Safety and Prevention in the Mining Industry

Insecurity remains a significant concern for the mining industry in Mexico, with theft, kidnapping, extortion, and protection payments posing daily challenges. While facing the situation may be challenging, reporting incidents to the authorities, investing in security and effectively using technology are all key to address this, says Javier Robles, Country Manager, Grupo Multisistemas de Seguridad Industrial.

The mining sector covers a large part of the country and is present in regions with high incidences of homicides, extortion, trafficking, and cartel presence. "The expansion of organized crime and the increase in armed violence have a significant impact on supply chains and production in various sectors, including mining. Mexico is now ranked as the fourth most dangerous country in Latin America for conducting these activities," Robles mentions.

CAMIMEX reports that criminal attacks on mining companies result in operating cost increases of over 20%. This figure could rise further when factoring in continuous training and the increased employment of security guards. According to AIMMGM, some mining companies have to pay off criminal gangs, resulting in a 3% increase in the final costs of minerals. In some cases, companies seeking help from authorities are advised to negotiate directly with organized crime, says Robles. "It is crucial to file reports. Unfortunately, in Mexico, this is often seen as a waste of time. However, the more reports there are, the higher the chance that authorities will take action," he states.

Numerous cases showcase how organized crime affects mining operations, highlighting the critical need for government involvement. Robles emphasizes the need for the incoming president Claudia Sheinbaum’s to invest in improving the country's security system. In this regard, Robles sees Omar García Harfuch’s appointment as the new Minister of Citizen Protection with optimism due to his notable technical expertise in security matters.

While Robles mentions that while some mining companies, in an effort to maintain their operations running, have negotiated terms with organized crime, this must cease. Instead, it is crucial to report these issues to the appropriate authorities and to present as much evidence as possible.

Robles also notes that to effectively evaluate security solutions in the mining sector, it is necessary to review the regulatory compliance of security companies, ensuring they are properly registered with REPSE. Additionally, a thorough risk assessment is essential to inform the client about the likelihood of specific threats. Finally, technology is also paramount to address security issues. “Companies may be investing a lot in security systems and contracting service providers. However, if no one is using these systems, then all that investment is for naught,” he adds.