Several weeks ago I suggested that the rush to Africa and other developing countries (Peru) etc could be hazardous for gold explorers and producers in my post titled “Out of the (African) Fat and into the Fire?“.

Today’s Reuters article that outlines the emerging risks in Ghana Africa’s second largest gold producer: “Ghana is in talks with gold miners in the country, Africa’s second-biggest producer, over additional taxes so as to benefit from the soaring price of the precious metal, the government said on Tuesday.” suggests to me that there is still plenty to worry about when it comes to who owns what and the stability of those companies that have shifted to the sovereign risk heavy countries. True countries like Burkina Faso etc have some excellent resources with high grades. But time will tell if they are going to end up taking a disproportionate stake or even worse like Bougainvillea.

In the meantime some ASX listed companies are making some excellent finds in our relatively safe Australian region and after factoring in the above seem to make more sense.