Mining industry applauds the Canadian government for new trade agreements in Africa

Mining industry applauds the Canadian government for new trade agreements in 
Africa 
FIPAs will help protect and promote Canadian mining investment in Tanzania and 
Guinea 
OTTAWA, Dec. 9, 2013 /CNW/ - The Mining Association of Canada (MAC) commends 
the federal government on the signing of two new Foreign Investment Promotion 
and Protection Agreements (FIPAs) with Tanzania and Guinea. The FIPA with 
Tanzania came into force earlier today, while the negotiations with Guinea 
concluded on December 5, 2013. 
"Given the global nature of our sector, the Canadian mining industry is highly 
supportive of the formation of new investment agreements," said MAC's 
President and CEO, Pierre Gratton. "The recently announced FIPAs with Tanzania 
and Guinea are strategic, and help ensure that Canadian mining investment is 
supported and protected in these important emerging markets where great 
opportunities for responsible mining growth exist." 
Africa is a significant destination for mining capturing 16 per cent of global 
exploration investment in 2012, according to SNL Metals Economics Group. In 
the same year, the TSX and TSX-Venture exchanges accounted for $1.7 billion in 
equity capital raised for African mining projects in 28 countries on the 
continent. 
"FIPAs between the Canadian government and host jurisdictions are an important 
part of managing political risk and assuring investors that there are dispute 
resolution mechanisms available if needed," said Kelvin Dushnisky, MAC board 
director and Chairman of African Barrick Gold plc. "The government's efforts 
to prioritize FIPAs as part of Canada's trade promotion strategy will 
encourage investment and help to create stronger trading relationships." 
According to Natural Resources Canada, there were 16 Canadian mining companies 
active in Tanzania in 2011 with cumulative mining assets amounting to $2.3 
billion. According to the Department of Foreign Affairs, Trade and 
Development, in 2012, Canadian mining assets in Guinea were valued at more 
than $83.9 million. 
Gratton notes that Canada's mining industry is responsible for nine per cent 
of Canadian Direct Investment Abroad (CDIA). Mining CDIA contributes 
directly to job creation, Canada's mining services sector - one of the largest 
in the world - and to Canada's global leadership in mining. Mining investment 
also benefits host countries. According to a 2013 World Gold Council report, 
high levels of companies' international investments remain in recipient 
countries. The report surveyed almost 100 gold mines around the world and 
found that out of $55.6 billion in total expenditures at least $44.7 billion 
(or 80%) was paid out in the country where the operation was situated. 
Foreign investment protection mechanisms under FIPAs, including access to 
international arbitration, are relevant in the event of investment disputes. 
They also provide companies that are making long-term investments with an 
added layer of confidence. For these and other benefits accompanying freer 
trade, MAC encourages the federal government to continue with its active trade 
agenda, through negotiating and, where possible, finalizing other FIPAs, free 
trade agreements, and double taxation agreements. 
About MAC
The Mining Association of Canada is the national organization for the Canadian 
mining industry. Its members account for most of Canada's production of base 
and precious metals, uranium, diamonds, metallurgical coal, mined oil sands 
and industrial minerals and are actively engaged in mineral exploration, 
mining, smelting, refining and semi-fabrication. Please visit www.mining.ca.
 

SOURCE  Mining Association of Canada (MAC) 
Jessica Draker (613) 233-9392 x225 orjdraker@mining.ca 
Johanne Senécal (613) 233-9392 x325 orjsenecal@mining.ca 
To view this news release in HTML formatting, please use the following URL: 
http://www.newswire.ca/en/releases/archive/December2013/09/c9017.html 
CO: Mining Association of Canada (MAC)
ST: Ontario
NI: MNG ECO  
-0- Dec/09/2013 18:34 GMT
 
 
Press spacebar to pause and continue. Press esc to stop.