Market Conditions Favor Profits for Miners

The mining industry will benefit from commodity price increases, says Efraín Alva Niño. Meanwhile, the new Latin American Chamber of Lithium aims to make the lithium market in the region more open and clearer. In addition, experts warned that despite the opportunities lithium offers to Mexico, its highly polluting production process could cause serious problems.

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Growing Commodity Costs Could Benefit Mexican Mining Industry

Efraín Alva Niño, Director, Head of the Ministry of Economy’s Extractive Industries Unit, said that the mining industry will benefit from the Russian invasion in Ukraine. The price increments for raw materials would impact solvency in Latin American countries, though the industry is well-positioned to reap the reward, especially in Mexico.

Latin American Chamber of Lithium Begins Operations

Argentina, Chile and Peru have created the Latin American Chamber of Lithium (CALBAMERICA) with the goal of creating a transparent market for the mineral to secure fair and stable prices in the region, similar to what OPEC does with oil.  

Lithium Explotation Could Generate Socio-Environmental Conflicts

Lithium is considered the future of mining due to its growing relevance in green energy infrastructure. However, its exploitation could generate severe environmental and health crises in regions where the white gold’s deposits will be developed, warned Mexico’s Ministry of the Environment and Natural Resources. 

ELSSA Strategy to Boost Mining Sector’s Health and Safety

Following the formation of the Safe and Healthy Work Environments (ELSSA) agency at the start of May 2022, Mexico’s mining sector will begin implementing a new working framework through a partnership with the Mexican Mining Chamber (CAMIMEX) to further improve its health and safety record. 

US$35 Million to Be Invested in Sonora

The government of Sonora announced that it will invest over MX$700 million (US$34.91 million) together with Grupo México to carry out water infrastructure upgrades at the Cananea and Nacozari mines. In addition, mining companies in the state have been invited to change their tax residence to Sonora so that the state gains a larger budget and can therefore share benefits with more of its citizens.  

Guerrero: Next Pole for Mining Projects

Due to the growing importance of mining in Guerrero, the Guerrero Mining Cluster has taken up the mission of promoting the industry to the level of Mexico’s main mining states. The Cluster believes that Guerrero has the geological characteristics to make this happen. Taxes and the government’s position have an adverse effect on the arrival of more investors.

Torex Gold to Introduce BEVs at Its Morelos Complex

After announcing solid financial and operational results for 1Q22, Torex Gold will acquire 66 battery-electric vehicles (BEVs) for its mining complex in Morelos as part of the company’s wider sustainability strategy. 

Excellon Resources’ Platosa Mine to Stop Operations in 3Q22

Excellon Resources confirmed that it is no longer economically viable to operate its Platosa mine in Durango because of the project’s many challenges. Consequently, the company plans to shut down operations in 3Q22. However, the company announced that it wants to continue operating in Mexico. Therefore, it is seeking to acquire new mining assets.