Nicaragua: Incentives for Mining

A bill proposes the creation of a public mining company, which would be able to participate in concessions and form associations with other public or private companies.

Monday, June 13, 2016 reports that "...Some of the functions that this law would have is to carry out feasibility analysis to set up mineral processing establishments in areas with mining potential, within concession areas; and market products derived from the exploitation of mineral resources. "

According to a document sent to the National Assembly, ENIMINAS would be a decentralized public company, under the guidance of the Ministry of Energy and Mines (MEM), with technical, administrative and financial autonomy with a commercial twist, and a domain of the State.

Among the activities that the company ENIMINAS would develop are the following:

- In order to contribute to the organization of small scale mining, to the eradication of mercury in artisanal processing and in order to promote the use of good environmental practices this company would be able to set up mineral processing plants in non-concessioned areas, mining reserve areas, or within the free areas declared fit for development of small mining or artisanal mining by the MEM.
The capacity of the mining processing plants would depend on the volume to be processed according to the relevant technical studies.

- Form partnerships, create mixed economy companies, form associations, temporary unions, strategic alliances and generally any act or contract permitted by national laws in order to fulfill its purpose and achieve national goals, by natural or legal persons, national or foreign, public or private.

- Promote partnerships, cooperatives and other forms of association for mining production.

See project "Law Creating the Nicaraguan Company of Mines". (In Spanish)

More on this topic

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The bill contemplates creating a National System for the Distribution of Mining State Income, which would use the funds generated to finance sustainable development projects in the country.

From a statement issued by the Ministry of Energy and Mines:

Nicaragua and the New Mining Law

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The Assembly is preparing to approve a bill that creates the Nicaraguan Mining Company (Empresa Nicaragüense de Minas), which will be able to participate in exploration and exploitation activities carried out by companies who have received concessions.

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A New Mining Company in El Salvador

September 2016

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Mining Bill to Void 25 Exploration Applications

November 2011

Should the draft legislation under discussion in the Assembly of Panama be approved, 25 applications for mining exploration in the Ngäbe Bugle region would be made void.

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