RE:RE:RE:RE:RE:RE:RE:RE:Congo ruling coalition wins legislative majority,Tops,
I believe you. Kamoa First. However, the objectives of Chinese State miners may not align with IVN shareholders who seek to maximize profits. State miners like profits as much as anyone, yet by definition, needs of resource by the State, take priority over profit. Of course, that doesn’t mean they can’t arrive at an understanding on a case by case basis. The government is on the record that they can.
Adding up the new mining law, (35% corporate tax + 10% free carried interest + 10% revenue based royalty if copper declared a strategic metal), squeezes every last drop from the profit lemon. They’re too greedy by far from the viewpoint of bottom line profits, I have no doubt in one month, DRC will end up in the basement of the Fraser Institute list. That list is compiled by top mining CEOs, not a bunch of ivory tower academics. By the way, Tops, I’m not on the outside looking in. I never exited my position.
Nothing lasts forever. I see this government as highly unstable. Although they’re armed, it’s nothing that a determined force of insurgents couldn’t overrun. I believe it will prove impossible to maintain the status quo for long.