producer company with more than US$50M, Senior management
Bolivia Bolivia is a nightmare... confusion at all levels. Policy being developed but no realism as to what it should be. —An exploration company, Manager Bolivia—reverse the nationalization policies and move back toward an open free market economy. —A producer company with less than US$50M, Vice-president
Chile Chile has been the least risky place to invest in mining because it completely embraces mining, the rules and regulations are clear, the rule of law is strong, [there is a] low rate of corruption, the time from discovery to development is the shortest I know, [there
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Figure 19: Geological database (includes quality and scale of maps, ease of access to information, etc.) Finland New South Wales British Columbia Saskatchewan New Brunswick Yukon Queensland South Australia Greenland Western Australia Wyoming Northern Territory Newfoundland & Labrador Ontario Quebec Utah Ireland Manitoba Alberta Nevada Tasmania Nova Scotia Colorado Sweden Alaska New Zealand Victoria New Mexico Northwest Territories Montana Arizona Idaho Norway Nunavut French Guiana Spain Minnesota California Mexico Washington Chile South Africa Botswana Peru Turkey Dominican Republic Brazil Namibia Argentina: Catamarca Russia Michigan Argentina: San Juan Argentina: Rio Negro Argentina: Jujuy Argentina: Salta Argentina: Neuquen Serbia Ghana Greece India Morocco Argentina: La Rioja Zambia Papua New Guinea Poland Bulgaria Argentina: Santa Cruz Mauritania Argentina: Mendoza Romania Colombia Kazakhstan Mongolia Tanzania Argentina: Chubut Burkina Faso Indonesia Kyrgyzstan Philippines Honduras Guyana Guatemala Madagascar Egypt Niger Panama Ecuador Mali China Zimbabwe Vietnam Bolivia Guinea (Conakry) Suriname Venezuela Democratic Republic of Congo (DRC)
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are] clear-cut environmental requirements, an availability of talent, access to capital, and great security. —Development company, Company president Chile: revoked EIS [Environmental Impact Statement] approval after it was approved based on lack of indigenous people consultation as per ILO169 [C169—Indigenous and Tribal Peoples Convention] when the country itself does not officially recognize pertinent peoples as indigenous. —A producer company with more than US$50M, Senior management
Colombia Colombia: Attempting to get permit to work on lands in “Pacific Forest Zone” that were all clear-cut in 1940s. Government agency biologists, zoologists, etc. are totally supportive and all studies have been positive but administrator refuses to sign order for more than a year because he is afraid that the NGOs will not be happy with action. —An exploration company, Company president
French Guiana Previous company had an advanced exploration project which was cancelled by French government after they had spent many millions in exploration and environmental monitoring. It appeared the French government had no intention of allowing large-scale mining for the site but continued to allow exploration. —An exploration company, Senior management
Guatemala The direct allocation of a portion of the royalty revenue generated by a mine to the municipality or region in which the mine operates—as provided by Guatemala’s mining law—ensures that the economic benefits of mining are shared with the local population. —A producer company with more than US$50M, Other senior management Corruption, unstable governments, large impact of NGOs and religious leaders. —An exploration company, Company president
Ecuador Guyana Ecuador: We now have environmental, mining, and social laws, and tax regulations (the institutions for control and regulation of activity). —A consulting company, Company president Government is unable to support consistent mineral use policies and ownership. —An exploration company, CFO
Guyana: multiple claim holders registered to 1 claim caused by administrative laxity. —Other, Contract coordinator In Guyana, with the granting of the prospecting licence, environmental permits for any exploration related matter are also included. —An exploration company, Manager
Dominican Republic Mexico Open door in the Dominican Republic for investment in mining. —A producer company with more than US$50M, Consultant
2012/2013 Survey of Mining Companies
Long mining history, NAFTA, strong track record of mines being developed, no royalty, reasonable tax regime, decent infrastructure, reasonable time to
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Figure 20: Security (includes physical security due to the threat of attack by terrorists, criminals, guerrilla groups, etc.) Michigan Idaho New Zealand Greenland Finland Yukon Nunavut Nova Scotia New Brunswick Victoria South Australia Queensland Northern Territory New South Wales British Columbia Nevada Saskatchewan Alberta Western Australia Montana Alaska Quebec Colorado Sweden Minnesota Ontario Tasmania Wyoming Utah Washington Newfoundland & Labrador Northwest Territories Norway Botswana Poland California Arizona Manitoba Ireland Argentina: Rio Negro Argentina: La Rioja Chile New Mexico Spain Argentina: Neuquen Argentina: Catamarca Namibia Bulgaria Argentina: Jujuy French Guiana Argentina: San Juan Argentina: Mendoza Dominican Republic Ghana Argentina: Chubut Argentina: Santa Cruz Argentina: Salta Zambia Vietnam Mongolia Turkey China Serbia Panama Brazil Romania Morocco Mauritania Madagascar Guyana Greece Kazakhstan Russia Tanzania India Kyrgyzstan Burkina Faso Peru Ecuador Suriname Indonesia South Africa Bolivia Guinea (Conakry) Zimbabwe Egypt Colombia Mexico Mali Venezuela Honduras Philippines Democratic Republic of Congo (DRC) Papua New Guinea Guatemala Niger
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permit, wide variety of productive geologic environments, good labor force, skilled engineers (no need for ex-pats long term), support at state and federal levels for mining. Local problems in the south can deter investment. —An exploration company, Company president
When applying for drill permits in Peru with all requirements completed, the permit is issued in due course and within the indicated time frame. It is worth congratulating the competent authorities for the diligent and professional handling of the process! —An exploration company, Company president
After we discovered multiple, very rich and large mineral resources in a Mexican state, we were targeted by very powerful groups. This is still ongoing, so I will not name names. These groups hired Mexican and Canadian anti-mining groups to target one of our operations. They began an extortion campaign against us and we received no help from the state government. These groups tried desperately to drive us out of the state. —An exploration company, Company president
New royalty structure in Peru based on operating margins. —An exploration company, Company president
Panama Corruption, unforeseen future title problems. Success attracts political and security problems. —A consulting company, Company president
Suriname One of my companies spent 13 years investing in gold exploration in Suriname. I am a patient and persistent investor, but we finally pulled out in 2007. The government effectively confiscated our main property even though it was effectively our partner! My opin ion in a nut shell is that I would not go back. Even though the country has good mineral potential, the government is corrupt; there is no rule of law, and little infrastructure. —A producer company with more than US$50M, Senior management
Peru Venezuela Peru has an excellent (and automated) land tenure system. —An exploration company, Vice-president
2012/2013 Survey of Mining Companies
Expropriations/confiscations in Venezuela. —An exploration company, Company president
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Figure 21: Supply of labor/skills Finland Nova Scotia Sweden New Brunswick Utah Nevada Wyoming Ontario Victoria Spain Newfoundland & Labrador Idaho Montana Colorado Arizona British Columbia Quebec Ireland Bulgaria Alaska Serbia Minnesota Saskatchewan Manitoba New Mexico Argentina: Neuquen Poland New South Wales Argentina: Jujuy South Australia Michigan Washington Queensland Northern Territory Yukon Turkey New Zealand Argentina: Catamarca Norway Argentina: Rio Negro Russia Chile Tasmania Western Australia California Peru Brazil Morocco Mexico Alberta Argentina: La Rioja Argentina: San Juan French Guiana Northwest Territories China Argentina: Mendoza Argentina: Salta Ghana India Kazakhstan Vietnam Romania Panama Nunavut Argentina: Santa Cruz Greenland Dominican Republic South Africa Colombia Namibia Zambia Philippines Kyrgyzstan Indonesia Tanzania Botswana Argentina: Chubut Greece Niger Mauritania Guyana Bolivia Egypt Mali Mongolia Zimbabwe Guinea (Conakry) Burkina Faso Papua New Guinea Madagascar Honduras Ecuador Guatemala Suriname Democratic Republic of Congo (DRC) Venezuela
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Eurasia The average PPI score for Eurasia did not change significantly in 2012/2013. Greece was added to the survey and ranked 87th (in the bottom 10). Serbia was also added and ranked 52nd in the 2012/2013 survey. Nordic countries performed very well in the survey holding three of the top 10 jurisdictions: Finland (1), Sweden (2), Norway (10). Greenland ranked 14th. Norway had the most significant improvement in its PPI score and ranking, moving up to 10th in 2012/2013 from 24th in 2011/2012 due to improved ratings for its taxation regime (36%); political stability (22%); and infrastructure (17%). Turkey also improved from 60th in 2011/2012 to 53rd in 2012/2013 with improved survey ratings for availability of labour and skills (20%); trade barriers (18%); and level of security (16%). India, too, moved up in the rankings from 89th in 2011/2012 (in the bottom 10) to 81st in 2012/2012, although the ratings on individual factors were mixed, with improved ratings in many areas, most significantly political stability (20%), tempered by a notable drop in ratings for uncertainty concerning environmental regulations (-10%). Po land dropped in the rank ings from 46 th in 2011/2012 to 57th in 2012/2013 with lower ratings for infrastructure (-24%); uncertainty concerning disputed land claims (-15%); and legal system (-15%), while also showing improvements in ratings for the level of security (20%) and availability of labour and skills (18%). China had the most significant drop in its PPI score and ranking, falling from 58th in 2011/2012 to 72nd in 2012/2013, due to worsening perceptions amongst survey respondents for the level of security (-19%); uncertainty concerning environmental regulations (-13%); and uncertainty
2012/2013 Survey of Mining Companies
concerning which areas will be protected as wilderness, parks, or archeological sites (-9%).
Comments on Eurasia China Our company is being forced by local governments in China to sell its mining operation to a local operator without a competitive process in place and the designated buyer will not pay fair market value for the assets and resources. This will create a local monopoly and potentially cause risk from various safety perspectives to our employees. —An exploration company, Company president Uncertainty going forward regarding consistency of mining policy, mining rights, taxation, and royalties. —A producer company with more than US$50M, Senior management
Finland Changes in the new mining law, and under-staffing of the permitting team in government, has seen the claim applications process for mineral exploration go from a six-month approval time in 2006 to an average of 4 years. This means it takes four years from identifying your target and applying for the claim before you can drill. The mining lease approval waiting list is now over four years. It is really holding up the process. —A producer company with less than US$50M, Company president No unnecessary regulations and a government that supports mining and clears away obstructions. —A producer company with more than US$50M, Vice-president
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Figure 22: Corruption Idaho New Zealand Greenland French Guiana Finland Nova Scotia New Brunswick Newfoundland & Labrador Saskatchewan Queensland Sweden British Columbia South Australia Alberta Yukon Western Australia Wyoming Arizona Northern Territory Alaska Norway Victoria Utah New South Wales Nevada Minnesota Ireland Colorado Nunavut Ontario Manitoba Northwest Territories Michigan Tasmania Montana California New Mexico Washington Chile Quebec Botswana Spain Poland Turkey Namibia Morocco Mauritania Argentina: Neuquen Argentina: Rio Negro Argentina: Catamarca Ghana Burkina Faso Peru Colombia Argentina: Salta Brazil Argentina: San Juan Dominican Republic Argentina: La Rioja Zambia Guyana Niger Argentina: Mendoza China Argentina: Chubut Argentina: Jujuy Greece Panama Mexico Argentina: Santa Cruz Suriname South Africa Bulgaria Russia Tanzania Papua New Guinea Mali Ecuador Vietnam Mongolia Serbia Kazakhstan Romania Madagascar Philippines Zimbabwe Bolivia India Venezuela Guinea (Conakry) Indonesia Honduras Kyrgyzstan Guatemala Egypt Democratic Republic of Congo (DRC)
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Greenland The mining act is transparent in Greenland... Easy to understand and follow. —An exploration company, Company president Our experience shows that there is a will to put mines into production. There are no royalties, no aboriginal land claims, and a one-door policy to get approvals from exploration through exploitation. The government benefits through corporate and employer taxes, which encourages mine production. —An exploration company, Company president
Greece Economic uncertainty; inconsistent mining regulation. —A consulting company, Vice-president Many stalled gold projects over last 30 years. —An exploration company, manager
India Uncertain regulations, corrupt system, poor infrastructure. —Mining equipment distributor, Vice-president India has enormous monazite resources; however, it does not allow the private sector the opportunity to exploit this mineral. Because it contains thorium, monazite is reserved for the exclusive use of the government. —An exploration company, Chairman & CEO
Ireland Online information database and application process in Ireland. —An exploration company, Company president
2012/2013 Survey of Mining Companies
Stable, transparent governments. —An exploration company, Company president
Kazakhstan Kazakhstan: high level of corruption. —A consulting company, Company president
Kyrgyzstan Corrupt, inconsistent and random policy changes. —An exploration company, Company president Kyrgyzstan: demand for free participation in project by relatives of the then President. —An exploration company, Company president
Mongolia Incessant changes to relevant laws as a kneejerk reaction to specific instances and its desire to re-open existing agreements made in good faith. —An exploration company, Vice-president Illegal expropriation of assets in Mongolia. —A for mer de vel op ment com pany, Com pany president
Poland Most of the country of Poland is protected due to wildlife, nature, forests (more than 30%). The most difficult problem caused is the implementation of restricted areas—so-called Natura 2000—in each of the EU countries. There is restriction under EU jurisdiction and every change for mining purposes often requires a decision from Brussels. Our Polish executives are able to decide, but are so scared that they do not take the risk to make any decision in that problem area. Sometimes very important deposits cannot be exploited due to the nature restriction, although there is sometimes really nothing worth being protected. This problem is especially difficult in Polish lignite
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Figure 23: Growing (or lessening) uncertainty in mining policy and implementation Nova Scotia New Brunswick Sweden Saskatchewan Greenland Norway Botswana Newfoundland & Labrador Alberta Finland Ireland New Zealand Utah Yukon Wyoming Nevada Chile Turkey Michigan Nunavut Northwest Territories Northern Territory Arizona Western Australia Poland Alaska Idaho Ontario Manitoba New Mexico South Australia French Guiana Brazil Dominican Republic Minnesota Panama Spain Namibia Morocco Serbia New South Wales Queensland Montana Mexico Guyana Ghana Bulgaria Colombia Victoria British Columbia Quebec Colorado India Washington Tasmania Argentina: Neuquen Zambia Mauritania Argentina: Rio Negro Argentina: Salta Argentina: Catamarca Argentina: San Juan Tanzania Burkina Faso Peru California China Argentina: La Rioja Romania Guatemala Argentina: Mendoza Argentina: Jujuy Greece Argentina: Santa Cruz Russia Suriname Kazakhstan Vietnam Argentina: Chubut Niger Papua New Guinea Madagascar Guinea (Conakry) South Africa Mongolia Honduras Indonesia Mali Philippines Venezuela Ecuador Kyrgyzstan Zimbabwe Democratic Republic of Congo (DRC) Bolivia Egypt
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open cast mines. There is also a problem with outer dumping of overburden in European lignite mines. —A producer company with more than US$50M, Manager
the one-year tenure, renewable annually. The process proceeded successfully and fairly. —An exploration company, Company president
Spain In Poland, a mining company (or any other investor) is not the owner of the geological information it produces. The state is the owner of the information and may sell the information to any other company. There is also no preference in granting en exploitation licence to a company holding an exploration permit. —Academia, Researcher
Romania Clear procedures that remove politics from the environmental permitting process would make development of mines practical. —A consulting company, Manager
Russia Russian policy is to review all applications within 90 days with 10 days for a company response to questions/issues and a yes/no decision within two weeks. In many respects, their environmental requirements are stricter than in Canada (e.g., dry-stacked gold tailings in some jurisdictions). —A consulting company, Manager A joint venture agreement was completely ignored and the deposit sold to a third party who only reimbursed 50% of our investment after threats of litigation in The Hague. Courts and litigation in Russia were laughable. —An exploration company, Company president
Serbia Serbia has modernized its mining law. Companies had to re-apply for new three-year rights rather than
2012/2013 Survey of Mining Companies
Spain: Impossible to open anything even if the crisis is destroying the country. —A producer company with more than US$50M, Manager
Sweden No hurdles, investment friendly, proactive. No corruption. Obvious law, clear processes, and regulations. Winner. No time wasting. —An exploration company, Vice-president Mining culture and history, trained workforce, exceptional infrastructure, good regulatory processes, underexplored, known world class mineral deposits. —An exploration company, Company president
Vietnam Mining Law 2010 passed after a consultation period with various interest groups who participated in the feedback process. The result is that the Ministry of Natural Resource and Environment (MONRE) has struggled to make sense of the regulation to enable it to pass the enabling provisions, therefore no new investment in any mine of scale since the legislation was passed has occurred. —An exploration company, Company president Endemic corruption, highest taxes and royalties in the world, unskilled workforce, political ineptitude, and a constantly shifting and overly complex regulatory framework. —A producer company with more than US$50M, Senior management
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Figure 24: Composite policy and mineral potential Yukon Finland Nevada Sweden Western Australia Wyoming Alaska Saskatchewan Ontario Quebec Greenland Botswana New Brunswick Chile Utah South Australia Newfoundland & Labrador Alberta Manitoba NWT British Columbia Northern Territory Queensland Nunavut Norway Arizona Mexico Turkey Ireland Namibia Serbia Idaho Colorado Papua New Guinea Montana Mongolia Argentina: Catamarca Nova Scotia Colombia Peru Argentina: San Juan Mauritania Brazil Ghana New Zealand Minnesota Argentina: Salta Zambia New South Wales Michigan New Mexico Tanzania Burkina Faso Indonesia Russia Victoria Philippines Argentina: Santa Cruz India Argentina: Rio Negro Tasmania Kazakhstan Argentina: Jujuy California French Guiana Kyrgyzstan South Africa Spain Democratic Republic of Congo (DRC) China Guyana Morocco Egypt Argentina: Neuquen Washington Argentina: Mendoza Argentina: La Rioja Dominican Republic Madagascar Vietnam Bulgaria Suriname Ecuador Argentina: Chubut Panama Mali Poland Guinea (Conakry) Zimbabwe Bolivia Niger Venezuela Guatemala Romania Honduras Greece 0
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What miners are saying The comments in the following section have been edited for length, grammar and spelling, to retain confidentiality, and to clarify meanings.
