London Mining Network has long called for stricter oversight of mining companies listed in London: see our report and recommendations at http://londonminingnetwork.org/docs/lmn-the-case-for-stricter-oversight.pdf.
Rethink London listing rules after ENRC: top investor
The Government and regulators must urgently re-draw the UK’s listing rules to stop foreign firms with lapsed controls from being presented as premium stocks, a leading shareholder has warned, as fresh details emerged of the crisis at miner ENRC. George Dallas, head of corporate governance at F&C Management, said too many companies listed as “premium” stocks in the FTSE 100 index “don’t appear to match the label.” In the wake of recent stockmarket scandals such as Eurasian Natural Resources Corporation (ENRC) and Bumi, the rules need to be tightened and updated, he said.
See http://www.telegraph.co.uk/finance/newsbysector/industry/mining/10023823/Rethink-listing-rules-after-ENRC-top-investor.html.
Listing badly – Kazakh and Indonesian miners battle shareholders in London
EMPIRE-BUILDERS of old claimed they were spreading Britain’s civilising influence. Similar explanations were offered when the London Stock Exchange (LSE) started welcoming mining firms from emerging economies. Listing in London would spur them to adopt British corporate-governance standards, investors were told. The firms would find it easier to raise the vast amounts of capital needed to develop big mines. And punters would be able to bet on a booming industry without worrying about the weaker protections for investors in the wilder parts of the world. Alas, it didn’t work that way, as the latest upheavals at two London-listed firms show.
See http://www.economist.com/news/business/21576705-kazakh-and-indonesian-miners-battle-shareholders-london-listing-badly.