What do you know about the Orinoco Mining Arc?
posted on
Apr 27, 2017 04:40PM
Crystallex International Corporation is a Canadian-based gold company with a successful record of developing and operating gold mines in Venezuela and elsewhere in South America
Juan Pablo Hernández Alcala
Self-employed researcher
Through the publication that is exposed from February 24, 2016 in the Official Gazette, through Decree No. 2.248 , defines the National Strategic Development Zone in the "Orinoco Mining Arc" . This resolution establishes a territorial extension of 111,843 km2 of virgin forests destined for international mining activity in the exploitation and enrichment of mineral resources.
According to the engineer Yoner Arriojas, who is a representative of the JIVI people, who has been one of the most disadvantaged people in the activities of the Orinoco Mining Arc where the incursion to invade lands to commit an attack against the American lands, Committing an environmental crime.
On the other hand, the President of the Bolivarian Republic of Venezuela, Nicolás Maduro establishes by means of Decree 2.231 to found a Military Limited Company of Mining, Oil and Gas Industries (CAMIMPEG).
A citizen named Rosa Natalia, says that "many think that the military are there to protect the country from the hands of transnational companies but it is not so, the military is there to protect the transnational, to open their way and to participate in the huge Resources that this activity will generate. The military will give continuity to its operations after the fall of the government, the guarantee that that will happen is precisely the participation in the profits, they will be taking care of its own business " .
Rosa Natalia reaffirms in the new structure that the Venezuelan State adopts to guarantee the future of the country where the population through the struggles and the call of the popular clamor the reality shows a great polarization between the popular masses.
Privatization of the Orinoco Oil Belt, massive indebtedness of the country, destruction of the internal productive apparatus, establishment of a new market with access only to 10% of the population, neomaltusianismo disguised as hyperinflation, scarcity, liberation operations of the people, insecurity And now the delivery of the ore deposit of the Orinoco to the international mining capital and companies of military briefcase and "patriot private entrepreneurs".
Broadly in successive articles among other topics, we will try the following:
1.- On February 24, 2016, the public act announcing the Orinoco Mining Arc was in fact the final capitulation of the Venezuelan government to the Gold Reserve mining company, whose unconditional surrender had been signed on August 7, 2015 in the Company headquarters in Spokane, Washington. This firm legalized the FREE DELIVERY to the international mining capital of the main Venezuelan mining site, marking in fact the consolidation of the "new failed state in Venezuela supported by the army, now in its new role of partner owner as a private military company . "
2 - Given the fall in oil prices and as a measure to overcome the rentier model, the exploitation of the Orinoco Mining Arc, mainly gold, the government hopes to diversify the income.
To overcome the "oil rentismo" by the gold rentismo?
Is the source of our evils really the Oil Rent or the final destination of that rent?
80 years after planting oil, which has happened to the political leadership and Venezuelan businessmen, who are still waiting for oil revenue dollars? What happened to free competition? What about privatization since the 1970s?
Since when under capitalism, income or profit in public or private business is a source of ills?
Has not the original accumulation of capital originated in the slave trade, and the securing of cargoes, the exploitation of Indians and slaves in the mines of gold and silver of Latin America, the so-called colonial commerce, or simply piracy Of English, French and Dutch, perhaps all those "productive" activities without which capitalism would not exist, were not pure renaissance?
2.- According to the government, the new productive model starts from mining as a new source of income, replacing oil.
The state oil company PDVSA, between 1999 and 2015, sold 1,328,582,000,000 $ (Un trillion), with the country receiving oil exports about 884,049 MM $ . The 7,000 tons of gold (not certified) at current prices would represent about $ 200,000 million of gross sales, of which the Venezuelan state would at best receive no more than 10-20% of that revenue. And to obtain that income requires about 70 years of exploitation of said reserves.
Can mining operations really replace oil revenues?
Is it known that all mining including gold does not contribute more than 0.5% of GDP and never in life since the IV Republic has contributed more than 2%?
3.- With the Mining Arc of the Orinoco, it is nothing more and nothing less than turning Venezuela into a mining power, placing it in the second place in the world in gold reserves.
To date, these reservations have not been certified.
However, in the mines Las Cristinas and Las Brisas, cataloged as one of the largest mining sites in Venezuela. Crytallex and Gold Reserve estimated 481 and 290 Ton in both mines. Only 10% of the total supposedly estimated, without any technical foundation of medium seriousness.
Then 7,000 tons of gold Where are they? Why did they announce once again a new Plan to quantify the mining reserves "?
Since 2005 and even earlier it has been announced that Venezuela would be converted into a world power not only energy but also agricultural, sports and stop counting.
4.- At the public meeting of the Orinoco Mining Arc, 150 multinational companies were present, a figure that was ratified in August during the two acts of public contract signatures and memorandum of understanding.
5 .- The main propaganda about the Mining Arc has turned in the need to attract foreign capital, inviting 150 international companies. Well, in February, only 11 companies are present, of which:
• Only Gold Reserve is known, without any international relevance, to the point that its only exploitation in the world are precisely the Las Brisas Mines. In these mines this company for 17 years in Venezuela, supposedly invested 300MM $, never got to have more than 100 employees in the country (And the world) and by the way, in December of 2015 its financial balance was in red, As its assets represented only $ 15 million, while its liabilities amounted to $ 47.3 million. And I never take out a commercial gold gram.
• 7 of these companies are genuine bag companies, of which 6 are Venezuelans, none of which have a capital of 100,000 dollars, including three of them that do not even reach 5,000 dollars. Two only exist digitally and three are military.
• Of the remaining three, two are companies with no information to prove their mining experience and one is an old Venezuelan mining company, which was apparently bought by a Canadian company.
Most importantly, despite the public announcement of a public auction of 7,000 Tons of gold, in the country with the "second world reserve", none of the big international companies attend the bust among them Barrick Gold and Glencore. And yet, the latter surprisingly appears in August signing mining contracts.
With those who actually signed "the contracts and memorandum of understanding in the Mining Arc"?
In the hands of those who went and are going to stop the mining sites auctioned?
6.- According to presidential decree the use of mercury in mining activity is prohibited. However, most Gold Reserve executives headed by Mr. J. Rockne Timm CEO and Director, Mr. A. Douglas Belanger, Chairman and Director, Mrs. Mary E. Smith Secretary and Vice President-Administration, Dr. James P. Geyer Independent Director and Mr. Patrick D. McChesney Independent Director, were members of Pegasus Gold, a pioneer company in the use of cyanide in gold mining.
How do you give the two main gold mines in the country to a company whose managers are experts in the use of cyanide in mining?
How can it be said that in Venezuela there had never been such clear rules to develop mining, with a company that the government itself revoked the permit for the environmental disaster caused, without drawing a gram of gold?
7.- Despite all the declarations on sovereignty, independence and anti-imperialism that adorns the official declarations on the Miner bow, nothing is said that:
• By Barrick Gold International signed a military adviser to the Southern Command of the US and a well-known military agent of the US government. Mr. Gustavo Cisneros Rendiles is a member of Barrick Gold's board of directors and no agreement was signed with the company.
• Rusoro Mining, also the ICSID's winner in a lawsuit against Venezuela, is actually a screen company of international mining capital, created and financed by Frank Giustra.