Government to Designate Calica Mine as a Protected Natural Area

The Mexican government is conducting a preliminary report on lands in Quintana Roo, where Vulcan Materials' Calica mine is located, suggesting that this area may be classified as a protected natural area. Experts have indicated that such a designation could potentially lead to the expropriation of the land. However, President López Obrador previously assured that expropriation will not happen.

According to Bloomberg, the preliminary report will be subject to a 30-day review by the state government of Quintana Roo and will also incorporate feedback from social organizations, indigenous communities, and academic institutions. According to SEMARNAT, the report aims to protect over 1,600 species of animals and plants in the region. Although the report does not explicitly mention the Calica mine, SEMARNAT’s press office confirmed to Bloomberg that the land under review includes the mine.

López Obrador previously emphasized that before his government ends, he will seek the permanent closure of Vulcan Materials’ facilities. “We did everything to reach an agreement with the owners of Vulcan. They are not well advised and believe that once we are no longer in office, they can regain their privileges. There is already a closure in place, but I want it to be a permanent one because the environmental damage is significant,” said López Obrador. He reiterated that there will be no expropriation. "We will simply enforce the law to prevent further destruction of the territory," he said. 

Vulcan Materials Case

Vulcan Materials is a leading producer of gravel, sand and crushed stone that has mined limestone in Quintana Roo since 1986. However, in 2018, the company initiated a legal arbitration case against Mexico under USMCA, due to the revocation of its port concessions. 

In May 2022, Vulcan Materials' activities were shut down by the Mexican government due to environmental concerns regarding its underwater limestone extraction. Vulcan stated that it has all the necessary permits to operate and is resorting to all legal means to defend its rights and restart its activities as soon as possible. López Obrador had warned that if Vulcan does not accept the alternatives for the project, he would declare the land as a protected natural area.

In May, US Congress members wrote a letter to Mexican Foreign Minister Alicia Bárcena, urging her to resolve the dispute. They accused the Mexican government of mistreating private companies and López Obrador's actions of being illegitimate under both Mexican and international law. Republican Senator Katie Britt of Alabama expressed concern that key infrastructure projects in Alabama and southeastern United States are in jeopardy due to the Mexican government's intention to close the country’s largest producer of construction aggregates.