Australia's Dragon Mining (ASX:DRA) announced the discovery of a promising new area of gold deposits in Kuusamo, Finland, only hours after the country was announced as the top destination for mining and oil investment by RESOURCESTOCKS magazine.
With a score of 14.63 in the magazine’s 2012 World Risk Survey, Finland had the lowest and therefore best risk rating out of 73 countries. It was the third time in five years the Nordic country had recorded the most favourable score, having also won it last year and 2008.
The discovery was made through magnetic studies and drilling over the summer. The company plans to continue to expand its ore studies in the region and open a gold mine in the town of Juomasuo, just 37 km north of Kuusamo.
Finland beat Sweden, Canada, the United States, Chile, Norway, Australia, the United Kingdom, New Zealand and Brazil, which rounded out the top 10.
Respondents were asked to rank jurisdictions according to the perceived risk in the following criteria: financial risk, sovereign risk, land access, green tape, land claims, red tape, social risk, infrastructure, civil unrest, natural disasters and labour relations.
RESOURCESTOCKS editor Anthony Barich said Finland shows sustained strength with its mature mining industry and co-operation between its Scandinavian neighbours in regards to their service sectors.
However, he added that the country’s win was tempered by the more precarious economic position it finds itself in this year, and the fact that the Nordic country is grappling with the implementation of a new mining Act that received mixed response from industry.
The biggest surprise was Mexico, which jumped up from the 28th place in 2011 to 12th this year. “This is highly impressive given 2012 is an election year and economic growth has been ‘fairly unimpressive,’ while ongoing security issues linked to drug wars will continue to weigh on the country’s prospects,” said Barich.
The detailed survey results will be published in the October edition of the publication.
Finland holds significant copper, silver, iron ore, nickel and zinc reserves.
According to a government report, Finnish authorities processed more than 500 mining claims and 60 mining permits in September last year.
Go here for Dragon Mining’s full results.