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Ecuador to allow open pit mining if benefits seen QUITO | Sat Dec 1, 2007 1:12pm EST QUITO Dec 1 (Reuters) - Ecuadorean President Rafael Correa said on Saturday the government would allow open pit mining and bear its environmental impact if it generated enough revenues for the Andean nation. "In principle we want to avoid it, but if there are more than $100 billion in revenues we will have to allow open pit mining," Correa said in his weekly radio address. "I'm talking about a real example, I'm talking about the mines of Ecuacorriente in Zamora Chinchipe." The leftist president said the country's lush precious metal potential could help the government finance needed social projects for the poor. Canada's Corriente Resources CTQ.TO ETQ.A is waiting on the government to approve an environmental impact assessment amendment to start work at its Mirador mine in Zamora Chinchipe province, a company executive said. Last year, Ecuador suspended the start of work at the Mirador copper-gold project due to clashes between communities in favor and against mining. Correa has promised sweeping reforms to the country's nascent mining sector to establish new contracts and royalties for companies exploring for gold and copper. Alberto Acosta, the head of the assembly rewriting the constitution and close ally to Correa, has repeatedly said a new charter will ban open pit mining to safeguard the country's environment. The assembly, which last week closed down Congress and took over its powers, is expected to decide on a series of reforms to the mining law to increase state participation in the industry. Some other firms exploring in Ecuador include Aurelian Resources ARU.TO and Iamgold Corporation (IMG.TO). See the below for recent examples of the policy shift on open pit mining http://upsidedownworld.org/main/ecuador-archives-49/2500--correa-looks-to-reopen-unpopular-mining-project-in-junin An official government site reveals that the Correa government plans on investing $180,000 on “social and environmental studies” during 2010 to determine the feasibility of the Junin copper deposit. The study would be the first step for the newly-created national mining company to try to reactivate a mining project which has resulted in two transnational mining companies being defeated by Intag’s communities and organizations. Now the stage is being set for possible confrontations between communities and local governments pitted against the national government and its national mining company. The Junin large-scale copper mining project, located in some of the world’s most threatened and biodiverse forests1, has also given rise to innumerable human rights violations and illegalities. These include; land invasions; severe social conflicts; violent confrontations; use of paramilitary forces against communities; criminalization of leaders of the opposition; and outrageous abuse of the nation’s judicial system. The net result, even though the mine was never opened, has been tragic social upheaval, deeply divided communities and families, and a sense of uncertainty and insecurity. The newly proposed government plan comes at a time when the divisions were starting to heal. It is worth highlighting that all the human rights abuses and social havoc and upheaval took place in spite of the fact that the mining company was unable to even access its concessions to finish exploratory activities due to widespread local opposition. http://upsidedownworld.org/main/ecuador-archives-49/1772-ecuador-the-logic-of-development-clashes-with-movements In spite of proclaiming himself socialist and a defender of the general "well being," President Rafael Correa has been promoting the open-pit mining industry, which has provoked serious environmental and social damage throughout the region. "The nascent left, indigenous, and ecological movements are starting to rise, having meetings to promote an uprising against the mining companies." "With the law in hand we will not allow these abuses, we cannot allow uprisings, which block paths, threaten private property, and impede the development of a legal activity; mining." It was not a political conservative who said these words, but Rafael Correa, the president of Ecuador, who proclaimed himself a member of "21st century socialism" and an enemy of neoliberalism. The first sentence he said in a speech before the Provisory Congress in early January and the second he gave in a speech on Jan. 12 on the balcony of the president's house in Quito.1 In addition, he accused social movements that reject the Ley de Mineria (Mining Law) of being "allies of the right." The government minister, Fernando Bustamante, spoke of a potential insurgent link between indigenous organizations and the military.2 Tensions were already high at the beginning of January when the police brutally repressed community members protesting in the south of the country against the law. "We will not negotiate with criminals and thugs" was Minister Bustamante's response to the indigenous leaders who defended themselves against repression by holding a police captain captive.3 ________________________________________________ Send list submissions to: Marxism@lists.econ.utah.edu Set your options at: http://lists.econ.utah.edu/mailman/options/marxism/archive%40mail-archive.com
