Gold mining in Africa
Golden Star (AMEX:GSS), Newmont Mining(NYSE:NEM) and AngloGold Ashanti (NYSE:AU) have learned doing business in Africa is an unpredictable endeavor, fraught with uncertainty.
Not only is doing business hard, but the fallout from alleged abuses and disagreements with the governments in the region, which in many cases are corrupt, make it risky at best, as it can give a company a bad name globally, whether or not assertions are true or not.
It's impossible to reveal how many disruptions are happening, and in some cases it could be the fault of the companies, but the problem is there is so much going on in Africa, separating truth from fiction is impossible.
This isn't a business for the fainthearted, and the uncertainties in Africa make it worthwhile checking the percentage of overall business these gold mining companies are doing in Africa, as it will definitely affect their bottom line.
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