The only people who think Australia has low sovereign risk are pollies and people who have never experienced the continuous delays and frustrations of having to deal with the vagaries of dealing with land access in the course of Exploration.
I know one Junior Exploration Company who floated on ground and took 3 years to get ground clearance, and badly burnt the meager money they earned at IPO.
The continuing tinkering with the taxation system is alarming and very off putting, but will continue.
The multitude and ever increasing environmental compliance regulations make matters worse.
The search is going under cover and in fact has been doing this, with a very significant lack of exploration success, with a few notable exceptions like Tropicana.
A lot of the very experienced and capable explorers are chasing the lower hanging fruit in far off shores, so this is in effect a brain drain.
The total risk has increased very significantly, and the risks are not going away.
AMX Price at posting:
46.0¢ Sentiment: Buy Disclosure: Held
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