The Petroleum and Mining Chamber of the Dominican Republic (Camipe) is expressing concern that President Danilo Medina’s threat in his state of the nation address to impose taxation on Barrick Gold would have an adverse effect on mining in the Dominican Republic.
Dozens of companies are waiting to finalize their mining contracts signed during the Fernandez administration with expectations for highly favorable clauses, similar to the case of the Barrick Pueblo Viejo mine. Camipe said it backs serious talks for a solution of the Barrick impasse. The Chamber points out that this is a crucial moment for defining the government’s foreign investment agenda, especially when the international mining world has focused its investment on the Dominican Republic. The Mining Chamber says the sector has the potential to increase exports to 20% in the short term.
New mining ventures in the pipeline to start their operations have been criticized by the environmental sector. The Barrick contract signed by the Fernandez government is indicative of the highly advantageous contracts that have been secured for international mining companies here. There is speculation about the contracts that may now be approved in the light of President Medina’s criticism of what was approved by his predecessor.
Mining contracting has overall been highly detrimental to farming communities and the people living in the areas surrounding the mines. In the case of the Pueblo Viejo mine, the Dominican people have had to pay the steep environmental cost of the belated clean recently carried out by Barrick Pueblo Viejo to repair the extreme environmental damage caused by the operation of Rosario Resources and subsequent operation by the Dominican state of the mine in Cotui.
www.hoy.com.do/el-pais/2013/2/28/469373/Camara-Minera-dice-declaraciones-Medina-afectan-a-mineria