News

May 27, 2008

Zambezi Resources Stacks Up The Assets In Anticipation Of Continued Chinese Demand For Metals And For Mines

By Alastair Ford

One thing about flying around the world a lot promoting and running a mining company is that you get plenty of time to read the business press during those long flights and tedious transfers. Julian Ford gets straight to the point as he sits down for coffee and begins a long-awaited update on Zambezi Resources: the big picture remains very favourable for mining. He’s recently read a report in one of the quality weeklies that laid out an interesting case about the state of affairs in China. It said simply, that economically, if not politically, the central government has now lost control of the regions.

This has several implications for the world’s miners, large and small. The first and most obvious is that what purports to be the last great centrally-planned economy in the world, is rapidly de-centralising, whether Hu Jintao likes it or not. For the long-term development of capitalism in the country, this bodes well, even if it throws up certain complications about regulation. In addition it rather puts the lie to those who’ve been arguing that the Chinese are keeping their own best assets...