Study On The Philippine Mineral Investment Environment

Metallic mineral resources are non-renewable resources. China is facing the problem of shortage of per capita reserves of metallic mineral resources such as nickel, copper and others, and to expand the international market. The Philippines has the advantage of geographical and resources and some developed countries have already invested in the Philippine mineral products. China should develop the field of the Philippines mining investment to solve the demand shortage of domestic nickel, copper and other resources.This study first analyzed current situation of nickel and copper in the Philippines, in the world and in China. Through the selected of the five major investment environment data, which are 20 factors indices from the year of 2003 to 2012, in order to establish its mineral investment environmental evaluation index system by principal component analysis method. The study had some conclusions as following.The mineral investment environment in the Philippines is good from the year of 2007 by vertical analysis(i.e. in time axis). The results of principal component analysis are three main factors, which are economy environment, natural and social cultural environment, and infrastructure and mineral resource environment. Chinese government enterprises and other investors should strengthen the communication with the local Chinese people and business in the Philippines, avoid the resource nationalism issue, encourage more private Chinese enterprises to invest in the Philippines, establish effective risk avoidance measures and emergency plan and expand investment projects in other different fields.