Good policy is… Any jurisdiction that allows a company or individual to keep mineral dispositions in good standing by carrying out the appropriate amount of exploration and development work. —Vertically integrated, Senior management Government interactions with mining chamber or other operators’ representative body before changes are made. —A development company, Company president Tax on transfer of mining right not valued on direct profit, but based on valuation, at tax department’s discretion. —An exploration company, Company president Case management of proposed mining projects being handled by one regulatory agency, with a dedicated case manager for each project being appointed to assist the proponent in going through the approvals process. —An exploration company, Manager Fairness and law and order. —An exploration company, Company president Streamline mine permitting process, particularly the timeline. —A producer company with more than US$50M, Manager
2012/2013 Survey of Mining Companies
Profit-based taxes versus net royalties. —An exploration company, Company president Publishing mineral licences database on the internet for all to see what licences are due to expire. —An exploration company, Manager
Horror stories Ontario: Uncertainty over native rights and land claims. —An exploration company, Company president Ontario off-loading native consultation/accommodation to the mining and exploration communities when the Supreme Court of Canada has clearly defined this process as a provincial responsibility re: minerals. —A producer company with more than US$50M, Vice-president Constant pressure from NGOs in Central and South American countries taking valuable focus away from operations and into providing proof of false allegations against mining companies. —A producer company with more than US$50M, Manager Soil sample grid in Zimbabwe was noticed by locals who thought the flagging marking the soil sample sites denoted the presence of gold. Local miners swarmed in, devastated the grid site with hand excavations to 10 meters deep and the Zimbabwe government did nothing to stop the rape and pillage of what turned out to be a geochemically dead grid. —A consulting company, Company president
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Quebec government wants to give a veto on mining to municipalities, even those that grew over mines in historically recognized mining camps! This opens up great opportunities for “brown envelopes” and corruption to local mayors!!! —An exploration company, Company president Finland has gone from issuing mining exploration claims within a week in 2007 to taking 3+ years to issue mining exploration claims. This is an impossible environment for junior mining exploration companies to work in! —An exploration company, Company president
Endless “community consultation” in Northwest Territories for early-stage exploration. The eventual cost of consultation exceeded the exploration budget. —An exploration company, Company president The system for claim appeal in the province of Quebec. It can take up to 4 years to conclude a decision over a single, simple issue. —An exploration company, Company president Indonesia: Approved mining right taken and given to a third party, with no consultation. —A consulting company, Vice-president
Bolivian expropriation of mining assets. —An exploration company, Vice-president
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www.fraserinstitute.org
Investment patterns Total exploration budgets for 2012 were US$6.2 billion. Exploration budgets had increased from 2011, when exploration budgets were US$5.4 billion (figures 25a and b). Over the last five years (2007-2012), just over half (51.3%) of respondents increased their exploration expenditures (see table 4). Exploration investment was led by producer companies with more than US$50M revenue, where almost 80% of respondents reported increased exploration expenditures. By contrast, only 34.4% of producer companies with less than US$50M revenue increased their exploration expenditure, while 40.6% decreased expenditure. Investments by exploration companies also diverged, with 46.5% increasing investment, 38.1% decreasing investment, and 15.4% leaving their investments unchanged between 2007 and 2012. Only 46% of respondents plan to increase their exploration budgets in 2013; down from 68% in 2012 and 82% in 2011 (see table 5). Producer companies with less than US$50M led the way, with 66.7% anticipating an increased exploration budget in 2013. This was followed by exploration companies, where 52.7% anticipated an increase in their exploration budget. Only 36.6% of producer companies with more than US$50M and 25% of consulting companies expect to increase their exploration budgets in 2013.
Commodity prices Miners continue to be pessimistic about future commodity prices; more than half of the survey respondents expect small increases (less than 10%) or reduced prices for diamonds, coal, nickel, zinc, copper, potash, platinum, and silver over the next two years (see table 6). For a majority of respondents, only gold was expected to increase in value by more than 20% over the next two years.
2012/2013 Survey of Mining Companies
We asked miners whether they thought that the prices of these commodities over the next two years would increase by over 50 percent, between 20 percent and 50 percent, under 10 percent (in other words, stagnant prices just above or below the rate of inflation), or decline (see figure 26).
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86.4% of respondents thought diamond prices would increase by 10% or less, or decline over the next two years
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83.8% of respondents thought coal prices would increase by 10% or less, or decline over the next two years
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82.7% of respondents thought nickel prices would increase by 10% or less, or decline over the next two years
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81.5% of respondents thought zinc prices would increase by 10% or less, or decline over the next two years
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74.2% of respondents thought potash prices would increase by 10% or less, or decline over the next two years
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73.7% of respondents thought copper prices would increase by 10% or less, or decline over the next two years
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64.3% of respondents thought platinum prices would increase by 10% or less, or decline over the next two years
Projections for gold and silver prices were more positive. While 53.4% of respondents thought silver prices would increase by 10% or less, or decline over the next two years, others were more positive. 41.5% of respondents expected prices to increase by 20-50% and 5.2% expected price increases of more than 50% over the next two years.
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Figure 25a: Exploration budget by company type ($US), 2011*
Figure 25b: Exploration budget by company type in $US, 2012
Total = US$5.4 billion* Exploration company: $1,773,722,625
Exploration company: $1,650,883,617
Other: $170,079,000
Other: $192,725,000 A producer company with more than US$50M: $3,314,463,307
Producer company with less than US$50M: $110,080,000
Producer company with less than US$50M: $136,485,000
Producer company with more than US$50M: $4,286,069,823
Total = US$6.2 billion
*Note: This is the total from the responses given to the 2012 survey; the number differs from the figures in last year’s report because a different group of miners responded to the survey this year.
Table 4: Has your total (worldwide) exploration expenditure increased, decreased, or remained the same over the five-year period from 2007-2012? All Responses
Exploration Companies
A producer company with less than US$50M
A producer company with more than US$50M revenue A consulting company
Other
66
Table 5: Do you anticipate your exploration budget will increase in 2013? All respondents
Increased
302
Yes
275
No
320
Decreased
174
Unchanged
113
Increased
160
Yes
183
Decreased
131
No
164
Unchanged
53
Increased
11
Yes
22
Decreased
13
No
11
Unchanged
8
Increased
98
Decreased
13
Unchanged
12
Increased
18
Decreased
11
Unchanged
23
Increased
15
Decreased
6
Unchanged
17
Exploration Companies
A producer company with less than US$50M
A producer company with more than US$50M revenue Yes
45
No
78
Yes
13
No
39
Yes
12
No
28
A consulting company
Other
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Figure 26: Do you believe that for the following minerals, prices over the next two years will: 70%
Increase by more than 50%
Increase by 20-50%
Increase by 10% or less
Decline
60%
50%
40%
30%
20%
10%
0% Cu (Copper)
Ag (Silver)
Zn (Zinc)
Au (Gold)
Ni (Nickel)
Gold price projections were the most positive. Only 38.8% thought gold prices would either increase by 10% or less, or decline over the next two years; 53.4% thought they would increase by 20% to 50%, while 7.7% expected increases of more than 50%. Given the positive price expectations for gold, it is unsurprising that gold continues to be the commodity assigned the largest proportion of the budgets of survey respondents (see table 7). Gold was assigned the largest proportion of the budget for 49% of those responding to the question, followed by copper (17%), and silver (6%). For the first time in our survey, respondents were asked whether, despite recent price uncertainty, they believed that commodity prices would continue to rise in real terms (inflation adjusted) over the long term (over 10 years). Miners appear some-
2012/2013 Survey of Mining Companies
PGM (Platinum)
Diamonds
Coal
Potash
what optimistic in the long term, with 48% expecting prices to rise by up to 15%, 19% expecting prices to rise by 15-30%, and 17% expecting stable prices over the next 10 years (see figure 27). Finally, respondents were also asked about their agreement with the statement, “many in the mining industry believe the industry now has great difficulty raising funds compared to two years ago.� Of those who responded, 60% agreed strongly with this statement, 31% agreed somewhat, and only 9% disagreed somewhat or strongly. Of those who agreed with the statement, nearly 80% believed the difficulty raising funds was due to investors being worried about the state of the world economy, 52% believed that investors are risk averse and see mining as risky, and 36% thought that investors are worried that costs in mining are rising (see figure 28).
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Table 6: Do you believe that for the following minerals, prices over the next two years will: increase by more than 50% Cu (Copper)
increase by 20-50%
increase by 10% or less
Decline
9
141
346
75
Ag (Silver)
29
231
241
56
Zn (Zinc)
8
90
331
100
Au (Gold)
46
318
187
44
Ni (Nickel)
6
84
317
112
12
170
270
59
Diamonds
4
65
278
162
Coal
4
80
251
183
Potash
5
126
280
97
PGM (Platinum)
Figure 27: Despite recent price uncertainty, do you believe that commodity prices will continue to rise in real terms (inflation adjusted) over the long term— say, over the next 10 years? 60%
50%
40%
30%
20%
10%
0% No, prices will fall by more than 15%
68
No, they will fall but They will remain stable by less than 15% over the next 10 years
Yes, they will rise by up to 15%
Yes, they will rise by 15-30%
Yes, they will rise by over 30%
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What miners are saying about investment patterns The comments in the following section have been edited for length, grammar and spelling, to retain confidentiality, and to clarify meanings.
Market concerns… With companies trading at a fraction of the value of their assets, it is obvious that the market is not working properly right now. We can only hope that common sense brings things back to clarity. —An exploration company, Company president The political climate relative to mining has deteriorated almost globally over the last 5 years as governments, particularly in South America, have inserted themselves more and more into the economic and regulatory framework—on an ad-hoc basis. The investment climate has also deteriorated during the same period as miners have failed to deliver the full benefits of the commodity price boom, partially due to our own lack of discipline and partially for underestimating the impacts of government. —A producer company with more than US$50M, Company president Overall, the mining industry tends to destroy capital, so it is only when the wind is at our back, (i.e., rising commodity prices and an increased appetite for risk) that money flows freely into mining exploration. —An exploration company, Company president The current risk-averse climate, especially towards junior exploration companies, is a major concern to the sector’s future ability to finance, explore, discover, and develop new resources. Measured & Indicated (M&I) ounces in good jurisdictions valued at <$5/oz. in a $1,700 gold price environment is testament to that. —An exploration company, Company president
2012/2013 Survey of Mining Companies
The move towards yield in the resource sector shows a lack of investor understanding in the space [of mining] as a growth investment rather than a yield investment. —A producer company with more than US$50M, Company president Exploration/mining are not generating returns commensurate with risk because governments, communities, and workers are gaining a larger piece of the pie—combined with higher levels of regulation which adds cost and time—that render this business less than appealing. —A producer company with more than US$50M, Manager The investment model for junior miners is broken. The costs of doing business and the regulatory requirements have risen dramatically over the last decade and the difficulty of exploration juniors to attract funding is at an all-time low. —An exploration company, Company president Only a few stock exchanges are suitable for listing exploration company stocks. The TSX and LSE are the two largest and both have regulations suitable for speculative exploration. The failure to allow the merger between these two exchanges has deprived Canadian explorers, and non-Canadians listing on the TSX, of access to a much larger pool of liquidity than is currently available. —A consulting company, Consultant Until we have a fundamental change in the way that decision-makers for investments in mining are remunerated, i.e., those that reside in the investment banks and fund management companies, we will not see a change in the investment going to the riskier end of the market that needs the cash, i.e., the juniors that guarantee the future replacement for the mid-caps
69
Figure 28: If you agree miners are having difficulty raising funds, is this because: 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Investors believe Investors are worried commodity prices will about the state of the be weak for sometime world economy
Investors are risk averse and see mining as risky
and the majors of continuously depleting resource bases. You cannot remunerate people on a quarterly performance for a stock that is involved in a long-term development business. It is the most ridiculous contradiction that exists. The structural readjustment seen in the retail banking sector needs to flow through to the negative value adding investment banking and fund management sector. —A consulting company, Company president The investment climate is simply hinging on the back of Chinese growth, which in part is linked to European and US recovery and a return to fully functioning consumerism. Until the latter occurs, there will be ongoing uncertainty in commodities. —A producer company with more than US$50M, Manager The investment industry is now backing investment in gold and precious metals directly and through ETFs rather than in mining and exploration compa-
70
Investors are worried that costs in mining are rising
Investors are concerned about the impact of resource nationalism
Other
nies. Some of the potential rewards that investors normally expect are being stripped by the issuance of derivatives in the market or by discounting of share values through sale of flow-through shares, etc. —An exploration company, Company president As long as the world economy is weak and uncertain, investors will not speculate in exploration ventures. —An exploration company, Chairman & CEO
Current market conditions Investors are worried about management’s ability to deliver projects on time and budget. —Development company, Company president Funds are available for good quality advanced projects. Funds are difficult to source for junior exploration companies. —An exploration company, Managing director
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Table 7: What commodity is assigned the largest proportion of your budget? Mineral
Percent
Number
Au (Gold)
49%
304
Cu (Copper)
17%
105
Ag (Silver)
6%
36
Coal
4%
25
Zn (Zinc)
4%
24
U (Uranium )
4%
22
Fe (Iron)
3%
19
Ni (Nickel)
3%
18
Rare Earths
1%
9
Diamonds
1%
8
PGM (Platinum)
1%
6
Li (Lithium)
1%
6
Other (please specify)
6%
36
58.65%
Policy Factors
41.35%
Cash flow is king, meaning that junior mineral exploration companies are having a far more difficult time raising funding in equity markets than producers or mine builders who can still raise project debt financing for good projects. —An exploration company, Company president The recent underperformance of gold share prices is wholly due to the irresponsible actions of the major gold producers, which has hammered investor confidence. Investors must be bemused that rather than delivering increased rewards and dividends to shareholders over the last 10 years of increasing gold prices, the majors have whittled away profits by mining ever more low grade, increasing their production costs and not benefiting from the rise in gold price.
2012/2013 Survey of Mining Companies
Whom do you REPRESENT? An exploration company
397
54%
A producer company with less than US$50M
41
6%
A producer company with more than US$50M
145
20%
A consulting company
86
12%
Other
68
9%
Company president
301
42%
Vice president
112
16%
Manager
115
16%
Other Senior Management
65
9%
Consultant
45
6%
Other
84
12%
What is your POSITION?
Table 9: How do you rate the importance of mineral potential versus policy factors? (Must total 100%) Mineral Potential
Table 8: Who responded to the survey?
Doubtless, the mining executives have all had nice bonuses and increased salaries over the period, but investors have been abused. Management of majors should hang their heads... oh, no it’s alright, they still have a war chest with which to pick up distressed junior assets so it’s a win-win! —An exploration company, Company president This is the first time in my memory that exploration fell off, in spite of fairly good commodity prices. Investors are looking for liquidity and worried about long term investments in mineral exploration. World economics and negative media reporting compounds the problem. I don’t know what will turn it around for the business. —An exploration company, Vice-president
71
Investors are avoiding investing in exploration projects, even if the upside is high, and prefer those projects which are at feasibility stage or higher. —An exploration company, Manager Exploration companies with no revenue are being asked to underwrite expensive community relations programs—they are usually the first to arrive in a community—but investors want their money to go into the ground, not into philanthropy. If the industry wants a robust project pipeline, there needs to be a way to fund these important but non-core issues. —An exploration company, Company president Although there are available funds in the “West,” the entire process of financial modeling is very conservative. “Eastern” countries have a more optimistic outlook and hence dominate investment into the mining industry. —An exploration company, Manager
Looking forward… Social and community problems will be the permanent preoccupation for new investments in the mining sector. —A producer company with more than US$50M, Company president There is little investment at the greenfields stage. We will face a significant problem within ten years. —A consulting company, Consultant Mining is a supply and demand industry linked directly to economic development and or sustained economic equilibrium. Emerging economies in Asia and South America will mostly drive new demand—these are experiencing slower growth in 2012 and buffer new demand. Also, short term “hedge trading” in commodities often produces false value in commodity prices not really related to demand cycles—longer periods of slowing demand
72
smooth out volatility which is generated by this form of trading. Increasing costs of resource production is starting to become apparent and over time producers will have to get higher commodity prices to generate reasonable profits. —An exploration company, Company president We always go up and down with the prices.... —A producer company with less than US$50M, Company president Risk has been re-calibrated given the excesses in the US and UK banking industry. The “Boomer” generation has realized they can’t risk the treasure chest as the clock has ticked and there is no time to recoup lost and risky investments. Mining exploration is a risky business and that appetite has lessened, until the next upward swing in commodity prices brings risk capital back to the mining industry. —An exploration company, Vice-president As the traditional methods of financing disappear for junior explorers, there will be a large void created in “greenfields-type” exploration. Major mining companies will be unable to continue to meet the demand for metals as they exhaust their reserves, and will almost certainly be forced to mine marginal deposits in politically risky areas of the world. The end result will be companies whose balance sheets are more subject to political instability and fluctuating commodity prices. —An exploration company, Company president We are about to experience a mining renaissance around the globe. A solution for many crisis affected areas of the world is to permit projects expeditiously. —Development, Vice-president My medium-term view is that commodities will track sideways for the next few years, tracking stronger thereafter. Exploration successes will become less frequent due to a drop-off in investment, restricted
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access to prospective areas, the rise of social opposition to mining (particularly in emerging economies with good prospectivity), and the added burden placed on explorers to meet tightening government controls and rising community expectations. This lack of success and stunting of new supply from a greenfields source will underpin a stable to moderately rising commodity process environment. In short, exploration is becoming too expensive, too time consuming, too uncertain, and potentially too controversial to be sufficiently attractive to the broader capital markets. —A producer company with less than US$50M, Vice-president With dramatically increasing capex and opex costs, resources increasingly in higher risk countries, grades de creas ing dra mat i cally, per mit ting timeframes blowing out everywhere coupled with a lack of global discovery, the cost of metals will continue to increase. However, what the industry needs is smaller footprint, higher grade projects with less impact that are easier to permit in GOOD countries. Grassroots discoveries and innovation in exploration is mandatory for the mining industry. —An exploration company, Company president
Compliments received I hope you get a lot of responses for this survey, the more the better the data. —An exploration company, Company president Thanks again for your efforts. —An exploration company, Manager Usually a very good survey; clear questions. —A consulting company, Manager The survey covers most aspects of the mining and exploration industry. Well done... —An exploration company, Company president Great survey. I also send a copy to the various Ministers of Mines and Finance in the various jurisdictions we operate in. They may not like what their country rating is, but it certainly focuses their minds on the problems in their jurisdictions. Great survey, please keep it up. —A producer company with more than US$50M, Company president
Appendix: Tabular material The following tables provide a complete description of the answers for each policy question for each jurisdiction. Tables A1 through A18 parallel figures in the main body of the report. Table A19 provides the answer to the question: Which jurisdiction has the best (worst) policy environment? Jurisdictions are ranked by best “net” response—the number of respondents who rated a jurisdiction “best” minus the number or respondents that rated the same jurisdiction “worst.” The table only includes jurisdictions listed in the survey. Rows may not sum to 100% due to rounding.
