Government role in financing strategic minerals

Conference · Fri Jan 01 04:00:00 EST 1982 · Mater. Soc.; (United States)

OSTI ID:6756155

Krueger, P K

The Government is mainly concerned about the availability of resources, and raw materials in particular, as they affect the country. In some cases it may make sense for the Government to in effect buy insurance by providing marginal assistance or additional incentives to help ensure the availability of these materials. Looking at the Government's role in finance in the future one also really ought to look at what things the Government can do and what Government actions affect in terms of providing a favorable climate for mining investment. Mining ventures are very, very capital intensive.Statistics highlight how much capital is needed to bring on a major project. Certainly, within the U.S., high interest rates affect the availability of capital and how to finance these projects. If one is financing projects at 17 or 20 percent, and the Government is paying 15 percent on risk-free long-term Government securities, a person has to be able to foresee a very significant return on his money when taking into account the risky nature of the mining business.

• Research Organization: Federal Emergency Management Agency, Washington, DC
• OSTI ID: 6756155
• Conference Information: Journal Name: Mater. Soc.; (United States) Journal Volume: 6:1
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
290200* -- Energy Planning & Policy-- Economics & Sociology
AVAILABILITY
CAPITAL
ECONOMIC POLICY
FINANCIAL INCENTIVES
FINANCING
GOVERNMENT POLICIES
INDUSTRY
INSURANCE
MEETINGS
MINERAL INDUSTRY
MINERAL RESOURCES
REGULATIONS
RESOURCES
STOCKPILES