Review of 1988 international mining activities

The year 1988 for the minerals indus¬try was one of favorable worldwide economic conditions for continued, rationally constrained growth. There was continued improvement in relations between market economy nations and the Soviet Union and China. The "shooting war" between Iran and Iraq ended. Soviet troops withdrew from Afghanistan. And conditions were generally favorable for economic growth in developed market economy countries. These favorable conditions were darkened only somewhat by the continuing foreign debt crises discernible in some major mineral producing developing market economy countries. However, there were situations developing that became major headlines in the late spring - situations that may have pronounced effects in 1989. The most significant event is the muddled situation in China. There is a good chance of worsening international relations and consequent restraint of development projects that could prove beneficial to China and her international partners. Of only slightly lesser evident significance was the death of Ruhollah Khomeini in Iran. This could lead to a variety of paths for the new Iranian leaders. Continued outbreaks of ethnic unrest in the Soviet Union clearly presented problems to the Gorbachev regime. This unrest has raised questions of how far the doctrines of "glasnost" and "peristroika" would be extended, including extensions into the minerals field. Another area of unrest is Panama with its tainted election and the Western Hemisphere's obvious dissatisfaction with the Noreiga regime. While not a direct threat to any major mineral industry enterprise, the political situation certainly presents a potential threat to the Panama Canal. That threat would have considerable impact on world