Last updated 14 April 1997

Legal and Social Aspects of Mineral Resource Development

In its on-going efforts to assist Member Governments in attracting foreign direct investment in the mineral sector, the Mineral Resources Section has been of assistance in the preparation of draft mining laws as well as mining regulations, in a number of developing countries of Asia and the Pacific. Notable examples are Buthan, the People's Republic of China and Viet Nam.

As part of these efforts, and when the need arises, Round Table Meetings are held to enable the Government concerned to discuss early draft mining codes with representatives of potential foreign private investors, with ESCAP fulfilling the role of honest broker.

In response to often dramatic events in the region, which have led to the collapse of major mining ventures, the Mineral Resources Section is studying the impact of mineral resources development on local populations. Based on these observations, MRS will make every effort to ensure that the interests of host communities as legal stakeholders will be reflected in draft mining legislation and thence, in future mineral development agreements between central governments and private investors.

The Regional Adviser on Mineral Policy and Mineral Economics serves ESCAP Members in the review of legal and fiscal regimes and in institutional strengthening of government agencies with the main objective of enhancing foreign direct investment (FDI). In this regard, ESCAP member countries that are endowed with economically exploitable deposits could initiate formulation of national policy so as to create an environment conducive for investment in mineral exploration and mining by both junior and major foreign companies. Member countries which are now striving to develop their mineral industry on a collaborative basis, based on their comparative advantages of geological prospectivity and proximity to Newly Industrializing Countries, may also take advantage of such advisory services.