The decision taken by the Guatemalan Constitutional Court confirming the suspension of La Puya mining project "violates the certainty and security of investments made in the country."
From a statement issued by the Chamber of Commerce in Guatemala:
Its branches and guilds throughout the country; state:
The Canadian mining company GoldCorp has agreed to sell 100% of its stake in the gold and silver mining project Cerro Blanco located in Asuncion Mita, Jutiapa, to Bluestone Resources.
From a press release by Goldcorp:
VANCOUVER, Jan. 11, 2017 /CNW/ - GOLDCORP INC. (TSX: G, NYSE: GG) today announced that the Company has entered into an agreement (the "Agreement") pursuant to which it has agreed to sell its 100% interest in the Cerro Blanco gold-silver project, located in Guatemala, to Bluestone Resources Inc. (TSXV: BSR) ("Bluestone").
From November 23 to 25 Latin American mining companies will be meeting in Panama City to explore business opportunities for the mining industry in Central America.
The Mining Chamber of Panama is organizing, in conjunction with the Latin American Mining Organization (Olami) a Second International Mining Congress, which will focus on challenges and opportunities for mining activities in Central America.
The decline in production and lower international prices explain the 20% drop in sales abroad in the first half of the year compared to the same period in 2015.
The results from the first half of the year come at a time when the suspension of several mining licenses has started to cause uncertainty among companies and concessionaires in the sector. See: "Another Two Mines Suspended in Guatemala" and "Mining Moratorium Proposed".
The Supreme Court has rescinded in a "definitive" manner the permit for operating the mine La Puya, which had been awarded to the company Progreso VII Derivadas.
Putting a legal end to the controversy which arose three months ago, the Supreme Court decided to suspend the permit permanently, after differences of opinion arose between the Ministry of Energy and Mines and the Court over legal criteria.
The Mining Exploitation Project Niquegua Montufar II, run by Compañía Guatemalteca de Níquel, and the one called Tajmulco II, by Montana Exploradora de Guatemala, have been suspended by the government.
A statement issued by the Ministry of Energy and Mines indicates that "...Adhering to the appeal granted by the First Chamber of the Court of Appeals of the Civil and Commercial Branch constituted in the Court of Appeal, the Ministry of Energy and Mines (MEM), notified Compañía Guatemalteca de Níquel (CGN), of the suspension of its authorization license for operating the mining exploitation project Niquegua Montufar II. "
On August 16 and 17 industry representatives from around the globe will be taking part in business conferences and lectures on the role of mineral resources and the impact of the activity on the economy.
The II International Mining Congress is being organized by the Mining Chamber of Nicaragua and will be held on August 16 and 17 in Managua.
The conference will include business conferences, panels and lectures on the economic and social impact of mining on communities; the role of metallic and non-metallic mineral resources in developing countries and environmental challenges in modern mining.
The Supreme Court has ruled in favor of an injunction against the operation in Progresso VII, Derivada, but the legal criteria of the Ministry of Energy and Mines is that the project can continue to operate.
The Supreme Court of Guatemala had granted a provisional injunction against the environmental organization (Legal, Social and Environmental Action Center (Calas) in order to suspend the license for the mining project Progreso VII, Derivada, located in San Pedro Ayampuc and San José del Golfo.
The controversial taxes on the distribution of cement and mining royalties fell from $0.65 to $0.19 and from 10% to 1%, respectively.
With the publication of the new values in the official newspaper La Gaceta, an end has been put to the doubts that arose in companies over the fact that it was not clear what were the correct amounts for each tax, after the Constitutional Court declared that the mechanism by which initially the new taxes were set was unconstitutional.
In the nineties a village in Costa Rica was populated by dreams of a promising future driven by the exploitation of a gold mine. Today there are only 27 inhabitants, left without hope.
EDITORIAL
An article on Nacion.com reports on the ups and downs of the gold mine project in Crucitas, in Costa Rica, which eventually fell through because environmental forces prevailed over sustainable development, leaving a long series of damages to the country in terms of confidence in the security of investments, tax losses, and mainly in the hopes of human beings who believed in and supported the mine being a catalyst for progress in the area. As usually happens, the only winners were the lawyers who litigated and continue litigating for both sides.
A report from the Central Institute for Fiscal Studies said that mining activities in Guatemala are "far from presenting satisfactory levels of transparency."
From a report issued by the Central Institute for Fiscal Studies:
Fiscal transparency is a key element to ensure that tax revenues from the extractive industries translate into improvements in the quality of life of the population.
The mining company is progressively reducing gold extractions and will achieve total closure in 2017, while efforts begin to recover the area.
During 2013 202.200 ounces of gold were extracted, while in 2014 a decrease was reported of at least 185,000 ounces. It is expected that production this year will be equal to or lower to those last year and 2016 is expected to be the last year that extractions will be made, projecting approximately 150,000 ounces.
Businessmen are complaining that there are over one hundred applications for licenses which have been approved by the Attorney but are pending review and approval by the Ministry of Energy and Mines.
Mining companies in Guatemala say that one of the reasons for the delays in the process for obtaining mining exploration licenses is because the government does not support this sector of the economy.
Conflicts over environmental protection and excessive bureaucracy in the process of granting concessions are the factors that limit the great mining potential in the region.
The mining sector in Central America represents great potential for investment and business, however, it has so far contributed only 0.75% to the Gross Domestic Product (GDP), averaged from the six countries in the region, between 2008 and 2012.
The increase in sales of lead abroad has been attributed to the shipments that have begun from the Escobal mine, belonging to Canada's Tahoe Resources.
Lead exports increased by $141 million between January and May this year compared to the same period last year, according to the Central Bank of Guatemala.
Fernando Castellanos, Head of the Mining Department of the Ministry of Energy and Mines, told Prensalibre.com that "...