The potential of the mineral deposits in Latin America

May 28, 2014 of Robin Bromby

On the "Latin America Down Under Conference” Sydney meet at the time of Latin American representative of Financing houses and geological institutes, as well as senior politicians from Mexico, Peru, Colombia, Venezuela, Bolivia and Nicaragua, the interest to increase in Australian companies. The visitors list reads like a Who's Who of Latin American Mining Sector.

South of the Rio Grande dominate traditional American and Canadian companies. The changes: a large number of Australian companies is already working there and also the Chinese are in the starting blocks.

Maybe it's time to remember, importance of the region is not only for the mining industry in general, but consists of various goods in which great interest: Time, Rare earth and now tin from Brazil, Uranium from Argentina (important for the development of the nuclear industry), Tin from Peru and platinum from Colombia.

Columbia was the only major platinum source of the West as the Revolution of 1917 beat Russian exports from the field. During the Second World War, Latin America became an important cog in the Allied. Washington was to use his money and political power in the situation, from to 1939 to crush Japanese and German interests and to secure a monopoly on mineral exports from South America.

Many of the countries are rich in gold and silver and how an Australian company revealed this week, there are still great finds. Beadell Ressources — ASX:BDR-reported by a reference in Brazil 19 Meters at 62,8 g/t Gold, including a 7 Meter long section with 162,8 g/t; this is the kind of result, before 150 Years would have led to a gold rush. Remember, that the four largest mining companies in North America, together with AngloGold Ashanti, have reserves with an average grade of 1,1 g/t.

Produces Latin America 45% of the world's copper, 50% of silver, 26% molybdenum, 21% zinc, and 20% of world gold production. According to the Sydney-based Latin American consultant Jose Blanco was Latin America in 2013 the leading region for mineral investment and pulled 27% of global spending in 2013 an.

However, there are problems. Peru calls for greater social responsibility of mining companies, intending to operate in the country. Bolivia has to overcome the erratic policies of recent years (as well as Ecuador). Guatemala was a disappointment and parts of Colombia are still only enter at your own risk.

But things are getting better and the politicians are increasingly aware, that they should offer as attractive targets. Therefore, Nicaragua is here in Sydney delegates present and even talk about Cuba.

“Explore the mining opportunities”, was the message of Nicaraguans at the conference of Latin American Mining. They tried their abundant natural resources and their pro-business government (great change from the Sandinista years), the solid legal framework and generous tax incentives along with qualified, available labor and “high personal safety” heruaszustellen. The Central American country exported gold worth $ 436 Million last year. The delegation stated, that is less than 10% the country are explored.

And did you know, that Cuba is supposedly friendly to mountain farmers? Two months ago, Cuba's National Assembly has halved the income tax (on 15%), although other tax benefits are available only for joint ventures with Cuban state companies. However, there is considerable skepticism, whether the spirit of the new directives is actually realized and has reason to suspect, that this is not the case.

But Cuba is important for a metal: Nickel, with large resources of nickel laterite. That should be observed, so, as the entire region.

 

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