2012/2013 Survey of Mining Companies
73
Table A1: Mineral potential, assuming current regulation/land use restrictions 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
1
2
3
4
5
Alberta
35%
44%
15%
6%
2%
British Columbia
33%
36%
24%
7%
1%
Manitoba
32%
38%
15%
9%
6%
New Brunswick
38%
48%
14%
0%
0%
Newfoundland & Labrador
32%
58%
8%
3%
0%
Northwest Territories
43%
31%
18%
7%
2%
Nova Scotia
30%
41%
22%
7%
0%
Nunavut
30%
49%
19%
0%
2%
Ontario
39%
41%
14%
6%
1%
Quebec
35%
42%
16%
7%
1%
Saskatchewan
53%
39%
7%
2%
0%
Yukon
51%
39%
8%
3%
0%
Alaska
56%
31%
12%
1%
0%
Arizona
36%
48%
13%
1%
1%
California
19%
27%
24%
23%
7%
Colorado
13%
41%
29%
16%
1%
Idaho
25%
54%
17%
4%
0%
Michigan
20%
45%
35%
0%
0%
Minnesota
21%
43%
32%
4%
0%
Montana
23%
36%
25%
14%
2%
Nevada
55%
35%
11%
0%
0%
New Mexico
16%
61%
21%
3%
0%
Utah
40%
42%
16%
2%
0%
9%
30%
40%
19%
2%
Wyoming
52%
36%
9%
2%
0%
New South Wales
15%
54%
26%
4%
0%
Northern Territory
46%
39%
14%
2%
0%
Washington
Australia
Oceania
74
Queensland
34%
43%
17%
6%
0%
South Australia
34%
48%
15%
3%
0%
Tasmania
14%
39%
25%
21%
0%
Victoria
18%
43%
28%
13%
0%
Western Australia
47%
42%
9%
3%
0%
Indonesia
11%
29%
27%
24%
9%
New Zealand
28%
53%
15%
5%
0%
Papua New Guinea
12%
35%
32%
18%
3%
Philippines
11%
31%
42%
14%
3%
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Table A1: Mineral potential, assuming current regulation/land use restrictions 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
1
2
3
4
5
Botswana
39%
42%
19%
0%
0%
Burkina Faso
36%
39%
19%
7%
0%
Democratic Republic of Congo (DRC)
16%
16%
16%
42%
11%
Egypt
8%
8%
33%
42%
8%
Ghana
32%
49%
17%
2%
0%
Guinea (Conakry)
14%
29%
29%
29%
0%
8%
8%
50%
25%
8%
Mali
15%
37%
32%
17%
0%
Mauritania
25%
33%
42%
0%
0%
Morocco
20%
40%
33%
0%
7%
Namibia
21%
59%
15%
3%
3%
Niger
30%
20%
40%
10%
0%
South Africa
13%
30%
33%
18%
7%
Tanzania
18%
47%
29%
5%
0%
Zambia
6%
64%
21%
9%
0%
Zimbabwe
3%
14%
21%
35%
28%
Catamarca
19%
33%
33%
10%
5%
Chubut
7%
25%
29%
18%
21%
Jujuy
6%
33%
33%
22%
6%
La Rioja
0%
35%
35%
18%
12%
Mendoza
16%
29%
16%
24%
16%
Neuquen
14%
36%
36%
7%
7%
Rio Negro
12%
41%
24%
12%
12%
Salta
12%
55%
24%
9%
0%
San Juan
17%
45%
26%
10%
2%
Santa Cruz
12%
15%
38%
27%
9%
Madagascar
Argentina
Table 1 continued next page ...
2012/2013 Survey of Mining Companies
75
Table A1: Mineral potential, assuming current regulation/land use restrictions 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor
Latin America and the Caribbean Basin
Response
1
2
3
4
Bolivia
0%
12%
21%
47%
21%
Brazil
21%
46%
30%
3%
0%
Chile
40%
47%
11%
2%
0%
Colombia
29%
36%
29%
7%
0%
3%
17%
33%
25%
22%
17%
48%
30%
4%
0%
9%
46%
18%
18%
9%
Ecuador Dominican Republic French Guiana Guatemala
0%
16%
37%
42%
5%
39%
39%
19%
4%
0%
6%
0%
50%
19%
25%
Mexico
29%
47%
17%
6%
1%
Panama
21%
47%
26%
0%
5%
Peru
Guyana Honduras
Eurasia
27%
44%
24%
6%
0%
Suriname
7%
53%
27%
7%
7%
Venezuela
3%
15%
15%
29%
38%
Bulgaria
9%
55%
36%
0%
0%
China
11%
37%
20%
9%
23%
Finland
55%
38%
8%
0%
0%
Greenland
56%
40%
4%
0%
0%
Greece
0%
25%
58%
8%
8%
India
6%
44%
19%
19%
13%
Ireland
38%
29%
26%
5%
2%
Kazakhstan
14%
33%
38%
10%
5%
Kyrgyzstan
29%
21%
29%
7%
14%
Mongolia
12%
29%
35%
12%
12%
Norway
38%
38%
14%
5%
5%
Poland
14%
29%
36%
14%
7%
Romania
12%
36%
20%
32%
0%
Russia
21%
38%
17%
13%
13%
Serbia
20%
60%
0%
20%
0%
Spain
24%
48%
24%
0%
5%
Sweden
54%
37%
3%
3%
3%
Turkey
32%
49%
19%
0%
0%
8%
39%
8%
46%
0%
Vietnam
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5
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Table A2: Policy/mineral potential, assuming no land use restrictions in place, and assuming industry “best practices� 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
Australia
Oceania
1
2
3
4
5
Alberta
34%
46%
18%
2%
0%
British Columbia
57%
30%
10%
3%
1%
Manitoba
46%
45%
4%
4%
0%
New Brunswick
34%
51%
12%
0%
2%
Newfoundland and Labrador
51%
34%
14%
2%
0%
Northwest Territories
52%
42%
7%
0%
0%
Nova Scotia
19%
42%
15%
19%
4%
Nunavut
59%
30%
11%
0%
0%
Ontario
60%
31%
8%
1%
1%
Quebec
58%
29%
6%
6%
0%
Saskatchewan
53%
41%
5%
0%
0%
Yukon
65%
31%
4%
0%
0%
Alaska
67%
22%
8%
1%
1%
Arizona
48%
41%
12%
0%
0%
California
34%
34%
19%
11%
2%
Colorado
37%
38%
24%
2%
0%
Idaho
30%
53%
15%
0%
2%
Michigan
21%
47%
32%
0%
0%
Minnesota
26%
48%
26%
0%
0%
Montana
40%
40%
16%
5%
0%
Nevada
60%
31%
8%
0%
1%
New Mexico
30%
38%
27%
5%
0%
Utah
43%
41%
16%
0%
0%
Washington
17%
41%
38%
5%
0%
Wyoming
50%
39%
11%
0%
0%
New South Wales
29%
40%
29%
0%
2%
Northern Territory
48%
41%
11%
0%
0%
Queensland
57%
30%
10%
3%
0%
South Australia
49%
39%
10%
2%
0%
Tasmania
25%
43%
29%
4%
0%
Victoria
23%
35%
33%
10%
0%
Western Australia
61%
31%
6%
2%
0%
Indonesia
70%
18%
9%
2%
2%
New Zealand
26%
41%
26%
8%
0%
Papua New Guinea
74%
12%
12%
0%
3%
Philippines
65%
19%
14%
0%
3%
2012/2013 Survey of Mining Companies
77
Table A2: Policy/mineral potential, assuming no land use restrictions in place, and assuming industry “best practices� 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
Argentina
1
2
3
4
5
Botswana
56%
Burkina Faso
36%
38%
6%
0%
0%
39%
16%
7%
3%
Democratic Republic of Congo (DRC)
62%
16%
9%
9%
4%
Egypt Ghana
50%
8%
33%
8%
0%
37%
41%
15%
4%
2%
Guinea (Conakry)
32%
23%
32%
9%
5%
Madagascar
50%
17%
25%
8%
0%
Mali
20%
55%
15%
8%
3%
Mauritania
33%
33%
17%
8%
8%
Morocco
13%
40%
40%
0%
7%
Namibia
41%
41%
15%
0%
3%
Niger
20%
30%
30%
10%
10%
South Africa
34%
44%
15%
5%
2%
Tanzania
50%
34%
13%
0%
3%
Zambia
38%
44%
12%
3%
3%
Zimbabwe
28%
48%
10%
10%
3%
Catamarca
29%
57%
14%
0%
0%
Chubut
29%
39%
14%
11%
7%
Jujuy
39%
39%
17%
6%
0%
La Rioja
29%
53%
12%
0%
6%
Mendoza
30%
41%
16%
5%
8%
Neuquen
14%
43%
36%
0%
7%
Rio Negro
24%
41%
29%
0%
6%
Salta
27%
44%
24%
6%
0%
San Juan
34%
46%
15%
2%
2%
Santa Cruz
41%
41%
9%
3%
6%
Table 2 continued next page ...
78
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Table A2: Policy/mineral potential, assuming no land use restrictions in place, and assuming industry “best practices� 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
1
2
3
4
5
Bolivia
31%
36%
16%
9%
9%
Brazil
51%
28%
16%
3%
2%
Chile
60%
30%
6%
3%
1%
Colombia
57%
28%
13%
0%
2%
Ecuador
41%
26%
10%
21%
3%
Dominican Republic
21%
46%
29%
4%
0%
8%
58%
33%
0%
0%
Guatemala
22%
44%
33%
0%
0%
Guyana
39%
32%
25%
0%
4%
6%
47%
41%
0%
6%
56%
33%
9%
2%
0%
French Guiana
Honduras Mexico
Eurasia
Panama
28%
28%
39%
6%
0%
Peru
52%
27%
18%
3%
1%
Suriname
20%
53%
27%
0%
0%
Venezuela
29%
34%
26%
3%
9%
9%
46%
36%
0%
9%
China
43%
31%
14%
6%
6%
Finland
51%
37%
12%
0%
0%
Greenland
52%
44%
4%
0%
0%
Greece
17%
17%
50%
8%
8%
India
56%
25%
13%
0%
6%
Ireland
23%
47%
23%
7%
0%
Kazakhstan
43%
48%
5%
0%
5%
Kyrgyzstan
50%
43%
0%
7%
0%
Mongolia
77%
14%
6%
0%
3%
Norway
38%
38%
10%
14%
0%
Poland
0%
69%
31%
0%
0%
Romania
28%
28%
40%
4%
0%
Russia
58%
15%
19%
8%
0%
Serbia
50%
30%
20%
0%
0%
Spain
19%
48%
24%
5%
5%
Sweden
51%
31%
14%
3%
0%
Turkey
61%
28%
11%
0%
0%
Vietnam
39%
46%
8%
8%
0%
Bulgaria
2012/2013 Survey of Mining Companies
79
Table A3: Uncertainty concerning the administration, interpretation, and enforcement of existing regulations 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
4
5
62%
28%
8%
2%
2%
24%
31%
32%
12%
1%
Manitoba
45%
21%
9%
21%
4%
New Brunswick
64%
30%
7%
0%
0%
Newfoundland & Labrador
49%
33%
14%
4%
0%
Northwest Territories
29%
34%
21%
15%
2%
Nova Scotia
52%
35%
10%
3%
0%
Nunavut
28%
35%
28%
7%
2%
Ontario
35%
30%
25%
9%
1%
Quebec
47%
21%
22%
9%
1%
Saskatchewan
62%
30%
8%
0%
0%
Yukon
55%
29%
14%
2%
0%
Alaska
39%
38%
18%
3%
1%
Arizona
20%
49%
28%
2%
1%
1%
14%
15%
45%
25%
8%
25%
30%
26%
11%
19%
42%
25%
14%
0%
Michigan
9%
32%
55%
5%
0%
Minnesota
16%
16%
48%
19%
0%
4%
17%
45%
21%
13%
Nevada
48%
33%
16%
3%
1%
New Mexico
13%
35%
37%
15%
0%
Utah
40%
45%
13%
2%
0%
4%
21%
29%
35%
10%
Wyoming
57%
33%
8%
2%
0%
New South Wales
16%
45%
31%
6%
2%
Idaho
Montana
Washington
Northern Territory
47%
40%
9%
4%
0%
Queensland
24%
31%
36%
9%
0%
South Australia
58%
20%
18%
3%
0%
3%
38%
28%
21%
10%
Victoria
17%
29%
29%
24%
2%
Western Australia
41%
37%
20%
2%
0%
5%
10%
24%
40%
22%
Tasmania
Indonesia New Zealand
80
3
Alberta
Colorado
Oceania
2
British Columbia
California
Australia
1
20%
46%
24%
10%
0%
Papua New Guinea
5%
41%
33%
17%
5%
Philippines
0%
15%
32%
39%
15%
www.fraserinstitute.org
Table A3: Uncertainty concerning the administration, interpretation, and enforcement of existing regulations 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
2
3
4
5
Botswana
61%
36%
3%
0%
0%
Burkina Faso
32%
41%
18%
9%
0%
Democratic Republic of Congo (DRC)
6%
6%
22%
41%
26%
Egypt
8%
0%
8%
54%
31%
Ghana
26%
43%
26%
6%
0%
Guinea (Conakry)
7%
14%
25%
43%
11%
Madagascar
0%
15%
23%
62%
0%
14%
33%
31%
20%
2%
Mali
Argentina
1
Mauritania
39%
39%
15%
8%
0%
Morocco
40%
45%
15%
0%
0%
Namibia
36%
38%
20%
4%
2%
Niger
15%
23%
46%
15%
0%
South Africa
13%
17%
30%
31%
10%
Tanzania
11%
29%
44%
11%
4%
Zambia
14%
60%
22%
5%
0%
Zimbabwe
3%
3%
21%
21%
53%
Catamarca
13%
54%
8%
17%
8%
3%
19%
25%
25%
28%
10%
43%
10%
24%
14%
La Rioja
0%
40%
15%
25%
20%
Mendoza
7%
15%
17%
30%
30%
Neuquen
28%
17%
17%
17%
22%
Rio Negro
16%
26%
21%
16%
21%
Salta
34%
32%
18%
13%
3%
San Juan
21%
35%
21%
19%
4%
Santa Cruz
15%
26%
28%
23%
8%
Chubut Jujuy
Table 3 continued next page ...
