Mining in Mexico

Mining in Mexico represented 2.4% of the nation's gross domestic product in 2023 and employed 350,000 people in 2020. Mexico is the world's largest producer of silver and a globally significant producer of gold, copper and zinc. In 2020, Mexico produced the world's 12th largest volume of minerals by value.

Cananea Copper Mine, Sonora, Mexico

Since 2018, Mexico's left-wing president has been taking a firmer stance towards mining companies and reforming mining regulations. President López Obrador was critical of (the mostly foreign owner) the mining company's track record of environmental harm and tax avoidance.

Economy

In 2023, mining in Mexico represented 2.4% of the nation's gross domestic product, and 8.2% of Mexico's industrial GDP. The mining sector employed 350,000 people in 2020, and generated US$1.5 billion in direct government tax revenue, and an additional US$1.84 billion of government revenue from exports of mined natural resources.^[1]

Mexico is the world's largest producer of silver^[2] and a globally significant producer of gold, copper and zinc.^[1]

In 2020, Mexico produced the world's 12th largest volume of minerals, valued at US$17.8 billion.^[3]

Politics

Mapping and consultations about mining in Mexico are led the by the Mexican Geological Survey government agency.^[4]

In January 2013, 500 activists met in Capulálpam de Méndez, Oaxaca at the ¡Sí a la vida! ¡No a la minera! (English Yes to life! No to mining!) event. The event was undertaken to coordinate anti-mining efforts, perceived by the activists as harmful to their lives.^[5]

Mexico's left-wing^[2] president Andrés Manuel López Obrador halted issuing any new mining licences, and did not consider mining an essential business permitted to operate during the COVID-19 pandemic.^[1] López Obrador has been critical of corporate tax avoidance and environmental damage, and has both reformed mining regulations and increased state control of mining operations. The president nationalised the nation's lithium reserves in 2022.^[2]

In 2023, the Canadian government noted the Mexican's government rapid action to improve the conditions of Mexican miners, after the Mexican government changed 20,000 collective bargaining agreements it perceived to be favouring mine owners at the expense of workers.^[6]

Companies

74% of mining concessions in Mexico are owned by Canadian companies.^[7] Significant and notable mining companies include Grupo Mexico, Newmont, Southern Silver Exploration,^[1] Ganfeng Lithium, Fortuna Silver Mines, Blackfire Exploration,^[2] Alamos Gold,^[8] Aurcana Corporation,^[9] Hochschild Mining,^[10] and Excellon Resources.^[11]

Alamos Gold

Alamos Gold is a Canadian mining company that own the Mulatos gold mine and the El Chanate defunct gold mines both Sonora.^[12][8]

Aurcana Corporation

Aurcana Corporation operated the La Negra mine, a silver, copper, zinc and lead mine in Querétaro.^[9]

Blackfire Exploration

Blackfire Exploration is a Canadian firm that owns the La Revancha baryte mine in Chicomuselo, in Chiapas.^[13][14] The mine opened in 2007^[15] with the local community divided between support and opposition.^[16][15] The mine was closed by authorities in 2009 after the assassination of anti-moining activist Mariano Abarca.^[15][17] Abarca had previously been assaulted by Blackfire Exploration staff.^[18] In 2011, the Royal Canadian Mounted Police raided Blackfire Exploration's offices while investigating the payment of a bribe to a Chiapas state mayor. Three staff were arrested during the raid.^[19][20]

Excellon Resources

 

Baryte crushing and jig plant

Canadian owner of La Platosa mine^[21] and La Negra silver mine.^[22]

Fortuna Silver Mines

Fortuna Silver Mines is a Canadian mining company that has operated in southern Mexico since 2011.^[2]

Ganfeng Lithium

Ganfeng Lithium is a Chinese company that bought the a lithium mine in Sonora in 2021, before the nation nationalised its lithium reserves.^[2]

Grupo Mexico

Grupo Mexico owns nine mines that produce copper, lead, zinc and silver.^[1]

Hochschild Mining

Hochschild Mining opened the Moris open-pit gold and silver mine in Chihuahua in 2007.^[10]

Newmont

Newmont is an American^[23] mining company that operates the nation's largest gold mine, the Peñasquito mine, also notable for being the nation's second largest silver mine and a significant source of zinc and lead.^[1]

Southern Silver Exploration

Southern Silver Exploration own the Cerro Las Minitas prospect in Durango expected to produce significant quantities of silver, lead, zinc, copper and gold. The company owns the Velardeña mine in Durango and San Martin mine in Querétaro City, both producing of gold, silver, zinc and lead.^[1]

