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May 16, 2008
Venezuela cracks down on mining projects to protect resources
In a move to tighten control of its natural resources, Venezuela closed the door to new gold projects and threatened other mining and logging concessions, Reuters reported on Thursday.
Environment Minister Yuviri Ortega said the country will not issue permits for any open-pit mines and will not allow either private or public companies to look for gold in the 3.8-million-hectare Imataca Forest Reserve. Because of ecological damage, Ortega said, thegovernment also was revising all its mining and timber concessions.
Currently benefitting from record oil-export prices, Venezuela believes it does not need to risk further harm to its environment with more mining and logging. Much of the country is unpopulated and home to diverse eco-systems, including a significant chunk of the Amazon
rain forest. The Imataca reserve, in the remote the southeast, sits on what is thought to be one of Latin America's largest gold deposits.
Several large and mainly state-run companies dig iron ore, coal and bauxite in the country.
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