2012/2013 Survey of Mining Companies
81
Table A3: Uncertainty concerning the administration, interpretation, and enforcement of existing regulations 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
3
4
5
Bolivia
2%
4%
11%
36%
47%
24%
47%
19%
8%
1%
Chile
53%
39%
7%
1%
1%
Colombia
25%
39%
24%
10%
1%
2%
7%
30%
33%
28%
Dominican Republic
17%
53%
27%
3%
0%
French Guiana
22%
11%
33%
11%
22%
9%
14%
32%
36%
9%
Guatemala Guyana Honduras Mexico
33%
39%
18%
9%
0%
0%
14%
24%
29%
33%
45%
34%
15%
5%
1%
Panama
27%
32%
23%
18%
0%
Peru
22%
36%
29%
12%
1%
Suriname
12%
41%
35%
6%
6%
Venezuela
3%
3%
5%
16%
74%
Bulgaria
8%
46%
39%
8%
0%
China
7%
21%
34%
23%
16%
Finland
47%
40%
9%
4%
0%
Greenland
54%
39%
8%
0%
0%
Greece
0%
21%
29%
43%
7%
India
13%
19%
19%
31%
19%
Ireland
42%
38%
11%
9%
0%
Kazakhstan
4%
33%
26%
26%
11%
Kyrgyzstan
0%
5%
45%
20%
30%
Mongolia
7%
12%
33%
33%
14%
Norway
38%
48%
14%
0%
0%
Poland
7%
27%
47%
20%
0%
Romania
0%
29%
25%
39%
7%
Russia
7%
29%
23%
19%
23%
Serbia
15%
54%
23%
8%
0%
Spain
8%
50%
27%
12%
4%
Sweden
65%
30%
5%
0%
0%
Turkey
23%
61%
14%
2%
0%
0%
39%
15%
23%
23%
Vietnam
82
2
Brazil
Ecuador
Eurasia
1
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Table A4: Environmental regulations 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
Alberta British Columbia Manitoba
4
5
38%
44%
19%
0%
0%
6%
26%
43%
23%
3%
18%
43%
20%
17%
1%
23%
55%
23%
0%
0%
18%
51%
25%
6%
0%
Northwest Territories
11%
42%
29%
17%
2%
4%
54%
39%
4%
0%
Nunavut
6%
50%
39%
4%
2%
Ontario
20%
43%
28%
8%
1%
Quebec
21%
44%
24%
10%
1%
Saskatchewan
32%
56%
13%
0%
0%
Yukon
24%
49%
22%
3%
1%
Alaska
14%
44%
30%
11%
1%
Arizona
5%
43%
43%
6%
3%
California
1%
7%
21%
37%
34%
Colorado
5%
12%
36%
36%
10%
Idaho
9%
29%
46%
16%
0%
Michigan
10%
19%
57%
14%
0%
Minnesota
0%
29%
48%
16%
7%
Montana
4%
15%
42%
25%
14%
21%
48%
26%
4%
1%
7%
33%
26%
33%
2%
24%
56%
19%
2%
0%
6%
15%
26%
36%
17%
29%
52%
14%
4%
2%
2%
40%
43%
13%
2%
19%
53%
23%
2%
2%
9%
33%
40%
17%
0%
New Mexico Utah Washington Wyoming New South Wales Northern Territory Queensland South Australia
28%
38%
25%
8%
0%
Tasmania
3%
20%
40%
23%
13%
Victoria
5%
14%
55%
26%
0%
27%
42%
23%
8%
1%
2%
32%
32%
29%
6%
Western Australia
Oceania
3
New Brunswick
Nevada
Australia
2
Newfoundland and Labrador Nova Scotia
USA
1
Indonesia New Zealand Papua New Guinea Philippines
2012/2013 Survey of Mining Companies
2%
29%
48%
17%
5%
12%
43%
38%
7%
0%
0%
30%
43%
18%
10%
83
Table A4: Environmental regulations 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
1
2
3
4
5
Botswana
39%
56%
6%
0%
0%
Burkina Faso
18%
74%
6%
3%
0%
Democratic Republic of Congo (DRC)
8%
35%
31%
19%
8%
Egypt
15%
54%
15%
15%
0%
Ghana
19%
54%
15%
12%
0%
Guinea (Conakry)
15%
33%
30%
22%
0%
Madagascar
0%
43%
36%
14%
7%
Mali
16%
66%
12%
6%
0%
Mauritania
33%
33%
25%
8%
0%
Morocco
30%
40%
25%
5%
0%
Namibia
27%
52%
21%
0%
0%
Niger
7%
64%
21%
7%
0%
South Africa
7%
53%
30%
7%
3%
Tanzania
7%
68%
21%
5%
0%
17%
69%
11%
3%
0%
Zimbabwe
3%
34%
29%
20%
14%
Catamarca
12%
48%
24%
12%
4%
Chubut
3%
13%
38%
25%
22%
Jujuy
5%
14%
43%
19%
19%
La Rioja
5%
35%
30%
20%
10%
Mendoza
2%
9%
35%
28%
26%
Neuquen
17%
17%
39%
11%
17%
Rio Negro
11%
16%
42%
21%
11%
Salta
27%
35%
24%
11%
3%
San Juan
17%
40%
38%
6%
0%
8%
46%
33%
8%
5%
Zambia
Argentina
Santa Cruz
Table 4 continued next page ...
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Table A4: Environmental regulations 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor
Latin America and the Caribbean Basin
Response
1
2
3
4
Bolivia
4%
27%
25%
29%
15%
Brazil
11%
55%
32%
3%
0%
Chile
19%
58%
19%
3%
0%
Colombia
9%
46%
27%
16%
3%
Ecuador
2%
11%
39%
34%
14%
Dominican Republic
10%
52%
31%
7%
0%
French Guiana
17%
28%
11%
17%
28%
0%
14%
67%
10%
10%
12%
67%
18%
3%
0%
0%
21%
42%
21%
16%
27%
60%
11%
1%
1%
Guatemala Guyana Honduras Mexico Panama
Eurasia
5
5%
42%
37%
16%
0%
Peru
12%
41%
33%
13%
2%
Suriname
12%
47%
41%
0%
0%
Venezuela
3%
18%
18%
26%
34%
15%
39%
15%
31%
0%
7%
50%
21%
14%
9%
Finland
18%
52%
25%
5%
0%
Greenland
27%
58%
12%
4%
0%
Bulgaria China
Greece
0%
7%
43%
36%
14%
India
6%
31%
31%
19%
13%
19%
51%
21%
9%
0%
Kazakhstan
7%
54%
29%
11%
0%
Kyrgyzstan
5%
37%
37%
11%
11%
Mongolia
5%
52%
26%
10%
7%
Norway
14%
38%
43%
5%
0%
Poland
7%
13%
53%
27%
0%
Romania
0%
36%
25%
25%
14%
Russia
7%
40%
37%
10%
7%
Serbia
27%
46%
18%
9%
0%
Spain
4%
54%
27%
12%
4%
Sweden
11%
53%
36%
0%
0%
Turkey
7%
66%
21%
7%
0%
Vietnam
0%
39%
46%
8%
8%
Ireland
2012/2013 Survey of Mining Companies
85
Table A5: Regulatory duplication and inconsistencies (includes federal/provincial, federal/state, inter-departmental overlap, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
Alberta British Columbia
5
19%
50%
27%
3%
0%
8%
37%
38%
16%
1%
15%
45%
26%
12%
3%
44%
24%
0%
0%
Newfoundland & Labrador
15%
50%
31%
4%
0%
9%
39%
35%
15%
2%
14%
61%
21%
4%
0%
7%
33%
49%
9%
2%
Ontario
16%
41%
34%
8%
1%
Quebec
18%
46%
24%
12%
1%
Saskatchewan
24%
57%
19%
0%
0%
Yukon
26%
45%
22%
7%
0%
Alaska
10%
51%
30%
7%
2%
Arizona
6%
46%
38%
9%
1%
California
0%
15%
25%
40%
21%
Colorado
7%
21%
42%
22%
8%
Idaho
6%
40%
44%
11%
0%
Michigan
5%
19%
71%
5%
0%
Minnesota
0%
30%
53%
17%
0%
Montana
2%
41%
28%
20%
10%
16%
49%
30%
5%
0%
Nevada New Mexico Utah Washington Wyoming
2%
37%
46%
15%
0%
16%
46%
35%
4%
0%
2%
26%
30%
28%
13%
16%
50%
32%
2%
0%
New South Wales
2%
49%
38%
9%
2%
Northern Territory
9%
67%
20%
4%
0%
Queensland
8%
37%
34%
21%
0%
South Australia
11%
60%
16%
12%
2%
Tasmania
3%
30%
37%
30%
0%
Victoria
5%
42%
29%
22%
2%
13%
58%
23%
7%
0%
Western Australia Indonesia
2%
19%
30%
38%
11%
New Zealand
15%
37%
44%
5%
0%
Papua New Guinea
12%
33%
36%
19%
0%
3%
20%
30%
40%
8%
Philippines
86
4
32%
Nunavut
Oceania
3
Manitoba
Northwest Territories
Australia
2
New Brunswick
Nova Scotia
USA
1
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Table A5: Regulatory duplication and inconsistencies (includes federal/provincial, federal/state, inter-departmental overlap, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
1
2
3
Botswana
44%
56%
0%
0%
0%
Burkina Faso
18%
62%
12%
9%
0%
Democratic Republic of Congo (DRC)
5
6%
22%
18%
38%
16%
Egypt
15%
0%
54%
31%
0%
Ghana
14%
57%
20%
10%
0%
Guinea (Conakry)
4%
26%
30%
41%
0%
Madagascar
7%
29%
14%
43%
7%
10%
43%
35%
12%
0%
Mali Mauritania
31%
31%
31%
8%
0%
Morocco
25%
40%
30%
5%
0%
Namibia
21%
56%
19%
2%
2%
Niger
7%
43%
36%
14%
0%
South Africa
6%
33%
40%
17%
4%
Tanzania
7%
40%
42%
11%
0%
Zambia
Argentina
4
17%
57%
17%
6%
3%
Zimbabwe
0%
15%
21%
29%
35%
Catamarca
13%
29%
33%
13%
13%
Chubut
3%
6%
34%
34%
22%
Jujuy
5%
29%
24%
29%
14%
La Rioja
0%
15%
35%
35%
15%
Mendoza
4%
13%
38%
26%
19%
Neuquen
17%
17%
33%
17%
17%
Rio Negro
11%
21%
37%
21%
11%
Salta
16%
21%
42%
16%
5%
San Juan
13%
23%
48%
15%
2%
3%
28%
36%
26%
8%
Santa Cruz
Table 5 continued next page ...
2012/2013 Survey of Mining Companies
87
Table A5: Regulatory duplication and inconsistencies (includes federal/provincial, federal/state, inter-departmental overlap, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
1
2
3
Bolivia
4%
22%
22%
39%
14%
Brazil
10%
48%
34%
8%
0%
Chile
16%
64%
16%
3%
0%
11%
41%
35%
11%
1%
2%
14%
33%
40%
12%
Dominican Republic
7%
53%
40%
0%
0%
17%
39%
17%
22%
6%
0%
14%
71%
10%
5%
Guyana
6%
61%
30%
3%
0%
Honduras
0%
0%
63%
32%
5%
French Guiana Guatemala
Mexico
24%
46%
24%
5%
1%
Panama
5%
57%
29%
10%
0%
Peru
8%
38%
43%
9%
2%
Suriname
6%
41%
41%
12%
0%
Venezuela
0%
5%
16%
38%
41%
15%
39%
31%
15%
0%
0%
33%
28%
28%
12%
Finland
36%
44%
11%
9%
0%
Greenland
Bulgaria China
36%
44%
16%
4%
0%
Greece
0%
21%
43%
29%
7%
India
0%
25%
31%
31%
13%
Ireland
24%
42%
27%
7%
0%
Kazakhstan
4%
36%
39%
21%
0%
Kyrgyzstan
5%
15%
40%
20%
20%
Mongolia
10%
32%
29%
22%
7%
Norway
14%
57%
24%
5%
0%
Poland
7%
27%
53%
13%
0%
Romania
4%
25%
32%
29%
11%
Russia
3%
24%
24%
35%
14%
Serbia
8%
46%
31%
15%
0%
Spain
88
5
Colombia Ecuador
Eurasia
4
4%
46%
35%
12%
4%
Sweden
28%
56%
14%
3%
0%
Turkey
7%
62%
27%
4%
0%
Vietnam
0%
8%
54%
39%
0%
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Table A6: Legal System (includes legal processes that are fair, transparent, non-corrupt, timely, efficiently administered, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
Australia
Oceania
1
2
3
4
5
Alberta
60%
34%
3%
0%
3%
British Columbia
36%
47%
13%
5%
1%
Manitoba
41%
40%
11%
5%
3%
New Brunswick
51%
49%
0%
0%
0%
Newfoundland and Labrador
49%
46%
4%
1%
0%
Northwest Territories
42%
35%
21%
2%
0%
Nova Scotia
54%
32%
14%
0%
0%
Nunavut
37%
39%
22%
0%
2%
Ontario
46%
39%
10%
4%
2%
Quebec
43%
35%
19%
3%
1%
Saskatchewan
44%
52%
3%
0%
0%
Yukon
47%
48%
6%
0%
0%
Alaska
40%
42%
13%
4%
0%
Arizona
27%
49%
18%
5%
1%
California
10%
35%
22%
19%
14%
Colorado
32%
28%
26%
10%
4%
Idaho
24%
56%
16%
2%
2%
Michigan
18%
64%
9%
9%
0%
Minnesota
26%
55%
13%
7%
0%
Montana
14%
52%
23%
10%
2%
Nevada
38%
47%
15%
1%
0%
New Mexico
20%
46%
24%
9%
2%
Utah
37%
46%
17%
0%
0%
Washington
17%
35%
25%
19%
4%
Wyoming
44%
54%
2%
0%
0%
New South Wales
48%
44%
6%
0%
2%
Northern Territory
53%
47%
0%
0%
0%
Queensland
39%
47%
11%
3%
0%
South Australia
53%
39%
9%
0%
0%
Tasmania
40%
43%
13%
3%
0%
Victoria
45%
41%
12%
2%
0%
Western Australia
58%
35%
8%
0%
0%
Indonesia
0%
2%
34%
38%
27%
55%
31%
12%
2%
0%
Papua New Guinea
5%
21%
43%
29%
2%
Philippines
2%
12%
24%
42%
20%
New Zealand
2012/2013 Survey of Mining Companies
89
Table A6: Legal System (includes legal processes that are fair, transparent, non-corrupt, timely, efficiently administered, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
Botswana Burkina Faso
Argentina
1
2
3
4
5
43%
51%
6%
0%
0%
6%
32%
53%
6%
3%
Democratic Republic of Congo (DRC)
0%
2%
17%
44%
37%
Egypt
0%
0%
23%
54%
23%
Ghana
14%
45%
33%
6%
2%
Guinea (Conakry)
4%
0%
30%
56%
11%
Madagascar
0%
21%
29%
50%
0%
Mali
2%
29%
47%
16%
6%
Mauritania
23%
46%
8%
15%
8%
Morocco
10%
50%
25%
10%
5%
Namibia
22%
49%
24%
0%
4%
Niger
7%
29%
43%
7%
14%
South Africa
6%
23%
40%
22%
10%
Tanzania
2%
29%
44%
20%
4%
Zambia
5%
41%
41%
8%
5%
Zimbabwe
0%
9%
9%
20%
63%
Catamarca
12%
24%
28%
24%
12%
3%
9%
31%
38%
19%
10%
10%
25%
30%
25%
La Rioja
5%
10%
30%
30%
25%
Mendoza
11%
9%
32%
23%
26%
Neuquen
12%
12%
24%
29%
24%
Rio Negro
16%
11%
37%
21%
16%
Salta
24%
24%
29%
18%
5%
San Juan
9%
24%
41%
20%
7%
Santa Cruz
8%
18%
41%
28%
5%
Chubut Jujuy
Table 6 continued next page ...
90
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Table A6: Legal System (includes legal processes that are fair, transparent, non-corrupt, timely, efficiently administered, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
2
3
4
5
Bolivia
2%
0%
14%
48%
37%
Brazil
4%
37%
51%
8%
0%
Chile
24%
57%
18%
1%
0%
Colombia
4%
45%
34%
17%
0%
Ecuador
2%
9%
25%
48%
16%
Dominican Republic
13%
27%
43%
17%
0%
French Guiana
22%
61%
11%
6%
0%
0%
9%
41%
41%
9%
Guyana
3%
46%
39%
9%
3%
Honduras
0%
5%
33%
48%
14%
12%
41%
39%
7%
1%
Guatemala
Mexico
Eurasia
1
Panama
9%
32%
46%
14%
0%
Peru
9%
39%
41%
9%
2%
Suriname
6%
24%
59%
6%
6%
Venezuela
0%
5%
5%
33%
56%
Bulgaria
8%
25%
42%
25%
0%
China
2%
11%
25%
36%
25%
Finland
67%
24%
9%
0%
0%
Greenland
62%
31%
8%
0%
0%
Greece
0%
14%
36%
36%
14%
India
0%
13%
31%
44%
13%
48%
41%
9%
2%
0%
Kazakhstan
0%
14%
43%
32%
11%
Kyrgyzstan
0%
10%
40%
20%
30%
Mongolia
0%
12%
39%
34%
15%
Norway
50%
41%
9%
0%
0%
Poland
0%
40%
47%
7%
7%
Romania
0%
25%
21%
43%
11%
Russia
0%
16%
29%
23%
32%
Serbia
8%
39%
31%
23%
0%
Spain
4%
54%
27%
12%
4%
Sweden
70%
27%
3%
0%
0%
Turkey
14%
52%
27%
7%
0%
0%
8%
50%
17%
25%
Ireland
Vietnam
2012/2013 Survey of Mining Companies
91
Table A7: Taxation regime (includes personal, corporate, payroll, capital, and other taxes, and complexity of tax compliance) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
1
2
3
Alberta
39%
49%
12%
0%
0%
British Columbia
18%
49%
29%
5%
0%
Manitoba
21%
47%
26%
6%
1%
New Brunswick
23%
63%
14%
0%
0%
Newfoundland and Labrador
19%
53%
25%
3%
0%
Northwest Territories
23%
58%
19%
0%
0%
Nova Scotia
21%
54%
21%
4%
0%
Nunavut
15%
54%
30%
2%
0%
Ontario
19%
53%
22%
6%
1%
Quebec
26%
37%
25%
13%
0%
Saskatchewan
22%
62%
17%
0%
0%
Yukon
28%
62%
10%
0%
0%
Alaska
30%
53%
17%
0%
0%
Arizona
12%
65%
21%
1%
1%
California
3%
30%
31%
26%
10%
Colorado
11%
48%
31%
9%
1%
6%
71%
23%
0%
0%
Michigan
5%
65%
25%
5%
0%
Minnesota
12%
42%
31%
15%
0%
6%
52%
35%
6%
0%
Nevada
24%
55%
20%
1%
0%
New Mexico
10%
49%
31%
10%
0%
Utah
31%
55%
12%
2%
0%
Washington
11%
43%
32%
9%
5%
Wyoming
35%
50%
13%
2%
0%
New South Wales
4%
44%
33%
19%
0%
Northern Territory
4%
46%
35%
13%
2%
Queensland
7%
42%
35%
17%
0%
South Australia
9%
36%
42%
14%
0%
Tasmania
7%
39%
32%
18%
4%
Victoria
7%
54%
27%
10%
2%
10%
38%
40%
11%
2%
Western Australia
Oceania
Indonesia
4%
38%
32%
20%
7%
New Zealand
13%
60%
25%
3%
0%
Papua New Guinea
13%
46%
28%
13%
0%
0%
38%
48%
10%
5%
Philippines
92
5
Idaho
Montana
Australia
4
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Table A7: Taxation regime (includes personal, corporate, payroll, capital, and other taxes, and complexity of tax compliance) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
1
2
3
Botswana
43%
40%
17%
0%
0%
Burkina Faso
16%
50%
34%
0%
0%
5
Democratic Republic of Congo (DRC)
2%
25%
39%
25%
10%
Egypt
8%
15%
39%
31%
8%
Ghana
6%
58%
26%
10%
0%
Guinea (Conakry) Madagascar Mali
Argentina
4
0%
19%
58%
23%
0%
14%
21%
43%
14%
7%
7%
41%
41%
9%
2%
Mauritania
15%
39%
46%
0%
0%
Morocco
32%
47%
16%
5%
0%
Namibia
9%
50%
34%
5%
2%
Niger
0%
46%
46%
9%
0%
South Africa
4%
29%
39%
25%
3%
Tanzania
5%
29%
50%
12%
5%
Zambia
6%
44%
44%
6%
0%
Zimbabwe
0%
6%
27%
35%
32%
Catamarca
17%
22%
35%
17%
9%
Chubut
4%
21%
39%
25%
11%
11%
21%
32%
26%
11%
La Rioja
0%
25%
44%
19%
13%
Mendoza
5%
26%
47%
14%
9%
Neuquen
7%
36%
21%
21%
14%
Rio Negro
12%
24%
35%
24%
6%
Salta
11%
34%
37%
14%
3%
San Juan
9%
39%
30%
21%
2%
Santa Cruz
3%
34%
26%
29%
9%
Jujuy
Table 7 continued next page ...
