Image credits: Fresnillo
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Weekly Roundups

Fresnillo’s Production Decreases in 2021

By Paloma Duran | Wed, 03/16/2022 - 18:24

Fresnillo announced that despite having an 11 percent increase in pretax profit in 2021, the company's production suffered from a lack of workers, a consequence of Mexico’s new labor reform that prohibits subcontracting. The company said that although it sought to minimize the impact of the reform through new hires, training and investment, it was unable to reach its 2021 production targets. Nevertheless, Fresnillo announced that it expects to improve the situation in 2022 with the incorporation of new equipment.

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Government Acts as Conciliator in La Platosa

After announcing that the Platosa Union, located in Bermejillo, Durango, acted against Excellon Resources due to a salary increase denial, Durango’s Minister of Work, Israel Soto Peña, pointed out that mediation works between the two parties are already ongoing to prevent a cease of activities at the mine.

Alamos Gold Sells its Esperanza Gold Project for US$60 Million

Alamos Gold sold one of its secondary Mexican assets to Zacatecas Silver for US$60 million, as Alamos wishes to concentrate on its flagship projects. Meanwhile, Zacatecas Silver says that its new acquisition will strengthen its portfolio of advanced projects in Mexico.

Indigenous Consultations: Preventive Strategies, United Front

Ruben Cano, Founding Partner, CR Legal Partners Mexico, told MBN that the court's decision to revoke two mining concessions of Minera Gorrión is a major and extremely dangerous mistake. It is worrying that any mining concession granted after the ratification and enforcement of the ILO Convention 169 could be canceled due to the absence of an “indigenous consultation,” when there are no guidelines or procedures, nor is it clear how the Mexican state can comply with its obligation to consult. This affects the legal certainty of the thousands of holders of mining concessions. Above all, the Mexican state is incapable of even determining who should be considered indigenous.

Indigenous Consultation in the Current Political Context

Alfonso Caso, Managing Partner, AOSENUMA, said it is of the utmost importance to have an updated diagnosis of indigenous consultation rights for projects in operation and to assess the feasibility of new investments. The legal framework regulating the possible effects of projects on the rights of indigenous people and their communities should focus on building a mutual understanding between communities, as well as private and public actors. It should promote long-term relationships that facilitate the development of projects and ensure investments can overcome the socio-political uncertainty that Mexico has faced throughout the years.

The data used in this article was sourced from:  
MBN, Mining.com
Photo by:   Fresnillo
Paloma Duran Paloma Duran Journalist and Industry Analyst