rated the worst democracy :lol:
Venezuela`s politics of destruction - POLITICAL ECONOMY | Mineweb
Venezuela`s politics of destruction - POLITICAL ECONOMY | Mineweb
The country first grabbed assets in 1976, and is now rated one of the world's worst democracies and worst country in which to invest in mining
South Africa's African National Congress Youth League is apparently continuing its "educational" tour of countries where mines have been nationalised, with Venezuela featuring at this stage. The sad country is also the feature of today's Malema Travel Guides, named after Julius Malema, the apparent president of the ANCYL. He is a very sweet and endearing young capitalist with modest ambitions.
The ANCYL has already returned from "education" in Zimbabwe, a country that despot Robert Mugabe and his gangster elite have trashed in a decade. We then advised Malema and his cronies to visit the central-eastern Democratic Republic of the Congo, and published a focus on cassiterite and tantalum mines that have been "nationalised" by a horrible mix of government military and gangsters, including child miners and boy soldiers.
Then there was a visit to Ghana, which in two decades has completely reversed the wreckage and despair of mines nationalisation, as foreign private sector capital has poured into the country; it's now one of the world's Top Ten gold producers. Then it was back to the Congo, to the far north east, where the fabulous Kilo Moto greenstone gold belts are found. There may be found Kibali, a 50:50 joint venture between AngloGold Ashanti and Randgold Resources, busy privatizing gold mines nationalised in 1964 and then destroyed.
As for Venezuela, the Canada-based Fraser Institute recently ranked the country as stone last in a survey of 72 mining jurisdictions across the world; the bottom ten include the Congo and Zimbabwe, and, very nearly, South Africa. One respondent said that "In Venezuela, if you actually succeed in making progress with a project, Hugo Chavez will simply nationalize it".
The reference is to Hugo Rafael Chávez Frías, president of Venezuela since February 1999, and survivor of a coup d'état in 1992. In a report published on 30 December 2009, the Inter-American Commission on Human Rights (IACHR), which had last been allowed into the country in May 2002, detailed serious concerns, such as erosion of separation of powers, and "chronic problems including power blackouts, soaring crime, and a perceived lack of investment in crucial sectors".
For decades, especially the past one, the country has been floating in oil money, which has protected the strange habits of Chávez and his toadies. Venezuela ranks as fifth largest oil exporting country in the world, with the second-largest reserves of heavy crude oil. Venezuela nationalized its oil industry on 1 January 1976, launching Petróleos de Venezuela SA (PDVSA). Chávez has milked PDVSA; after it revolted in the December 2002 to February 2003 oil strike, he promised "re-nationalization" of PDVSA.