The government of Laos is pushing to attract more Australian mining investment, with a visit to Australia by the country's Investment and Planning Minister.

But Linda Mottram reports that obstacles could include a issues of regulation in the communist state and the present financial market downturn.

The Minister, Dr Sinlavong Khoutphaythoune, is in Canberra for talks with Australian Trade Minister Simon Crean.

The government of the Lao People's Democratic Republic has long been anxious to attract more mining investment.

It is working to end a two-year moratorium on mining concessions, as well as put a new regulatory framework in place.

In the past, analysts have said that while Laos declares it welcomes foreign investment, its to be on their terms, with opaque regulations and a poorly resourced bureaucracy among the problems.

One high-profile Australian company, OZminerals, formerly Oxiana, mines copper and gold in Laos.

It has put its planned 2009 expansion on hold as it suffers from lower commodity prices.