2012/2013 Survey of Mining Companies
93
Table A7: Taxation regime (includes personal, corporate, payroll, capital, and other taxes, and complexity of tax compliance) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
1
2
3
Bolivia
2%
15%
28%
41%
13%
Brazil
6%
40%
44%
10%
0%
Chile
15%
68%
16%
1%
1%
3%
68%
26%
3%
0%
Ecuador
3%
16%
32%
41%
8%
Dominican Republic Guatemala Guyana Honduras
8%
62%
27%
4%
0%
24%
53%
12%
12%
0%
5%
29%
43%
24%
0%
10%
61%
23%
7%
0%
5%
32%
42%
21%
0%
Mexico
15%
60%
21%
3%
1%
Panama
10%
57%
24%
10%
0%
Peru
10%
56%
26%
6%
1%
Suriname
7%
33%
47%
13%
0%
Venezuela
0%
6%
28%
33%
33%
46%
9%
36%
9%
0%
3%
33%
45%
15%
5%
Finland
35%
51%
14%
0%
0%
Greenland
Bulgaria China
28%
48%
20%
4%
0%
Greece
0%
29%
43%
29%
0%
India
7%
27%
47%
13%
7%
Ireland
34%
46%
18%
2%
0%
Kazakhstan
0%
44%
39%
17%
0%
Kyrgyzstan
6%
24%
47%
12%
12%
Mongolia
5%
14%
54%
22%
5%
Norway
36%
27%
18%
14%
5%
Poland
0%
29%
57%
14%
0%
Romania
94
5
Colombia
French Guiana
Eurasia
4
0%
38%
42%
21%
0%
Russia
19%
15%
33%
15%
19%
Serbia
25%
33%
25%
17%
0%
Spain
13%
54%
25%
8%
0%
Sweden
40%
37%
14%
6%
3%
Turkey
7%
68%
20%
5%
0%
Vietnam
0%
31%
46%
15%
8%
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Table A8: Uncertainty concerning disputed land claims 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
Australia
1
2
3
Alberta
28%
40%
28%
0%
3%
British Columbia
11%
22%
30%
33%
4%
Manitoba
18%
26%
27%
22%
7%
5
New Brunswick
27%
50%
21%
2%
0%
Newfoundland & Labrador
17%
42%
26%
15%
0%
Northwest Territories
14%
40%
25%
20%
2%
Nova Scotia
21%
50%
29%
0%
0%
Nunavut
22%
42%
26%
11%
0%
Ontario
14%
29%
32%
21%
4%
Quebec
21%
40%
28%
10%
1%
Saskatchewan
16%
53%
30%
2%
0%
Yukon
21%
42%
33%
2%
1%
Alaska
30%
47%
18%
3%
1%
Arizona
16%
65%
16%
3%
1%
California
14%
57%
17%
6%
6%
Colorado
14%
65%
14%
6%
1%
Idaho
15%
66%
19%
0%
0%
Michigan
24%
52%
19%
5%
0%
Minnesota
28%
48%
17%
7%
0%
Montana
18%
55%
18%
6%
2%
Nevada
27%
61%
11%
0%
0%
New Mexico
15%
58%
23%
3%
3%
Utah
26%
66%
8%
0%
0%
Washington
18%
52%
18%
9%
2%
Wyoming
34%
57%
9%
0%
0%
6%
55%
32%
6%
0%
13%
49%
26%
11%
2%
New South Wales Northern Territory
Oceania
4
Queensland
11%
56%
25%
8%
0%
South Australia
15%
47%
30%
5%
3%
Tasmania
10%
47%
33%
7%
3%
Victoria
12%
50%
29%
7%
2%
Western Australia
16%
49%
28%
7%
0%
0%
20%
33%
37%
10%
Indonesia New Zealand
15%
56%
29%
0%
0%
Papua New Guinea
0%
15%
45%
35%
5%
Philippines
0%
18%
35%
30%
18%
2012/2013 Survey of Mining Companies
95
Table A8: Uncertainty concerning disputed land claims 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
1
2
3
Botswana
40%
49%
11%
0%
0%
Burkina Faso
13%
63%
22%
0%
3%
Democratic Republic of Congo (DRC)
5
2%
17%
25%
38%
19%
Egypt
25%
17%
25%
33%
0%
Ghana
10%
56%
24%
8%
2%
7%
30%
37%
22%
4%
Guinea (Conakry)
Argentina
4
Madagascar
7%
36%
14%
29%
14%
Mali
0%
64%
27%
7%
2%
Mauritania
23%
39%
23%
8%
8%
Morocco
21%
42%
26%
5%
5%
Namibia
21%
48%
25%
5%
2%
Niger
8%
50%
25%
8%
8%
South Africa
1%
35%
29%
29%
6%
Tanzania
2%
33%
48%
12%
5%
Zambia
6%
46%
37%
3%
9%
Zimbabwe
0%
9%
21%
24%
47%
Catamarca
22%
39%
22%
13%
4%
Chubut
14%
36%
36%
11%
4%
Jujuy
11%
32%
32%
11%
16%
La Rioja
6%
35%
41%
6%
12%
Mendoza
7%
42%
35%
12%
5%
Neuquen
20%
20%
40%
7%
13%
Rio Negro
24%
41%
24%
6%
6%
Salta
20%
34%
40%
3%
3%
San Juan
14%
46%
32%
9%
0%
8%
56%
28%
8%
0%
Santa Cruz
Table 8 continued next page ...
96
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Table A8: Uncertainty concerning disputed land claims 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
1
2
3
Bolivia
2%
9%
13%
55%
21%
Brazil
6%
45%
37%
10%
2%
5
Chile
19%
62%
16%
2%
1%
Colombia
9%
44%
28%
16%
3%
Ecuador
8%
18%
15%
40%
20%
Dominican Republic
8%
52%
36%
4%
0%
French Guiana
Eurasia
4
24%
53%
18%
0%
6%
Guatemala
0%
10%
50%
30%
10%
Guyana
0%
50%
38%
9%
3%
Honduras
6%
12%
29%
47%
6%
Mexico
7%
45%
36%
11%
1%
Panama
5%
43%
38%
10%
5%
Peru
7%
28%
38%
24%
3%
Suriname
7%
20%
53%
20%
0%
Venezuela
0%
8%
16%
38%
38%
18%
27%
36%
18%
0%
3%
43%
23%
20%
13%
Finland
37%
47%
16%
0%
0%
Greenland
50%
42%
8%
0%
0%
Greece
0%
14%
50%
36%
0%
India
0%
38%
19%
31%
13%
Ireland
39%
48%
9%
5%
0%
Kazakhstan
22%
22%
35%
13%
9%
Kyrgyzstan
12%
12%
18%
29%
29%
0%
36%
33%
14%
17%
Norway
27%
59%
9%
5%
0%
Poland
0%
43%
36%
21%
0%
Romania
4%
28%
52%
16%
0%
Russia
4%
26%
26%
30%
15%
Serbia
0%
67%
33%
0%
0%
Spain
8%
71%
17%
4%
0%
Sweden
44%
44%
8%
3%
0%
Turkey
10%
67%
19%
5%
0%
0%
31%
54%
8%
8%
Bulgaria China
Mongolia
Vietnam
2012/2013 Survey of Mining Companies
97
Table A9: Uncertainty over which areas will be protected as wilderness, parks, or archeological sites 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
Alberta British Columbia Manitoba New Brunswick Newfoundland & Labrador
USA
4
5
16%
48%
28%
5%
3%
3%
23%
45%
25%
4%
7%
37%
34%
19%
3%
14%
56%
28%
2%
0%
9%
47%
36%
9%
0%
3%
38%
43%
16%
0%
7%
41%
44%
7%
0%
Nunavut
8%
36%
45%
9%
2%
Ontario
7%
31%
41%
17%
3%
Quebec
10%
37%
39%
12%
2%
Saskatchewan
10%
60%
30%
0%
0%
Yukon
11%
46%
36%
6%
1%
Alaska
8%
45%
28%
17%
2%
Arizona
5%
38%
41%
15%
1%
California
1%
20%
27%
33%
19%
Colorado
1%
27%
30%
37%
6%
Idaho
4%
49%
38%
9%
0%
Michigan
5%
48%
38%
10%
0%
Minnesota
3%
52%
35%
10%
0%
Montana
2%
41%
25%
31%
2%
11%
55%
27%
7%
0%
Utah Washington Wyoming New South Wales
3%
48%
28%
23%
0%
18%
55%
18%
8%
0%
4%
40%
22%
24%
9%
15%
62%
19%
4%
0%
4%
50%
35%
10%
0%
Northern Territory
6%
53%
32%
9%
0%
Queensland
4%
42%
39%
11%
4%
South Australia
7%
55%
23%
13%
2%
Tasmania
0%
37%
27%
23%
13%
Victoria
5%
45%
31%
14%
5%
11%
54%
28%
7%
0%
Indonesia
0%
36%
38%
16%
10%
New Zealand
0%
48%
45%
8%
0%
Papua New Guinea
3%
63%
23%
10%
3%
Philippines
3%
34%
50%
5%
8%
Western Australia
98
3
Northwest Territories
New Mexico
Oceania
2
Nova Scotia
Nevada
Australia
1
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Table A9: Uncertainty over which areas will be protected as wilderness, parks, or archeological sites 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
1
2
3
Botswana
31%
58%
11%
0%
0%
Burkina Faso
15%
79%
6%
0%
0%
Democratic Republic of Congo (DRC)
5
0%
54%
29%
13%
4%
Egypt
15%
54%
15%
15%
0%
Ghana
6%
78%
14%
2%
0%
Guinea (Conakry)
7%
70%
11%
11%
0%
Madagascar
0%
43%
43%
7%
7%
Mali
7%
86%
7%
0%
0%
Mauritania
31%
62%
8%
0%
0%
Morocco
26%
68%
5%
0%
0%
Namibia
18%
68%
11%
2%
0%
Niger South Africa Tanzania Zambia
Argentina
4
8%
92%
0%
0%
0%
12%
54%
26%
4%
4%
9%
65%
12%
12%
2%
11%
69%
17%
3%
0%
Zimbabwe
3%
41%
21%
21%
15%
Catamarca
9%
52%
22%
9%
9%
Chubut
0%
41%
17%
31%
10%
Jujuy
0%
50%
11%
22%
17%
La Rioja
6%
31%
25%
31%
6%
Mendoza
7%
30%
30%
14%
19%
Neuquen
7%
33%
33%
13%
13%
Rio Negro
6%
35%
29%
18%
12%
Salta
12%
46%
27%
12%
3%
San Juan
14%
46%
21%
21%
0%
6%
43%
29%
20%
3%
Santa Cruz
Table 9 continued next page ...
2012/2013 Survey of Mining Companies
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Table A9: Uncertainty over which areas will be protected as wilderness, parks, or archeological sites 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
1
2
3
Bolivia
2%
27%
48%
17%
6%
Brazil
3%
46%
43%
9%
0%
Chile
16%
59%
20%
4%
1%
3%
40%
37%
19%
2%
Ecuador
0%
26%
26%
33%
15%
7%
48%
33%
11%
0%
12%
41%
12%
18%
18%
5%
40%
30%
20%
5%
10%
58%
29%
3%
0%
6%
22%
39%
28%
6%
Mexico
11%
60%
22%
7%
0%
Panama
5%
48%
38%
10%
0%
Peru
8%
46%
27%
19%
1%
Suriname
8%
39%
39%
8%
8%
Venezuela
3%
17%
26%
29%
26%
Bulgaria
0%
50%
25%
25%
0%
China
French Guiana Guatemala Guyana Honduras
3%
68%
15%
5%
10%
Finland
16%
56%
21%
7%
0%
Greenland
12%
60%
28%
0%
0%
Greece
0%
36%
21%
36%
7%
India
0%
27%
33%
27%
13%
Ireland
23%
52%
21%
5%
0%
Kazakhstan
9%
68%
18%
5%
0%
Kyrgyzstan
0%
53%
29%
6%
12%
Mongolia
100
5
Colombia Dominican Republic
Eurasia
4
5%
46%
35%
5%
8%
Norway
14%
48%
29%
10%
0%
Poland
0%
46%
31%
23%
0%
Romania
0%
33%
42%
21%
4%
Russia
4%
57%
25%
4%
11%
Serbia
8%
50%
42%
0%
0%
Spain
8%
58%
17%
13%
4%
Sweden
19%
56%
22%
3%
0%
Turkey
5%
60%
29%
7%
0%
Vietnam
0%
46%
46%
8%
0%
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Table A10: Quality of infrastructure (includes access to roads, power availability, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
Australia
Oceania
Alberta
1
2
3
52%
37%
12%
4 0%
5 0%
British Columbia
22%
42%
28%
7%
1%
Manitoba
26%
39%
29%
6%
0%
New Brunswick
54%
42%
5%
0%
0%
Newfoundland & Labrador
24%
28%
37%
11%
0%
Northwest Territories
14%
21%
23%
38%
5%
Nova Scotia
50%
39%
11%
0%
0%
Nunavut
9%
7%
26%
52%
6%
Ontario
33%
41%
23%
3%
0%
Quebec
41%
35%
20%
5%
0%
Saskatchewan
26%
48%
26%
0%
0%
Yukon
15%
24%
38%
19%
4%
Alaska
12%
20%
39%
27%
2%
Arizona
39%
52%
7%
1%
1%
California
24%
61%
13%
1%
0%
Colorado
37%
47%
13%
3%
1%
Idaho
26%
60%
11%
2%
0%
Michigan
52%
43%
0%
5%
0%
Minnesota
52%
41%
3%
3%
0%
Montana
31%
55%
14%
0%
0%
Nevada
46%
47%
7%
0%
0%
New Mexico
24%
59%
10%
7%
0%
Utah
43%
53%
2%
2%
0%
Washington
26%
60%
12%
2%
0%
Wyoming
43%
47%
9%
2%
0%
New South Wales
29%
53%
14%
4%
0%
Northern Territory
21%
47%
28%
4%
0%
Queensland
23%
51%
22%
4%
0%
South Australia
25%
42%
18%
15%
0%
Tasmania
28%
41%
24%
7%
0%
Victoria
36%
45%
12%
7%
0%
Western Australia
28%
47%
19%
6%
0%
2%
20%
48%
28%
2%
20%
66%
15%
0%
0%
Indonesia New Zealand Papua New Guinea
0%
2%
34%
59%
5%
Philippines
0%
13%
60%
23%
5%
2012/2013 Survey of Mining Companies
101
Table A10: Quality of infrastructure (includes access to roads, power availability, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
Botswana
2
3
4
5
22%
39%
36%
3%
0%
Burkina Faso
3%
27%
47%
21%
3%
Democratic Republic of Congo (DRC)
2%
2%
16%
66%
14%
Egypt
0%
54%
39%
8%
0%
Ghana
12%
39%
37%
10%
2%
Guinea (Conakry)
4%
7%
33%
52%
4%
Madagascar
0%
23%
39%
31%
8%
Mali
0%
17%
63%
17%
2%
Mauritania
8%
8%
54%
23%
8%
Morocco
11%
53%
32%
0%
5%
Namibia
21%
43%
23%
11%
2%
Niger South Africa Tanzania
Argentina
1
8%
8%
50%
25%
8%
11%
44%
32%
11%
3%
5%
26%
45%
17%
7%
Zambia
3%
44%
41%
9%
3%
Zimbabwe
3%
24%
24%
32%
18%
Catamarca
9%
48%
26%
13%
4%
14%
31%
28%
21%
7%
5%
53%
16%
11%
16%
La Rioja
11%
33%
33%
17%
6%
Mendoza
16%
50%
21%
5%
9%
Neuquen
20%
27%
33%
7%
13%
Rio Negro
28%
28%
33%
6%
6%
Salta
17%
47%
33%
3%
0%
San Juan
13%
49%
31%
7%
0%
6%
44%
44%
3%
3%
Chubut Jujuy
Santa Cruz
Table 10 continued next page ...
