Can companies trust governments
John Robertson
PortfolioDirect
Can companies trust governments? The NSW ICAC is scheduled to deliver a report in the next few days into whether former mines minister Ian Macdonald behaved corruptly in granting an exploration license for the Doyles Creek coal deposit in the Hunter Valley. ASX listed company Nucoal Resources subsequently bought the property and, based on the calls made at the ICAC public inquiry, is now at risk of losing it or having to pay big compensation. Taking away rights that have been confirmed on multiple occasions by NSW ministers would be a drastic step. How would any company ever know with certainty that a minister's decision would not be questioned subsequently? Companies will have to start asking for warranties from governments to protect their interests before committing capital to new projects. This is one to watch for its wider commercial implications.
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John Robertson is Chief Investment Strategist for PortfolioDirect a provider of resource sector investment stock ratings and portfolio strategies for mining and oil and gas investors. He has worked as a policy economist, corporate business strategist and investment market professional for over 30 years after starting his career as a Commonwealth Treasury economist in Canberra. Since being Australia's top-rated commodities analyst and chief economist at one of Australia' leading stockbroking firms, he has advised companies across the mining, consumer products, IT and biotech sectors on their equity market relations. He leads the firm's investment evaluation and security structuring activities on behalf of the Australian Small Scale Offerings Board (ASSOB), the world's first equity 'crowdfunding' investment platform. John Robertson discusses the interaction of mining and investment markets in his weekly 'From the Capital' column in Mining Journal.
John Robertson
PortfolioDirect
John Robertson is Chief Investment Strategist for PortfolioDirect a provider of resource sector investment stock ratings and portfolio strategies for mining and oil and gas investors. He has worked as a policy economist, corporate business...
Expertise
No areas of expertise
John Robertson
PortfolioDirect
John Robertson is Chief Investment Strategist for PortfolioDirect a provider of resource sector investment stock ratings and portfolio strategies for mining and oil and gas investors. He has worked as a policy economist, corporate business...
Expertise
No areas of expertise
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