Mining Companies Start to Trust Eritrea – (Interview)“Eritrean government always thinks for longer term” – Caesars Report Editor Thibaut Lepouttre, an expert and editor of Caesars Report, a newsletter and mining portal based in Belgium that covers several junior mining companies with a special focus on precious metals and base metals, hold an exclusive interview with The Gold Report magazine yesterday about the importance of country risks for mining investments. Here is what he has to say when it comes to investment risks in Eritrea: TGR: Can a mining or exploration project with high grades and an experienced management team trump significant jurisdiction risk? TL: Yes and no. There are countries where you can pull it off, and there are countries where you definitely cannot. An example of where you can is in Eritrea. There the government gets a 10% statutory ownership in a mining project and can acquire 30% more based on the net present value (NPV). Compare that to Mongolia home to the Oyu Tolgoi deposit, one of the richest copper-gold deposits in the world. A few larger companies still have severe difficulties with the Mongolian government. TGR: Would you invest in Eritrea before Mongolia? TL: I have been a shareholder of a company in Eritrea for three years and have never encountered any problems. The government of Eritrea is holding up its part of the deal TGR: Do you attribute that almost entirely to the big stake that the government has in the project there? TL: I would attribute it more to the intelligence of the government. In the Democratic Republic of the Congo, the government takes a 40% ownership, but it does not realize that if you nationalize part of it, you actually diminish and reduce your image in the world in the longer term. A lot of people have started to trust Eritrea because it thinks longer term. Source - https://www.tesfanews.net/mining-companies-start-to-trust-eritrea/