legislation and political factors in …...may 18, 2016 brazilian mining: industry slowdown and...

20
Frederico Barbosa, Business News Americas Presentation for VII SIMEXMIN May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL EXPLORATION

Upload: others

Post on 06-Jul-2020

0 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Frederico Barbosa, Business News Americas Presentation for VII SIMEXMIN May 18, 2016

Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential

LEGISLATION AND POLITICAL FACTORS IN MINERAL EXPLORATION

Page 2: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Contribution of mineral extraction to Brazilian GDP

Source: BNamericas Data

BNamericas Mining

Page 3: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL
Page 4: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

External Factors

Metal Prices

Economic Uncertainty

Capital Availability

Page 5: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Source: BNamericas Data

Iron Ore Prices: Monthly Average

Page 6: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Source: BNamericas 2016 Mining Survey

Outlook for Iron Ore Prices

Page 7: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Metals Price Forecasts

Source: BNamericas Data

BNamericas Average

Page 8: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Source: BNamericas 2016 Mining Survey

Financing for Mining Projects

Page 9: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Internal Factors

Nation in Crisis

Long Mining Code Reform Process

Page 10: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Presidential Changes

Page 11: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

New Mining Minister

Fernando Coelho Filho

Page 12: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Source: BNamericas 2016 Mining Survey

Political Risk

Page 13: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Source: BNamericas 2016 Mining Survey

Investment Climate

Page 14: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Source: Ibram

Mining Investment

Page 15: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Source: Ibram

Production Value

Page 16: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Still hope? Of Course.

Page 17: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Brazil’s Share of Global Reserves

Source: US Geological Survey

Mineral Reserves

Page 18: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

What needs to happen?

Political Stability

Mining Code

Economic Recovery

Metal Prices

Page 19: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Intelligence Series

Page 20: LEGISLATION AND POLITICAL FACTORS IN …...May 18, 2016 Brazilian Mining: Industry Slowdown and Political Gridlock Belie True Potential LEGISLATION AND POLITICAL FACTORS IN MINERAL

Frederico Barbosa www.BNamericas.com

[email protected] Los Militares 6191, Las Condes, Santiago, Chile

+55 11 3360-1229 Presentation for VII SIMEXMIN