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Northern mining risks

August 19, 2013

Accounting firm Ernst and Young Global Limited has published a list of the top ten business risks in mining and metals 2013-2014 for companies worldwide. The list and accompanying explanations are thoughtful and accurate. There are a few suggested differences for the territory ‘north of 56’.

The top ten global risks according to Ernst and Young are :


The northern 1/3 of North America is different than the ‘rest of the globe’, so a recast of the E&Y list is offered, with a few words of explanation by your humble scribe. The ones removed: #3 Resource nationalism is not really a factor in the north. The Province of Quebec has taken moves to re-jig their royalty rates, but for the most part companies do not worry about arbitrary government actions.  #6.Price and currency volatility. The currency volatility does not really affect northern operations, but commodity prices do. #10. Threat of substitution. This is not really a factor in the north. The only area that mines coal is in Alaska.