Mining by mineral

• Coal mining in Mexico
• Mexican amber

Notable people

• Mariano Abarca (anti-mining activist, assassinated in 2009)
• David Roldán Lara (miner)
• Francis Rule (Cornish miner who worked in Mexico)

See also

• Economy of Mexico
• Lists of countries by mineral production
• Silver mining
• List of mines in Mexico

References

1. Holland, Luke (2023). "The Mexican Mining Industry: A Mecca for Mining". Resource World Magazine. from the original on 2023-03-29. Retrieved 2023-06-15.
2. Dempsey, Harry; Stott, Michael (2023-06-05). "Mexican mining industry under threat from sweeping new regulations". Financial Times. from the original on 2023-06-11. Retrieved 2023-06-15.
3. "Production value of leading mining countries worldwide". Statista. Retrieved 2023-06-15.
4. "Servicio Geologico Mexicano". Mexican Geological Survey. from the original on 31 October 2014. Retrieved 31 October 2014.
5. Wilton, Jen; Barrington-Bush, Liam (2013-02-04). "Mexico mining: 'When injustice is law, resistance is duty' – in pictures". the Guardian. ISSN 0261-3077. Retrieved 2023-06-16.
6. Robertson, Dylan (2023-06-11). "Left-leaning Mexico seeks closer Canada ties in labour and business amid mining spat". Toronto Star. from the original on 2023-06-12. Retrieved 2023-06-15.
7. Olivera, Dulce (2017-01-30). "Canadá se presume como "amigo" del mundo, ambientalista; pero en México… ha enseñado el cobre". SinEmbargo MX (in Spanish). from the original on 2023-04-17. Retrieved 2023-06-15.
8. "Robbers escape by air after stealing gold bars from Canadian mine in Mexico". CityNews. 9 April 2020. Retrieved 2023-06-13.
9. "Aurcana Corp". The Globe and Mail. from the original on March 4, 2016. Retrieved January 3, 2016.
10. . mineweb.net. 13 August 2007. Archived from the original on 28 September 2011.
11. Pauls, Karen (25 February 2015). "Canadian Embassy went too far to protect mining company interests in Mexico, critics say". CBC. from the original on 3 December 2022. Retrieved 30 June 2023.
12. Martinez-Alier, Joan (30 Aug 2019). "Canadian corporate cruelty in Mexico and Turkey". The Ecologist. from the original on 2023-04-25. Retrieved 2023-06-13.
13. "Opinion | Murder of Mexican mining protester throws spotlight on role of Canada's embassies". thestar.com. 2019-03-24. from the original on 2022-02-08. Retrieved 2023-06-13.
14. Katarina, Sabados (3 September 2019). "Mining, Murder, and Impunity". Organized Crime and Corruption Reporting Project. from the original on 2023-04-21. Retrieved 2023-06-13.
15. "Slain Mexican activist Mariano Abarca's supporters contest federal watchdog's refusal to probe case". The Globe and Mail. 2021-11-08. from the original on 2021-11-10. Retrieved 2023-06-13.
16. Katarina, Sabados (3 September 2019). "Mining, Murder, and Impunity". Organized Crime and Corruption Reporting Project. from the original on 2023-04-21. Retrieved 2023-06-13.
17. "Supporters of slain Mexican mining activist take case against Canada to international body". CBC. 7 June 2023. from the original on 8 June 2023. Retrieved 13 June 2023.
18. Pskowski, Martha (2019-12-31). "Latin American environmentalists face looming threats of violence". Canada's National Observer. from the original on 2022-08-19. Retrieved 2023-06-13.
19. "Investigation exposes Canadian mining industry bribing in Mexico". MercoPress. 31 August 2011. from the original on 2022-04-06. Retrieved 2023-06-13.
20. "Environmentalists taking federal watchdog to court over diplomats' actions in Mexican mining dispute". CBC. 18 May 2018. from the original on 17 January 2023. Retrieved 13 June 2023.
21. Jamasmie, Cecilia (16 May 2022). "Excellon eyes new assets ahead of Platosa closure". Mining.com. from the original on 18 March 2023. Retrieved 30 June 2023.
22. Rani, Archana (2023-01-10). "Excellon to acquire La Negra Mine in Mexico for $50m". Mining Technology. from the original on 2023-02-05. Retrieved 2023-06-30.
23. "BNamericas - Strike at Peñasquito could hurt weak Mexican..." BNamericas.com. Retrieved 2023-06-15.