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Table A10: Quality of infrastructure (includes access to roads, power availability, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
1
2
3
Bolivia
2%
12%
29%
49%
8%
Brazil
7%
35%
44%
11%
3%
5
Chile
12%
50%
30%
6%
3%
Colombia
6%
33%
46%
12%
3%
Ecuador
7%
15%
44%
24%
10%
Dominican Republic French Guiana Guatemala
4%
56%
37%
4%
0%
12%
12%
59%
18%
0%
5%
19%
57%
14%
5%
Guyana
0%
10%
52%
36%
3%
Honduras
5%
20%
45%
25%
5%
12%
59%
23%
5%
1%
Mexico
Eurasia
4
Panama
0%
48%
48%
5%
0%
Peru
4%
48%
37%
11%
1%
Suriname
7%
7%
53%
33%
0%
Venezuela
8%
14%
38%
27%
14%
Bulgaria
25%
58%
8%
0%
8%
China
15%
24%
42%
12%
7%
Finland
54%
40%
7%
0%
0%
Greenland
4%
15%
54%
27%
0%
Greece
7%
57%
29%
0%
7%
India
6%
25%
44%
19%
6%
Ireland
63%
33%
2%
2%
0%
Kazakhstan
8%
38%
38%
17%
0%
Kyrgyzstan
6%
24%
41%
18%
12%
Mongolia
0%
5%
42%
45%
8%
Norway
50%
41%
9%
0%
0%
Poland
14%
50%
36%
0%
0%
Romania
13%
46%
33%
8%
0%
Russia
0%
31%
31%
28%
10%
Serbia
42%
25%
33%
0%
0%
Spain
38%
42%
17%
4%
0%
Sweden
53%
33%
14%
0%
0%
Turkey
26%
60%
14%
0%
0%
0%
23%
62%
15%
0%
Vietnam
2012/2013 Survey of Mining Companies
103
Table A11: Socioeconomic agreements/community development conditions (includes local purchasing, processing requirements, or supplying social infrastructure such as schools or hospitals, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
Australia
Oceania
Alberta
2
3
33%
58%
9%
4 0%
5 0%
British Columbia
15%
56%
23%
5%
1%
Manitoba
16%
62%
13%
7%
2%
New Brunswick
33%
52%
14%
0%
0%
Newfoundland and Labrador
15%
62%
20%
3%
0%
Northwest Territories
11%
42%
31%
15%
2%
Nova Scotia
31%
58%
12%
0%
0%
Nunavut
10%
35%
46%
10%
0%
Ontario
20%
53%
21%
6%
1%
Quebec
21%
52%
25%
3%
0%
Saskatchewan
19%
67%
14%
0%
0%
Yukon
16%
64%
18%
3%
0%
Alaska
15%
59%
24%
2%
0%
Arizona
19%
70%
9%
1%
1%
California
19%
61%
6%
11%
3%
Colorado
19%
54%
20%
4%
3%
Idaho
12%
75%
12%
2%
0%
Michigan
30%
55%
5%
10%
0%
Minnesota
22%
59%
15%
4%
0%
Montana
17%
64%
13%
4%
2%
Nevada
27%
67%
5%
1%
0%
New Mexico
16%
71%
11%
3%
0%
Utah
25%
69%
4%
0%
2%
Washington
11%
73%
7%
9%
0%
Wyoming
33%
63%
2%
0%
2%
New South Wales
19%
64%
17%
0%
0%
Northern Territory
13%
67%
17%
2%
0%
Queensland
21%
58%
18%
3%
0%
South Australia
20%
63%
17%
0%
0%
Tasmania
17%
59%
17%
3%
3%
Victoria
21%
62%
13%
3%
3%
Western Australia
16%
67%
14%
3%
0%
0%
32%
44%
21%
4%
31%
49%
15%
5%
0%
Papua New Guinea
3%
24%
41%
32%
0%
Philippines
0%
26%
32%
40%
3%
Indonesia New Zealand
104
1
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Table A11: Socioeconomic agreements/community development conditions (includes local purchasing, processing requirements, or supplying social infrastructure such as schools or hospitals, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
Botswana
2
3
4
5
21%
50%
29%
0%
0%
Burkina Faso
6%
31%
56%
6%
0%
Democratic Republic of Congo (DRC)
0%
16%
31%
39%
14%
Egypt
8%
25%
42%
25%
0%
Ghana
7%
47%
40%
2%
4%
Guinea (Conakry)
8%
15%
35%
42%
0%
Madagascar
0%
39%
54%
0%
8%
Mali
2%
37%
59%
2%
0%
Mauritania
15%
39%
46%
0%
0%
Morocco
6%
38%
56%
0%
0%
Namibia
12%
54%
32%
0%
2%
8%
25%
58%
8%
0%
Niger
Argentina
1
South Africa
5%
34%
37%
20%
5%
Tanzania
3%
38%
43%
14%
3%
Zambia
6%
44%
38%
12%
0%
Zimbabwe
7%
13%
17%
33%
30%
Catamarca
18%
41%
36%
0%
5%
7%
21%
39%
18%
14%
Jujuy
18%
24%
35%
12%
12%
La Rioja
13%
25%
38%
13%
13%
Mendoza
8%
38%
30%
10%
15%
Neuquen
21%
21%
50%
0%
7%
Rio Negro
24%
24%
41%
6%
6%
Salta
18%
32%
35%
12%
3%
San Juan
16%
37%
33%
12%
2%
9%
35%
27%
27%
3%
Chubut
Santa Cruz
Table 11 continued next page ...
2012/2013 Survey of Mining Companies
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Table A11: Socioeconomic agreements/community development conditions (includes local purchasing, processing requirements, or supplying social infrastructure such as schools or hospitals, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
3
4
5
2%
4%
28%
55%
11%
Brazil
3%
52%
38%
6%
0%
Chile
13%
69%
17%
2%
0%
Colombia
3%
53%
30%
13%
0%
Ecuador
5%
10%
39%
36%
10%
4%
52%
44%
0%
0%
15%
46%
23%
15%
0%
Guatemala
5%
15%
35%
35%
10%
Guyana
3%
53%
33%
10%
0%
Honduras
0%
28%
28%
28%
17%
Mexico
8%
56%
28%
8%
1%
Panama
10%
35%
45%
10%
0%
Peru
2%
29%
44%
25%
1%
Suriname
7%
27%
47%
20%
0%
Venezuela
3%
14%
22%
35%
27%
Bulgaria
9%
55%
18%
9%
9%
French Guiana
China
3%
46%
32%
11%
8%
Finland
53%
43%
5%
0%
0%
Greenland
17%
42%
38%
4%
0%
Greece
7%
21%
36%
21%
14%
India
0%
50%
38%
6%
6%
Ireland
106
2
Bolivia
Dominican Republic
Eurasia
1
33%
55%
13%
0%
0%
Kazakhstan
5%
36%
55%
5%
0%
Kyrgyzstan
0%
25%
50%
19%
6%
Mongolia
0%
34%
47%
16%
3%
Norway
43%
52%
5%
0%
0%
Poland
14%
57%
29%
0%
0%
Romania
0%
32%
50%
14%
5%
Russia
4%
58%
17%
17%
4%
Serbia
0%
64%
27%
9%
0%
Spain
30%
52%
17%
0%
0%
Sweden
46%
46%
9%
0%
0%
Turkey
8%
65%
27%
0%
0%
Vietnam
0%
39%
62%
0%
0%
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Table A12: Trade barriers—tariff and non-tariff barriers, restrictions on profit repatriation, currency restrictions, etc 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
Australia
Oceania
1
2
3
4
5
Alberta
46%
46%
7%
2%
0%
British Columbia
33%
58%
7%
2%
0%
Manitoba
33%
59%
7%
0%
0%
New Brunswick
39%
59%
2%
0%
0%
Newfoundland & Labrador
34%
60%
5%
2%
0%
Northwest Territories
33%
61%
7%
0%
0%
Nova Scotia
41%
56%
4%
0%
0%
Nunavut
29%
61%
10%
0%
0%
Ontario
39%
56%
5%
1%
0%
Quebec
37%
49%
13%
1%
0%
Saskatchewan
38%
55%
7%
0%
0%
Yukon
45%
54%
1%
0%
0%
Alaska
41%
52%
7%
0%
0%
Arizona
36%
55%
8%
0%
2%
California
36%
58%
3%
3%
0%
Colorado
35%
62%
3%
0%
0%
Idaho
35%
63%
2%
0%
0%
Michigan
40%
55%
5%
0%
0%
Minnesota
30%
59%
11%
0%
0%
Montana
34%
57%
9%
0%
0%
Nevada
43%
51%
6%
0%
0%
New Mexico
28%
59%
13%
0%
0%
Utah
35%
61%
4%
0%
0%
Washington
36%
55%
9%
0%
0%
Wyoming
40%
53%
7%
0%
0%
New South Wales
34%
64%
2%
0%
0%
Northern Territory
29%
62%
9%
0%
0%
Queensland
31%
65%
4%
0%
0%
South Australia
32%
56%
12%
0%
0%
Tasmania
35%
62%
3%
0%
0%
Victoria
40%
58%
3%
0%
0%
Western Australia
35%
55%
9%
0%
1%
Indonesia
0%
28%
42%
23%
7%
33%
58%
8%
3%
0%
Papua New Guinea
6%
53%
33%
8%
0%
Philippines
3%
39%
39%
17%
3%
New Zealand
2012/2013 Survey of Mining Companies
107
Table A12: Trade barriers—tariff and non-tariff barriers, restrictions on profit repatriation, currency restrictions, etc 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
Botswana Burkina Faso
2
3
4
5
31%
56%
13%
0%
0%
9%
58%
33%
0%
0%
Democratic Republic of Congo (DRC)
0%
21%
45%
26%
9%
Egypt
0%
18%
36%
46%
0%
Ghana
7%
63%
26%
4%
0%
Guinea (Conakry) Madagascar Mali
Argentina
1
9%
30%
39%
22%
0%
15%
31%
31%
15%
8%
8%
55%
26%
11%
0%
Mauritania
25%
42%
25%
8%
0%
Morocco
33%
40%
13%
13%
0%
Namibia
15%
55%
25%
3%
3%
Niger
10%
30%
30%
30%
0%
South Africa
3%
42%
32%
16%
7%
Tanzania
3%
61%
26%
8%
3%
Zambia
9%
58%
33%
0%
0%
Zimbabwe
7%
10%
19%
23%
42%
Catamarca
5%
9%
23%
36%
27%
Chubut
0%
4%
25%
43%
29%
Jujuy
0%
6%
17%
50%
28%
La Rioja
0%
0%
18%
53%
29%
Mendoza
8%
13%
20%
40%
20%
Neuquen
7%
0%
21%
43%
29%
Rio Negro
12%
6%
18%
35%
29%
Salta
6%
6%
31%
43%
14%
San Juan
7%
12%
23%
42%
16%
Santa Cruz
0%
3%
27%
38%
32%
Table 12 continued next page ...
108
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Table A12: Trade barriers—tariff and non-tariff barriers, restrictions on profit repatriation, currency restrictions, etc 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
2
3
4
5
Bolivia
4%
11%
26%
43%
17%
Brazil
8%
46%
38%
8%
0%
Chile
29%
60%
11%
1%
0%
Colombia
22%
52%
20%
7%
0%
3%
32%
26%
32%
8%
Ecuador Dominican Republic
19%
54%
27%
0%
0%
French Guiana
15%
62%
15%
8%
0%
0%
45%
50%
5%
0%
Guatemala
Eurasia
1
Guyana
19%
54%
15%
12%
0%
Honduras
11%
44%
33%
11%
0%
Mexico
19%
56%
21%
4%
0%
Panama
38%
38%
19%
5%
0%
Peru
25%
46%
24%
6%
0%
Suriname
7%
29%
43%
21%
0%
Venezuela
3%
6%
6%
36%
50%
27%
55%
18%
0%
0%
Bulgaria China
3%
22%
41%
27%
8%
Finland
61%
37%
2%
0%
0%
Greenland
44%
48%
4%
4%
0%
Greece
8%
62%
31%
0%
0%
India
0%
33%
40%
20%
7%
55%
38%
5%
2%
0%
Kazakhstan
0%
46%
27%
27%
0%
Kyrgyzstan
6%
38%
25%
19%
13%
Mongolia
0%
26%
51%
11%
11%
Norway
52%
38%
10%
0%
0%
Poland
21%
50%
21%
7%
0%
Romania
23%
41%
32%
5%
0%
Russia
4%
26%
37%
15%
19%
Serbia
9%
55%
36%
0%
0%
Spain
35%
57%
9%
0%
0%
Sweden
53%
41%
6%
0%
0%
Turkey
18%
71%
5%
3%
3%
0%
23%
39%
39%
0%
Ireland
Vietnam
2012/2013 Survey of Mining Companies
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Table A13: Political stability 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
Australia
Oceania
Alberta
2
3
63%
30%
4%
4 4%
5 0%
British Columbia
39%
25%
26%
8%
1%
Manitoba
46%
44%
6%
3%
1%
New Brunswick
51%
49%
0%
0%
0%
Newfoundland & Labrador
47%
46%
6%
2%
0%
Northwest Territories
44%
40%
13%
3%
0%
Nova Scotia
58%
35%
8%
0%
0%
Nunavut
38%
49%
11%
2%
0%
Ontario
50%
36%
10%
4%
1%
Quebec
35%
31%
23%
10%
1%
Saskatchewan
63%
35%
0%
2%
0%
Yukon
63%
31%
5%
1%
0%
Alaska
60%
29%
7%
5%
0%
Arizona
40%
50%
6%
3%
1%
California
26%
31%
19%
15%
9%
Colorado
39%
33%
17%
8%
3%
Idaho
53%
34%
9%
4%
0%
Michigan
43%
33%
19%
5%
0%
Minnesota
35%
38%
14%
14%
0%
Montana
44%
29%
13%
13%
2%
Nevada
54%
36%
9%
1%
0%
New Mexico
35%
53%
8%
5%
0%
Utah
52%
36%
10%
2%
0%
Washington
32%
32%
16%
14%
7%
Wyoming
64%
28%
6%
2%
0%
New South Wales
56%
29%
13%
0%
2%
Northern Territory
70%
26%
4%
0%
0%
Queensland
55%
30%
15%
0%
0%
South Australia
63%
29%
9%
0%
0%
Tasmania
61%
25%
7%
4%
4%
Victoria
65%
30%
5%
0%
0%
Western Australia
65%
28%
6%
1%
0%
Indonesia
2%
28%
44%
18%
9%
65%
30%
5%
0%
0%
Papua New Guinea
0%
17%
47%
31%
6%
Philippines
3%
18%
51%
21%
8%
New Zealand
110
1
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Table A13: Political stability 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
Botswana
2
3
50%
47%
0%
4 3%
5 0%
Burkina Faso
3%
30%
55%
6%
6%
Democratic Republic of Congo (DRC)
2%
6%
13%
40%
40%
Egypt
0%
0%
0%
75%
25%
Ghana
26%
45%
21%
6%
2%
0%
4%
25%
63%
8%
Guinea (Conakry) Madagascar
0%
15%
31%
46%
8%
Mali
0%
11%
23%
55%
11%
Mauritania
23%
15%
23%
31%
8%
Morocco
25%
56%
0%
13%
6%
Namibia
36%
41%
17%
2%
5%
Niger
7%
7%
36%
21%
29%
South Africa
6%
15%
42%
27%
9%
Tanzania
5%
54%
32%
5%
5%
18%
41%
27%
6%
9%
Zimbabwe
0%
3%
3%
52%
42%
Catamarca
14%
32%
27%
18%
9%
Chubut
0%
25%
36%
21%
18%
Jujuy
0%
22%
33%
22%
22%
La Rioja
0%
18%
35%
24%
24%
Mendoza
2%
24%
37%
20%
17%
Neuquen
7%
29%
29%
14%
21%
Rio Negro
6%
25%
38%
6%
25%
Salta
6%
29%
37%
23%
6%
San Juan
7%
32%
36%
18%
7%
Santa Cruz
3%
21%
35%
29%
12%
Zambia
Argentina
1
Table 13 continued next page ...
