For Some this is a big issue but for me not so much. Even though stability corruption is factored in to SP I think this is more the offset by the price of the Gas.
If you look to stability and transparent Government the US is a prime example where many Aus Oilers ply there trade. The big difference for me is gas is a third of the price.
While we look at the Ukraine it is by far not the worst place to do business, RRS in Puntland where the Pirates operate.
Even to the Congo where Sundance operate a 1.2 bil dollar company operating where there are no elections a dictator and human atrocities are the norm, where if you disagree you disappear.
Say what you like about the Ukraine but at least they hold elections and are serious about doing something about it.
March 16, 2011
Ukraine Tightens Its Grip on Corruption
Kyiv, March 16, 2011. Ukrainian parliament has adopted in the second reading the anticorruption draft law. The draft, submitted by the President of Ukraine Victor Yanukovych last December stipulates a wider range of state officials, who may be held liable for corruption. The law-to-be was prepared in accordance with a number of international provisions and expertise.
I the biggest think for anybody investing in any company with assets overseas should look to see if they have locals who have held poistions in that country. To help the ASX listed entity be guided through the quicksand one can find themselves in when negioating.
But for me on the Ukraine I actualy see them starting to clean up there act, It is a long process but once started with the popuation behind it its hard to stop. These countries are starved of foriegn investment and the only way to get it is to clean up.
HOG may be in on the bottom floor of an avalanche of asset grapping by foriegn entities.
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