High Mining Potential in the State of Mexico
The State of Mexico is a big entity with high mining potential. There are 760 locations of interest and expectations of producing 28 different types of mineral substances key for future productive projects in both mining and other industries, such as automotive, steel mill, chemical, construction, among others.
The current mining environment in the state, regarding metallic and non-metallic minerals, shows large growth potential. Currently there are 182 mines in the entity from which 180 are dedicated to the extraction of non-metallic minerals and two to the extraction and benefit of metallic minerals. The State of Mexico is one of the richest entities of the country and is the second to contribute to the national GDP at 9.1 percent. There is a rich geological environment that allows it to be an entity with high mining potential in metallic and non-metallic minerals.
Nevertheless, over the past two years the state has seen a decrease of 13.8 percent in mining productivity, due to a contraction of the construction industry, the cancellation of big infrastructure jobs in the entity because of the government’s austerity plans and the COVID-19 pandemic, which affected the operative activity of the non-metallic mines, generating a decline in the consumption and production of minerals.
Of the 180 mines dedicated to the extraction of non-metallic minerals, 35 percent are located in ejidal and communal lands and are administered directly by the members of the agrarian lands or by particulars with association contracts. Nonetheless, some of those communal and ejidal lands with mineral potential lack technical knowledge and economic resources to take advantage of that potential.
Regarding metallic mining exploration, the entity has significant geological-mining potential, leading to the request and granting of federal mining concessions for exploration and exploitation of that potential. At the moment, there are 247 active mining concessions, which cover a total of 262,526ha, concentrated mainly in the south and west region of the entity.
Mexico sees a year full of dynamic exploration programs even outside State of Mexico. Ten of the main gold and silver producers in the coutnry set budgets of around US$377 million, according to BNamericas. The companies with the biggest exploration spending in Mexico for 2022 are First Majestic Silver, Fresnillo, Pan American Silver, Torex Gold and Agnico Eagle. Although major players Fresnillo, First Majestic Silver and Pan American Silver did not deliver a complete breakdown per country, their budgets will mainly be destined for mines and projects in Mexico.