SGM Budget Cut, Mining Output Decrease: The Week in Mining

The federal government will cut the Mexican Geological Survey's (SGM) 2025 budget by 9.2%. Experts warn this decision risks the future pipeline of mining projects, as SGM plays a key role in mining exploration due to the Mining Law reform. In other news, mining production contracted by 2.1% in October 2024, while minerals like zinc and sulfur reported double-digit growth, and others like iron ore pellets reported double-digit contractions. 

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SGM Budget Cut Raises Concerns Over Mining Exploration

Mining exploration in Mexico is expected to face continued challenges due to a projected budget reduction for SGM in 2025. Experts highlight that limited investment in exploration will negatively impact the overall value chain and hinder the development of long-term mining projects, discouraging both domestic and foreign investment.

Apple Asks Suppliers to Halt Sourcing Minerals from Congo, Rwanda

Apple has denied allegations of using conflict minerals in its products, stating that it has directed suppliers to cease purchasing of tin, tantalum, tungsten, and gold from the Democratic Republic of Congo and Rwanda. The company further highlighted that the majority of the minerals in its products are sourced from recycled materials.

Canadian Mining Firms Set to Gain From China’s Export Ban

China’s recent decision to ban exports of critical metals to the United States has created significant opportunities for Canadian producers, though the potential imposition of tariffs by the incoming Trump administration could hinder growth prospects.

Launch of Major Mining Projects Delayed Until 2025

The launch of at least three gold, silver, and copper mining projects in Mexico has been delayed until 2025 due to supply chain disruptions, adverse weather conditions, commissioning delays, and permitting obstacles.

Sonora Plan to Advance in 2025 With US Support: Ebrard

The Ministry of Economy, in partnership with LitioMx, is working to accelerate lithium production and establish battery manufacturing facilities in Mexico. Minister of Economy Marcelo Ebrard highlighted that, as part of the Sonora Plan, the state is collaborating with US institutions to drive the development of semiconductors, electromobility, and lithium production, positioning Mexico as a key player in these sectors.

El Salvador Lifts Mining Ban to Boost Economic Growth

El Salvador has repealed a seven-year ban on metals mining, a decision driven by President Nayib Bukele to stimulate economic growth. While this move underscores the administration's economic ambitions, it has sparked significant protests from civil society concerned about environmental and social consequences.

Mexico’s Mining Production Down 2.1% in October

Mexico's mining production index declined by 2.1% in October 2024 against September 2024 but rose by 5.1% year-on-year. While minerals like zinc and sulfur experienced double-digit growth year-on-year, iron ore pellets saw a significant decline.