Dec 18, 2013

EU seeks to invest in Myanmar's mining industry

EU countries are planning to sign an agreement with the Ministry of Mines to begging investing in Myanmar's mining industry.

"If EU countries are working in Myanmar’s mining industry, it will be beneficial for Myanmar because they [EU countries] have higher technology than the Chinese who are exploring in Myanmar now," said Mining Department Director Win Htein.

Myanmar has found minerals in more than 200 townships, according to the vice president of the Myanmar Federation of Mining Association. Among them, only seven kinds of minerals are profitable. Other 18 kinds of rare minerals such as gold, uranium and platinum are limited to explore.

At present, Myanmar is amending laws to improve the mining sector and the Mining Bill has been currently been submitted to parliament. If the parliament enacts the bill, it can create better prospects for the foreign investment, Deputy Minister for Mining Than Tun Aung said.

Australian analysts William Sullivan and Peter Church Oam said that there are people who need to depend on permits, recommendation letters, and licenses to explore for potential mining opportunities.

There is no guarantee as of yet to exploration and some legislators do not point out the laws for mega mining projects with a long time plan.

Mining sector is the fourth largest foreign investment with value of more than US$ 2.8 billion. Investment to Myanmar is mostly in energy, oil, and natural gas and production.

Source: Eleven Weekly Media