• 3 minutes China has *Already* Lost the Trade War. Meantime, the U.S. Might Sanction China’s Largest Oil Company
  • 7 minutes Saudi and UAE pressure to get US support for Oil quotas is reportedly on..
  • 11 minutes China devalues currency to lower prices to address new tariffs. But doesn't help. Here is why. . . .
  • 15 minutes What is your current outlook as a day trader for WTI
  • 4 hours Domino Effect: Rashida Tlaib Rejects Israel's Offer For 'Humanitarian' Visit To West Bank
  • 36 mins In The Bright Of New Administration Rules: Immigrants as Economic Contributors
  • 16 hours Trump vs. Xi Trade Battle, Running Commentary from Conservative Tree House
  • 3 hours Gretta Thunbergs zero carbon voyage carbon foot print of carbon fibre manufacture
  • 4 hours Continental Resource's Hamm (Trump Buddy) wants shale to cut production.Can't compete with peers. Stock will drop in half again.
  • 16 hours US Petroleum Demand Strongest Since 2007
  • 15 hours Movie Script: Epstein Guards Suspected Of Falsifying Logs
  • 1 min Will Uncle Sam Step Up and Cut Production
  • 1 day NATGAS, LNG, Technology, benefits etc , cleaner global energy fuel
  • 2 days Why Oil is Falling (including conspiracy theories and other fun stuff)
  • 2 days Significant: Boeing Delays Delivery Of Ultra-Long-Range Version Of 777X
  • 52 days To be(lieve) or Not To be(lieve): U.S. Treasury Secretary Says U.S.-China Trade Deal Is 90% Done
  • 4 hours Strait Of Hormuz As a Breakpoint: Germany Not Taking Part In U.S. Naval Mission
Alt Text

How To Play A Recovery In Oil Prices?

A realistic correction in the…

Alt Text

This Supermajor Is Leading The Energy Sector

This supermajor has been standing…

Alt Text

What The Market Is Overlooking In The Occidental Deal

Occidental Petroleum has caught a…

Dave Forest

Dave Forest

Dave is Managing Geologist of the Pierce Points Daily E-Letter.

More Info

Premium Content

Newest Mining Code In This Country Could Harm Future Investments

When a nation develops a new mining code, it’s usually a good thing — today, new and more progressive regimes are in the works in several parts of Africa, like Nigeria, which could spur exploration and development.

But one part of that continent looks like it will be first in releasing a new code. And the news may not be all good. Related: Mercedes Is Proposing A Novel Solution To Meet Energy Storage Demand

That’s the eastern African island of Madagascar. Which said this week that it is weeks away from unveiling new mining rules to the industry and investment communities.

As reported by Reuters, Madagascar’s president Hery Rajaonarimampianina (yes, his real name) said that the mining code will be passed by the government “this year or at least at the beginning of next year”.

Rajaonarimampianina said the country is currently debating the “finer points” of the code — but his comments suggest we could see the framework released within the next several weeks. Related: Natural Gas Companies Slammed By Low Prices

So the question is: what will the new rules say?

The president gave little indication on the changes that might be coming. Simply saying that the new code “will be an improvement across all aspects” of the existing one.

That claim looks somewhat dubious however. Given reports this past September that suggested the government may move to take a 10% carried interest in existing mining projects — and raise royalties in the industry. Related: Will Iran Double Down On Downstream When Sanctions Are Lifted?

Those concerns make the upcoming announcement of the new code a key development for projects like the Ambatovy nickel mine operated by Sherritt, Sumitomo, and Korea Resources Corp. As well as Rio Tinto’s Port Dauphin titanium mine in the south of the country.

The new regulations will also be critical for the future of Madagascar’s exploration industry. The country has great potential — and next to no modern work carried out. But anti-mining rules could kill any activity here, especially given the currently-depressed state of global mining investment.

Watch the next few weeks for an announcement of final terms, to see if the country is headed for opportunity or oblivion.

Here’s to making the right choice

By Dave Forest

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play