2012/2013 Survey of Mining Companies
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Table A13: Political stability 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
1
2
3
Bolivia
0%
4%
19%
35%
42%
Brazil
15%
52%
28%
3%
2%
Chile
40%
44%
14%
1%
1%
18%
40%
30%
10%
3%
3%
15%
23%
35%
25%
Dominican Republic
11%
63%
26%
0%
0%
French Guiana
57%
29%
14%
0%
0%
5%
0%
57%
33%
5%
19%
37%
37%
4%
4%
5%
0%
47%
32%
16%
18%
48%
27%
6%
1%
Guatemala Guyana Honduras Mexico Panama
11%
47%
26%
16%
0%
Peru
11%
34%
39%
14%
2%
Suriname
0%
27%
47%
20%
7%
Venezuela
3%
3%
13%
29%
53%
Bulgaria
18%
55%
18%
0%
9%
China
11%
49%
23%
11%
6%
Finland
81%
17%
2%
0%
0%
Greenland
52%
44%
0%
4%
0%
7%
7%
50%
29%
7%
India
20%
47%
27%
7%
0%
Ireland
61%
27%
7%
5%
0%
Kazakhstan
0%
38%
50%
13%
0%
Kyrgyzstan
0%
17%
11%
56%
17%
Mongolia
0%
6%
44%
39%
11%
Norway
75%
15%
0%
10%
0%
Poland
36%
36%
29%
0%
0%
Greece
Romania
112
5
Colombia Ecuador
Eurasia
4
0%
31%
31%
31%
8%
Russia
15%
37%
19%
22%
7%
Serbia
0%
55%
27%
18%
0%
Spain
23%
36%
27%
14%
0%
Sweden
80%
9%
9%
3%
0%
Turkey
15%
69%
13%
3%
0%
Vietnam
23%
46%
15%
15%
0%
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Table A14: Labor regulations, employment agreements, and labor militancy/work disruptions 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
Australia
1
2
3
Alberta
35%
55%
7%
3%
0%
British Columbia
18%
51%
25%
6%
0%
5
Manitoba
25%
62%
11%
1%
0%
New Brunswick
36%
55%
7%
2%
0%
Newfoundland & Labrador
24%
55%
18%
3%
0%
Northwest Territories
20%
64%
16%
0%
0%
Nova Scotia
33%
48%
15%
4%
0%
Nunavut
17%
69%
13%
2%
0%
Ontario
22%
56%
18%
2%
1%
Quebec
18%
54%
21%
8%
0%
Saskatchewan
32%
64%
0%
3%
0%
Yukon
35%
60%
4%
1%
0%
Alaska
33%
54%
12%
1%
0%
Arizona
23%
65%
9%
3%
1%
California
14%
45%
27%
9%
5%
Colorado
28%
52%
16%
3%
1%
Idaho
31%
60%
8%
2%
0%
Michigan
24%
57%
19%
0%
0%
Minnesota
17%
59%
17%
7%
0%
Montana
25%
58%
13%
4%
0%
Nevada
38%
51%
9%
1%
0%
New Mexico
18%
64%
13%
5%
0%
Utah
33%
59%
6%
2%
0%
Washington
23%
49%
26%
2%
0%
Wyoming
45%
47%
4%
4%
0%
New South Wales Northern Territory Queensland
Oceania
4
6%
46%
35%
13%
0%
15%
54%
24%
7%
0%
8%
56%
26%
10%
0%
South Australia
7%
51%
34%
9%
0%
Tasmania
7%
48%
28%
7%
10%
Victoria
10%
45%
35%
5%
5%
Western Australia
15%
50%
28%
7%
0%
Indonesia
0%
41%
45%
12%
2%
23%
56%
18%
3%
0%
Papua New Guinea
6%
50%
36%
8%
0%
Philippines
3%
45%
37%
13%
3%
New Zealand
2012/2013 Survey of Mining Companies
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Table A14: Labor regulations, employment agreements, and labor militancy/work disruptions 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
Botswana Burkina Faso
2
3
4
5
21%
68%
12%
0%
0%
9%
62%
29%
0%
0%
Democratic Republic of Congo (DRC)
0%
36%
30%
28%
6%
Egypt
0%
8%
50%
33%
8%
Ghana
4%
71%
23%
2%
0%
Guinea (Conakry)
4%
33%
29%
33%
0%
Madagascar
0%
46%
46%
0%
8%
Mali
5%
43%
41%
12%
0%
Mauritania
Argentina
1
15%
54%
23%
8%
0%
Morocco
7%
67%
27%
0%
0%
Namibia
7%
63%
27%
2%
0%
Niger
8%
33%
42%
17%
0%
South Africa
2%
15%
26%
49%
8%
Tanzania
0%
53%
38%
8%
3%
Zambia
3%
53%
41%
3%
0%
Zimbabwe
0%
19%
23%
42%
16%
Catamarca
18%
41%
32%
5%
5%
Chubut
4%
21%
43%
25%
7%
Jujuy
6%
22%
50%
6%
17%
La Rioja
6%
29%
47%
12%
6%
Mendoza
5%
26%
36%
23%
10%
Neuquen
14%
21%
50%
7%
7%
Rio Negro
13%
25%
44%
13%
6%
Salta
6%
41%
41%
9%
3%
San Juan
9%
44%
30%
14%
2%
Santa Cruz
3%
15%
39%
33%
9%
Table 14 continued next page ...
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Table A14: Labor regulations, employment agreements, and labor militancy/work disruptions 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
2
3
4
5
Bolivia
0%
7%
28%
50%
15%
Brazil
6%
41%
46%
6%
0%
Chile
11%
56%
27%
5%
0%
Colombia
3%
61%
28%
8%
0%
Ecuador
3%
16%
46%
27%
8%
Dominican Republic
Eurasia
1
12%
56%
32%
0%
0%
French Guiana
7%
64%
14%
14%
0%
Guatemala
0%
43%
43%
10%
5%
Guyana
0%
82%
15%
4%
0%
Honduras
0%
28%
61%
11%
0%
Mexico
7%
55%
32%
6%
1%
Panama
0%
62%
38%
0%
0%
Peru
1%
39%
42%
17%
1%
Suriname
0%
50%
43%
7%
0%
Venezuela
0%
14%
17%
43%
26%
Bulgaria
8%
58%
17%
17%
0%
China
11%
51%
24%
8%
5%
Finland
41%
50%
10%
0%
0%
Greenland
28%
64%
8%
0%
0%
Greece
0%
21%
36%
29%
14%
India
7%
27%
53%
13%
0%
19%
57%
19%
5%
0%
Kazakhstan
0%
41%
50%
9%
0%
Kyrgyzstan
0%
31%
31%
25%
13%
Mongolia
3%
52%
33%
9%
3%
Norway
33%
52%
10%
5%
0%
Poland
15%
31%
46%
8%
0%
4%
44%
32%
20%
0%
Russia
0%
58%
27%
8%
8%
Serbia
27%
46%
18%
9%
0%
Spain
17%
39%
26%
17%
0%
Sweden
34%
54%
9%
3%
0%
Turkey
15%
64%
18%
3%
0%
8%
62%
23%
8%
0%
Ireland
Romania
Vietnam
2012/2013 Survey of Mining Companies
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Table A15: Quality of geological database (includes quality and scale of maps, ease of access to information, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
Australia
Oceania
1
2
3
Alberta
56%
37%
5%
2%
0%
British Columbia
69%
29%
2%
0%
0%
Manitoba
57%
36%
4%
3%
0%
New Brunswick
62%
36%
2%
0%
0%
Newfoundland & Labrador
66%
30%
5%
0%
0%
Northwest Territories
52%
37%
10%
2%
0%
Nova Scotia
63%
30%
7%
0%
0%
Nunavut
41%
44%
15%
0%
0%
Ontario
71%
24%
3%
1%
1%
Quebec
76%
19%
3%
3%
0%
Saskatchewan
62%
36%
0%
2%
0%
Yukon
65%
33%
3%
0%
0%
Alaska
56%
35%
8%
1%
0%
Arizona
48%
41%
12%
0%
0%
California
35%
45%
15%
5%
0%
Colorado
51%
41%
7%
0%
1%
Idaho
42%
46%
12%
0%
0%
Michigan
15%
45%
30%
10%
0%
Minnesota
40%
40%
10%
10%
0%
Montana
55%
34%
9%
2%
0%
Nevada
57%
36%
6%
2%
0%
New Mexico
55%
34%
8%
3%
0%
Utah
56%
38%
4%
2%
0%
Washington
36%
41%
21%
2%
0%
Wyoming
57%
38%
2%
2%
0%
New South Wales
60%
40%
0%
0%
0%
Northern Territory
67%
29%
4%
0%
0%
Queensland
63%
34%
1%
1%
0%
South Australia
81%
15%
3%
0%
0%
Tasmania
48%
44%
0%
7%
0%
Victoria
58%
33%
10%
0%
0%
Western Australia
74%
22%
3%
1%
0%
2%
39%
44%
14%
2%
Indonesia New Zealand
116
4
5
45%
45%
10%
0%
0%
Papua New Guinea
6%
46%
43%
6%
0%
Philippines
6%
33%
47%
14%
0%
www.fraserinstitute.org
Table A15: Quality of geological database (includes quality and scale of maps, ease of access to information, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
Botswana
2
3
4
5
21%
52%
27%
0%
0%
Burkina Faso
0%
41%
50%
9%
0%
Democratic Republic of Congo (DRC)
0%
13%
38%
43%
6%
Egypt
0%
33%
58%
8%
0%
Ghana
13%
43%
38%
6%
0%
0%
18%
36%
46%
0%
Guinea (Conakry) Madagascar
8%
25%
58%
8%
0%
Mali
0%
26%
62%
13%
0%
17%
33%
33%
17%
0%
Mauritania Morocco
27%
27%
40%
7%
0%
Namibia
30%
35%
33%
3%
0%
0%
33%
50%
17%
0%
Niger South Africa
22%
51%
24%
2%
2%
8%
36%
41%
15%
0%
12%
41%
38%
9%
0%
Zimbabwe
0%
24%
31%
38%
7%
Catamarca
29%
33%
29%
10%
0%
Chubut
14%
29%
43%
4%
11%
Jujuy
18%
41%
24%
12%
6%
La Rioja
18%
35%
24%
18%
6%
Mendoza
13%
36%
28%
15%
8%
Neuquen
36%
21%
29%
7%
7%
Rio Negro
29%
29%
29%
6%
6%
Salta
18%
39%
39%
3%
0%
San Juan
14%
45%
29%
7%
5%
Santa Cruz
12%
38%
41%
6%
3%
Tanzania Zambia
Argentina
1
Table 15 continued next page ...
2012/2013 Survey of Mining Companies
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Table A15: Quality of geological database (includes quality and scale of maps, ease of access to information, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
1
2
3
Bolivia
4%
17%
47%
30%
2%
Brazil
13%
52%
30%
5%
0%
Chile
25%
49%
21%
4%
0%
10%
37%
40%
13%
2%
5%
24%
37%
29%
5%
Dominican Republic French Guiana Guatemala Guyana Honduras
8%
63%
25%
4%
0%
39%
46%
15%
0%
0%
0%
37%
47%
16%
0%
11%
26%
52%
11%
0%
6%
33%
44%
11%
6%
Mexico
28%
51%
18%
3%
1%
Panama
5%
26%
58%
11%
0%
24%
49%
23%
5%
0%
Peru Suriname
7%
7%
57%
21%
7%
Venezuela
0%
14%
36%
31%
19%
20%
30%
50%
0%
0%
0%
26%
43%
23%
9%
Finland
76%
24%
0%
0%
0%
Greenland
Bulgaria China
52%
44%
4%
0%
0%
Greece
9%
46%
18%
27%
0%
India
7%
47%
33%
13%
0%
Ireland
61%
33%
7%
0%
0%
Kazakhstan
0%
45%
50%
5%
0%
Kyrgyzstan
0%
40%
33%
13%
13%
Mongolia
6%
38%
41%
9%
6%
Norway
52%
33%
10%
5%
0%
Poland
29%
21%
36%
7%
7%
Romania
4%
44%
30%
13%
9%
Russia
12%
50%
23%
8%
8%
Serbia
22%
33%
22%
22%
0%
Spain
14%
68%
9%
9%
0%
Sweden
69%
23%
6%
3%
0%
Turkey
13%
58%
21%
8%
0%
0%
23%
62%
15%
0%
Vietnam
118
5
Colombia Ecuador
Eurasia
4
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Table A16: Security situation (includes physical security due to the threat of attack by terrorists, criminals, guerrilla groups, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
Australia
Oceania
1
2
3
4
5
Alberta
79%
19%
0%
2%
0%
British Columbia
71%
28%
1%
0%
0%
Manitoba
61%
31%
7%
0%
1%
New Brunswick
83%
17%
0%
0%
0%
Newfoundland & Labrador
74%
22%
3%
2%
0%
Northwest Territories
73%
22%
5%
0%
0%
Nova Scotia
89%
11%
0%
0%
0%
Nunavut
69%
31%
0%
0%
0%
Ontario
72%
24%
2%
2%
0%
Quebec
70%
27%
1%
1%
0%
Saskatchewan
69%
29%
0%
2%
0%
Yukon
78%
22%
0%
0%
0%
Alaska
72%
26%
2%
0%
0%
Arizona
55%
37%
7%
1%
0%
California
55%
38%
8%
0%
0%
Colorado
70%
27%
3%
0%
0%
Idaho
66%
34%
0%
0%
0%
Michigan
80%
20%
0%
0%
0%
Minnesota
77%
20%
0%
3%
0%
Montana
67%
30%
2%
0%
0%
Nevada
70%
29%
1%
0%
0%
New Mexico
56%
31%
10%
3%
0%
Utah
70%
26%
2%
2%
0%
Washington
69%
27%
4%
0%
0%
Wyoming
73%
23%
0%
4%
0%
New South Wales
77%
23%
0%
0%
0%
Northern Territory
82%
18%
0%
0%
0%
Queensland
79%
21%
0%
0%
0%
South Australia
80%
20%
0%
0%
0%
Tasmania
89%
7%
4%
0%
0%
Victoria
85%
15%
0%
0%
0%
Western Australia
83%
15%
2%
0%
0%
0%
25%
43%
29%
4%
Indonesia New Zealand
80%
20%
0%
0%
0%
Papua New Guinea
0%
3%
50%
39%
8%
Philippines
0%
5%
45%
40%
11%
2012/2013 Survey of Mining Companies
119
Table A16: Security situation (includes physical security due to the threat of attack by terrorists, criminals, guerrilla groups, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
Botswana Burkina Faso
2
3
4
5
44%
50%
3%
3%
0%
6%
25%
53%
9%
6%
Democratic Republic of Congo (DRC)
2%
2%
17%
45%
34%
Egypt
0%
17%
58%
17%
8%
Ghana
20%
52%
24%
4%
0%
Guinea (Conakry)
0%
18%
32%
46%
5%
Madagascar
8%
42%
42%
8%
0%
Mali
0%
7%
32%
51%
10%
Mauritania
Argentina
1
8%
42%
25%
25%
0%
Morocco
40%
13%
33%
0%
13%
Namibia
33%
53%
8%
5%
3%
Niger
0%
0%
46%
31%
23%
South Africa
3%
20%
36%
35%
6%
Tanzania
3%
40%
40%
18%
0%
Zambia
9%
62%
21%
6%
3%
Zimbabwe
0%
18%
18%
25%
39%
Catamarca
43%
43%
14%
0%
0%
Chubut
25%
46%
25%
4%
0%
Jujuy
33%
44%
17%
0%
6%
La Rioja
35%
53%
12%
0%
0%
Mendoza
26%
49%
21%
3%
3%
Neuquen
36%
50%
14%
0%
0%
Rio Negro
29%
59%
12%
0%
0%
Salta
24%
47%
29%
0%
0%
San Juan
31%
45%
21%
2%
0%
Santa Cruz
21%
50%
24%
6%
0%
Table 16 continued next page ...
120
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Table A16: Security situation (includes physical security due to the threat of attack by terrorists, criminals, guerrilla groups, etc.) 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
1
2
3
Bolivia
0%
20%
33%
35%
13%
Brazil
8%
51%
32%
10%
0%
5
Chile
47%
41%
10%
3%
0%
Colombia
0%
10%
60%
24%
6%
Ecuador
3%
25%
50%
18%
5%
Dominican Republic
15%
58%
23%
4%
0%
French Guiana
39%
39%
23%
0%
0%
0%
0%
50%
40%
10%
Guatemala Guyana
4%
46%
36%
14%
0%
Honduras
6%
0%
50%
39%
6%
Mexico
2%
8%
43%
42%
5%
Panama
15%
45%
30%
10%
0%
2%
27%
52%
19%
1%
Suriname
7%
20%
67%
7%
0%
Venezuela
0%
5%
24%
38%
32%
Bulgaria
27%
55%
0%
18%
0%
China
17%
47%
22%
8%
6%
Finland
88%
12%
0%
0%
0%
Greenland
84%
16%
0%
0%
0%
Greece
17%
33%
42%
8%
0%
6%
31%
63%
0%
0%
Peru
Eurasia
4
India Ireland
73%
16%
9%
2%
0%
Kazakhstan
5%
43%
43%
10%
0%
Kyrgyzstan
0%
36%
7%
43%
14%
Mongolia
14%
54%
23%
6%
3%
Norway
76%
19%
0%
5%
0%
Poland
79%
14%
0%
7%
0%
Romania
13%
42%
42%
4%
0%
Russia
11%
32%
32%
11%
14%
Serbia
20%
40%
20%
20%
0%
Spain
32%
55%
14%
0%
0%
Sweden
80%
17%
0%
3%
0%
Turkey
16%
49%
32%
3%
0%
Vietnam
23%
46%
31%
0%
0%
2012/2013 Survey of Mining Companies
121
Table A17: Availability of labor and skills 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
Australia
Oceania
1
2
3
Alberta
37%
28%
30%
5%
0%
British Columbia
39%
44%
14%
3%
0%
5
Manitoba
32%
47%
19%
1%
0%
New Brunswick
46%
44%
10%
0%
0%
Newfoundland & Labrador
39%
47%
9%
5%
0%
Northwest Territories
27%
34%
34%
5%
0%
Nova Scotia
44%
48%
7%
0%
0%
Nunavut
17%
33%
44%
6%
0%
Ontario
45%
42%
11%
2%
0%
Quebec
48%
35%
16%
1%
0%
Saskatchewan
28%
52%
20%
0%
0%
Yukon
33%
40%
25%
3%
0%
Alaska
33%
47%
16%
3%
0%
Arizona
36%
48%
16%
0%
0%
California
27%
41%
25%
8%
0%
Colorado
37%
47%
14%
0%
1%
Idaho
37%
49%
14%
0%
0%
Michigan
14%
62%
19%
5%
0%
Minnesota
20%
60%
17%
3%
0%
Montana
39%
46%
13%
2%
0%
Nevada
47%
40%
12%
0%
0%
New Mexico
34%
45%
21%
0%
0%
Utah
41%
47%
12%
0%
0%
Washington
32%
43%
25%
0%
0%
Wyoming
42%
46%
13%
0%
0%
New South Wales
33%
46%
17%
4%
0%
Northern Territory
31%
42%
27%
0%
0%
Queensland
25%
49%
24%
3%
0%
South Australia
35%
42%
22%
2%
0%
Tasmania
29%
39%
21%
7%
4%
Victoria
31%
56%
8%
5%
0%
Western Australia
37%
30%
23%
10%
0%
5%
38%
50%
7%
0%
23%
49%
28%
0%
0%
3%
20%
51%
26%
0%
16%
29%
47%
8%
0%
Indonesia New Zealand Papua New Guinea Philippines
122
4
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Table A17: Availability of labor and skills 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
1
2
3
Botswana
9%
30%
61%
0%
0%
Burkina Faso
7%
17%
53%
23%
0%
Democratic Republic of Congo (DRC)
0%
11%
28%
48%
13%
Egypt
17%
8%
58%
17%
0%
5
Ghana
17%
40%
30%
13%
0%
Guinea (Conakry)
5%
19%
29%
48%
0%
Madagascar
0%
17%
50%
25%
8%
Mali
0%
24%
51%
22%
2%
Mauritania
0%
33%
42%
25%
0%
Morocco
20%
47%
20%
13%
0%
Namibia
15%
33%
43%
10%
0%
0%
33%
25%
33%
8%
12%
35%
37%
12%
3%
Niger South Africa
Argentina
4
Tanzania
3%
38%
43%
15%
3%
Zambia
9%
38%
44%
9%
0%
Zimbabwe
21%
3%
31%
38%
7%
Catamarca
19%
52%
19%
10%
0%
7%
32%
43%
14%
4%
11%
67%
11%
11%
0%
La Rioja
6%
59%
24%
12%
0%
Mendoza
13%
45%
26%
11%
5%
Neuquen
21%
57%
7%
14%
0%
Rio Negro
18%
53%
12%
18%
0%
Salta
24%
33%
24%
18%
0%
San Juan
17%
46%
22%
15%
0%
9%
39%
15%
33%
3%
Chubut Jujuy
Santa Cruz
Table 17 continued next page ...
