Australia will invest more in African mining projects
At the Africa Downunder conference in Perth on Thursday, Australian political and business leaders expressed similar interests in increasing their country's involvement in the African mining sector.
Foreign Minister Bob Carr urged local companies to invest in Africa's mining sector. Africa, he said in his speech, offered a lot of investment opportunities. He also assured that Australia's own mining sector would not suffer as a consequence.
The Herald Sun reported Minister Carr describing Australia and Africa as "natural partners." The Foreign Minister claimed that the Australian resources boom was "spilling over" to Africa, and pointed out that Australian firms have struck both figurative and literal gold in African.
According to Carr, 40% of Australian overseas mining projects are in Africa. Around 5% of Australian listed companies have invested in the resource-rich continent.
At around the same time, Australia's Commonwealth Business Council is likewise urging Australian miners to invest more money in African mining enterprises. According to The Australian, the CBC has set a target of AUD$10 billion in deals by tbe end of 2012. The CBC also plans to hold investment forums in Zambia, Nigeria and Mozambique over the next three months.
Also present at the same conference was Mr. Ian Kramer, Mining Head of KPMG. Mr. Kramer said that Australian companies ignored Africa at their own peril. He acknowledged the higher risks involved, but he also sought to remind his fellow miners and potential investors that the rewards were more than worth the risks.
Just last week week, Australians were arguing if Australia's mining sector was petering out. Resources Minister Martin Ferguson triggered a furious debate on the matter when he said that Australia's mining boom had come to an end. Other officials have countered Minister Ferguson's controversial statements.
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