2012/2013 Survey of Mining Companies
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Table A17: Availability of labor and skills 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
1
2
3
Bolivia
2%
24%
24%
44%
7%
Brazil
13%
54%
27%
6%
0%
Chile
31%
40%
26%
4%
0%
Colombia
5%
43%
43%
10%
0%
0%
16%
45%
37%
3%
Dominican Republic
0%
48%
48%
4%
0%
15%
46%
31%
8%
0%
Guatemala
5%
10%
65%
10%
10%
Guyana
0%
30%
59%
11%
0%
Honduras
6%
11%
61%
17%
6%
Mexico
21%
46%
28%
4%
1%
Panama
5%
45%
45%
5%
0%
Peru
17%
51%
26%
7%
0%
Suriname
0%
14%
71%
14%
0%
Venezuela
3%
8%
35%
32%
22%
Bulgaria
27%
55%
9%
9%
0%
China
14%
44%
28%
8%
6%
Finland
45%
52%
2%
0%
0%
Greenland
8%
40%
36%
16%
0%
Greece
8%
25%
58%
8%
0%
India
6%
50%
38%
0%
6%
48%
34%
18%
0%
0%
Kazakhstan
5%
50%
40%
5%
0%
Kyrgyzstan
0%
43%
29%
7%
21%
Ireland
Mongolia
0%
24%
49%
24%
3%
Norway
10%
62%
24%
5%
0%
Poland
43%
36%
21%
0%
0%
4%
46%
42%
8%
0%
Russia
15%
56%
26%
4%
0%
Serbia
30%
50%
0%
20%
0%
Spain
32%
55%
14%
0%
0%
Sweden
40%
51%
6%
3%
0%
Turkey
28%
44%
25%
3%
0%
8%
46%
31%
15%
0%
Romania
Vietnam
124
5
Ecuador French Guiana
Eurasia
4
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Table A18: Corruption 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
Australia
Oceania
1
2
3
4
5
Alberta
65%
32%
0%
2%
2%
British Columbia
60%
37%
3%
0%
0%
Manitoba
55%
37%
4%
3%
1%
New Brunswick
71%
29%
0%
0%
0%
Newfoundland & Labrador
66%
33%
0%
2%
0%
Northwest Territories
63%
28%
8%
2%
0%
Nova Scotia
78%
22%
0%
0%
0%
Nunavut
47%
46%
6%
2%
0%
Ontario
60%
32%
6%
2%
1%
Quebec
47%
35%
13%
5%
1%
Saskatchewan
57%
42%
0%
2%
0%
Yukon
68%
28%
3%
1%
0%
Alaska
65%
30%
5%
0%
0%
Arizona
50%
46%
3%
0%
1%
California
52%
36%
8%
3%
2%
Colorado
58%
35%
6%
1%
0%
Idaho
65%
35%
0%
0%
0%
Michigan
57%
33%
10%
0%
0%
Minnesota
60%
33%
3%
3%
0%
Montana
54%
35%
7%
4%
0%
Nevada
60%
34%
7%
0%
0%
New Mexico
55%
32%
13%
0%
0%
Utah
65%
29%
4%
2%
0%
Washington
57%
30%
9%
5%
0%
Wyoming
62%
34%
2%
2%
0%
New South Wales
51%
43%
4%
0%
2%
Northern Territory
64%
31%
4%
0%
0%
Queensland
56%
42%
3%
0%
0%
South Australia
64%
32%
3%
0%
0%
Tasmania
54%
36%
11%
0%
0%
Victoria
65%
30%
5%
0%
0%
Western Australia
68%
28%
3%
1%
0%
0%
4%
26%
46%
25%
Indonesia New Zealand
80%
21%
0%
0%
0%
Papua New Guinea
3%
14%
47%
36%
0%
Philippines
3%
5%
36%
51%
5%
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Table A18: Corruption 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
1
2
3
Botswana
27%
49%
15%
9%
0%
Burkina Faso
13%
29%
42%
13%
3%
0%
0%
9%
46%
46%
Democratic Republic of Congo (DRC)
5
Egypt
0%
0%
58%
42%
0%
Ghana
11%
32%
32%
23%
2%
Guinea (Conakry)
0%
5%
29%
52%
14%
Madagascar
0%
8%
42%
42%
8%
Mali
0%
17%
52%
29%
2%
Mauritania
17%
42%
8%
33%
0%
Morocco
13%
47%
13%
27%
0%
Namibia
15%
48%
25%
10%
3%
0%
33%
42%
17%
8%
Niger
Argentina
4
South Africa
2%
19%
37%
37%
6%
Tanzania
0%
18%
50%
30%
3%
Zambia
3%
32%
41%
18%
6%
Zimbabwe
3%
3%
24%
21%
48%
Catamarca
14%
29%
24%
19%
14%
Chubut
7%
21%
36%
29%
7%
Jujuy
6%
22%
28%
28%
17%
La Rioja
6%
29%
24%
18%
24%
Mendoza
11%
21%
32%
29%
8%
Neuquen
21%
29%
21%
14%
14%
Rio Negro
24%
24%
24%
18%
12%
Salta
12%
27%
38%
21%
3%
San Juan
14%
24%
36%
24%
2%
3%
18%
38%
38%
3%
Santa Cruz
Table 18 continued next page ...
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Table A18: Corruption 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
1
2
3
Bolivia
0%
7%
23%
50%
21%
Brazil
2%
37%
48%
13%
2%
5
Chile
41%
42%
14%
3%
1%
Colombia
0%
39%
45%
16%
0%
Ecuador
0%
16%
51%
19%
14%
Dominican Republic
4%
32%
52%
12%
0%
French Guiana
Eurasia
4
54%
46%
0%
0%
0%
Guatemala
0%
0%
55%
30%
15%
Guyana
0%
35%
46%
12%
8%
Honduras
0%
0%
44%
44%
11%
Mexico
4%
21%
52%
20%
3%
Panama
0%
25%
60%
10%
5%
Peru
2%
38%
47%
13%
0%
Suriname
0%
20%
60%
20%
0%
Venezuela
0%
6%
14%
39%
42%
Bulgaria
0%
20%
60%
20%
0%
China
3%
26%
31%
29%
11%
Finland
81%
19%
0%
0%
0%
Greenland
64%
36%
0%
0%
0%
Greece
0%
25%
33%
33%
8%
India
0%
6%
38%
50%
6%
57%
36%
2%
5%
0%
Kazakhstan
0%
10%
40%
50%
0%
Kyrgyzstan
0%
0%
36%
43%
21%
Mongolia
0%
12%
53%
21%
15%
Norway
71%
24%
0%
5%
0%
Poland
8%
62%
8%
15%
8%
Romania
0%
8%
50%
21%
21%
Russia
0%
18%
21%
46%
14%
Serbia
0%
10%
70%
20%
0%
Spain
13%
57%
22%
9%
0%
Sweden
77%
20%
0%
3%
0%
Turkey
8%
58%
32%
3%
0%
Vietnam
0%
15%
46%
23%
15%
Ireland
2012/2013 Survey of Mining Companies
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Table A19: Growing (or lessening) uncertainty 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Canada
USA
1
2
3
Alberta
46%
40%
12%
2%
0%
British Columbia
16%
33%
37%
12%
2%
Manitoba
33%
31%
16%
16%
4%
New Brunswick
48%
48%
5%
0%
0%
Newfoundland & Labrador
35%
51%
12%
2%
0%
Northwest Territories
28%
46%
21%
3%
2%
Nova Scotia
42%
54%
4%
0%
0%
Nunavut
28%
46%
24%
0%
2%
Ontario
27%
38%
23%
11%
2%
Quebec
17%
33%
36%
12%
3%
Saskatchewan
41%
52%
7%
0%
0%
Yukon
40%
45%
14%
1%
0%
Alaska
34%
35%
27%
5%
0%
Arizona
Oceania
19%
53%
24%
3%
2%
9%
28%
29%
26%
8%
Colorado
15%
33%
29%
22%
1%
Idaho
20%
47%
31%
2%
0%
Michigan
5%
70%
20%
5%
0%
Minnesota
21%
39%
25%
14%
0%
Montana
20%
33%
31%
13%
2%
Nevada
32%
49%
17%
2%
0%
6%
58%
22%
14%
0%
Utah
28%
57%
13%
2%
0%
Washington
12%
35%
30%
23%
0%
Wyoming
44%
40%
16%
0%
0%
New South Wales
19%
36%
38%
6%
0%
Northern Territory
25%
48%
25%
2%
0%
Queensland
19%
36%
39%
7%
0%
South Australia
24%
40%
28%
9%
0%
Tasmania
21%
25%
32%
18%
4%
Victoria
15%
35%
45%
5%
0%
Western Australia
32%
40%
25%
4%
0%
0%
11%
39%
41%
9%
Indonesia New Zealand
128
5
California
New Mexico
Australia
4
25%
60%
13%
3%
0%
Papua New Guinea
0%
18%
47%
32%
3%
Philippines
0%
9%
46%
34%
11%
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Table A19: Growing (or lessening) uncertainty 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Africa
Botswana
2
3
4
5
19%
68%
13%
0%
0%
Burkina Faso
0%
38%
48%
14%
0%
Democratic Republic of Congo (DRC)
0%
7%
16%
56%
22%
Egypt
0%
0%
17%
58%
25%
Ghana
7%
44%
42%
4%
2%
Guinea (Conakry)
0%
15%
10%
70%
5%
Madagascar
0%
17%
33%
50%
0%
Mali
0%
10%
33%
50%
8%
18%
27%
9%
46%
0%
Mauritania
Argentina
1
Morocco
21%
36%
36%
7%
0%
Namibia
18%
40%
40%
0%
3%
Niger
0%
20%
40%
20%
20%
South Africa
7%
7%
31%
48%
8%
Tanzania
3%
36%
39%
19%
3%
Zambia
6%
39%
42%
12%
0%
Zimbabwe
0%
7%
14%
35%
45%
Catamarca
10%
30%
30%
20%
10%
Chubut
0%
24%
20%
28%
28%
Jujuy
0%
29%
24%
35%
12%
La Rioja
0%
31%
25%
31%
13%
Mendoza
5%
24%
19%
35%
16%
Neuquen
8%
39%
31%
15%
8%
Rio Negro
6%
38%
19%
19%
19%
Salta
3%
39%
24%
27%
6%
San Juan
5%
35%
25%
30%
5%
Santa Cruz
0%
27%
18%
36%
18%
Table 19 continued next page ...
2012/2013 Survey of Mining Companies
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Table A19: Growing (or lessening) uncertainty 1: Encourages Investment 2: Not a Deterrent to investment 3: Mild Deterrent 4: Strong Deterrent 5: Would not pursue investment due to this factor Response Latin America and the Caribbean Basin
Eurasia
1
2
3
Bolivia
0%
2%
16%
49%
33%
Brazil
11%
52%
32%
5%
0%
5
Chile
28%
53%
18%
1%
1%
Colombia
10%
40%
35%
15%
0%
Ecuador
0%
8%
40%
37%
16%
Dominican Republic
8%
54%
33%
4%
0%
French Guiana
0%
64%
36%
0%
0%
Guatemala
5%
25%
30%
30%
10%
Guyana
0%
52%
41%
7%
0%
Honduras
6%
6%
33%
50%
6%
Mexico
8%
45%
35%
12%
1%
Panama
15%
45%
30%
10%
0%
Peru
7%
30%
53%
9%
1%
Suriname
0%
27%
40%
33%
0%
Venezuela
0%
9%
9%
34%
49%
Bulgaria
0%
50%
50%
0%
0%
China
6%
29%
34%
23%
9%
Finland
52%
33%
12%
2%
0%
Greenland
36%
56%
8%
0%
0%
Greece
0%
27%
27%
46%
0%
India
7%
40%
40%
7%
7%
35%
50%
13%
3%
0%
Kazakhstan
0%
26%
42%
32%
0%
Kyrgyzstan
0%
7%
36%
36%
21%
Mongolia
0%
13%
31%
41%
16%
Norway
45%
45%
5%
5%
0%
Poland
8%
62%
31%
0%
0%
Romania
0%
30%
30%
39%
0%
Russia
4%
23%
39%
23%
12%
Serbia
22%
33%
22%
22%
0%
Spain
23%
36%
14%
23%
5%
Sweden
52%
42%
6%
0%
0%
Turkey
14%
63%
23%
0%
0%
0%
25%
67%
8%
0%
Ireland
Vietnam
130
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Table A20: Number of respondents indicating a jurisdiction has the most/least favorable policies towards mining Jurisdiction* Quebec Nevada Chile Alberta Saskatchewan Ontario Mexico Western Australia Yukon New Brunswick South Australia Botswana British Columbia Newfoundland & Labrador Peru Brazil Northern Territory Alaska Queensland Sweden Finland Manitoba Northwest Territories Arizona Wyoming Nunavut Ghana Greenland Nova Scotia Burkina Faso Zambia Ireland Turkey Utah Tanzania Namibia Colombia Idaho Norway New South Wales Missouri Victoria Mauritania Dominican Republic Guyana Suriname Bulgaria Kazakhstan Serbia Morocco
Most
Least
Diff.
159 132 131 94 68 79 70 71 61 41 36 34 70 37 40 31 32 36 29 28 26 37 29 25 23 19 23 17 14 14 15 12 13 13 10 12 20 10 9 12 3 10 4 3 4 4 1 14 2 3
16 5 4 10 1 14 6 10 2 2 4 2 39 6 9 1 3 10 4 3 2 15 9 7 6 4 9 3 2 4 5 2 3 4 3 6 15 6 5 9 1 8 3 2 3 4 1 14 2 4
143 127 127 84 67 65 64 61 59 39 32 32 31 31 31 30 29 26 25 25 24 22 20 18 17 15 14 14 12 10 10 10 10 9 7 6 5 4 4 3 2 2 1 1 1 0 0 0 0 -1
Jurisdiction* New Mexico Tasmania New Zealand Spain Michigan Madagascar Panama Poland Minnesota French Guiana Honduras Mali Argentina: San Juan Argentina: Salta Romania Montana Papua New Guinea Guatemala Philippines Argentina: Neuquen Argentina: Catamarca Vietnam Guinea (Conakry) Niger Washington Argentina: Rio Negro Argentina: La Rioja Mongolia Colorado Argentina: Jujuy Argentina: Santa Cruz South Africa India Kyrgyzstan Greece China Egypt Argentina: Chubut Russia Argentina: Mendoza Indonesia Ecuador Bolivia Democratic Republic of Congo (DRC) Zimbabwe California Venezuela
Most
Least
Diff.
6 8 11 6 4 1 4 0 5 2 2 8 11 14 5 8 6 1 3 2 4 3 0 3 3 3 2 6 4 2 4 17 3 0 0 9 1 1 6 1 5 2 5 6
8 10 13 9 8 5 8 4 10 9 9 16 19 23 14 19 17 13 16 15 18 17 15 18 19 19 19 23 22 20 22 38 25 22 25 35 31 33 39 37 44 42 76 84
-2 -2 -2 -3 -4 -4 -4 -4 -5 -7 -7 -8 -8 -9 -9 -11 -11 -12 -13 -13 -14 -14 -15 -15 -16 -16 -17 -17 -18 -18 -18 -21 -22 -22 -25 -26 -30 -32 -33 -36 -39 -40 -71 -78
2 1 3
89 92 145
-87 -91 -142
*This list is limited to jurisdictions that were included in the survey.
About the authors Alana Wilson is a Policy Analyst with the Fraser Institute’s Centre for Energy and Natural Resource Studies. She has a M.Sc. in Local Economic Development from the London School of Economics & Political Sciences, and a B.Sc. Agroecology (Honours) in Food and Resource Economics from the University of British Columbia. Her research has focused on the domestic and international impacts of mining, natural resource economics, and economic development; she has worked in Canada and internationally for government, international organizations, and industry. Fred McMahon is a Fraser Institute Resident Fellow and holder of the Dr. Michael A. Walker Research Chair in Economic Freedom. He manages the Economic Freedom of the World Project and coordinates the Economic Freedom Network, an international alliance of 86 independent think tanks around the world. His research focuses on global issues such as development, trade, governance, and economic structure. Mr. McMahon is the author of numerous research articles and several books. He has a MA in Economics from McGill University, Montreal. Miguel Angel Cervantes is a research economist with the Fraser Institute. He has an academic background in Economics; he holds Bachelor’s and Master’s degrees in Economics from the University of Texas at El Paso. He has lectured at Vanier College, and HEC business school in Montreal. He has been the co-ordinator of the Fraser Institute Annual Survey of Mining Companies since the 2008/2009 edition, and the Fraser Institute Global Petroleum Survey since the 2009 edition. He was also a co-author of the Economic Freedom of the Arab World 2010, 2011, and 2012 Annual Reports. Kenneth P. Green is Senior Director, Energy and Natural Resources at The Fraser Institute. He received his doctorate in Environmental Science and Engineering from the University of California, Los Angeles (UCLA), a M.S. in Molecular Genetics from San Diego State University, and a B.S. Biology from UCLA. Dr. Green has studied public policy involving risk, regulation, and the environment for more than 16 years at public policy research institutions across North America. Ken has testified before several state legislatures and regulatory agencies, as well as giving testimony to a variety of committees of the U.S. House and Senate.
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