en.Wedoany.com Reported - Venezuela's National Assembly unanimously passed a new Mining Law on Thursday, allowing foreign, domestic, state-owned, and private enterprises or consortia to enter the gold and strategic mineral extraction sectors. This move comes amid the easing of some U.S. restrictions aimed at promoting investment in Venezuela's economy. The law also stipulates that mining concessions are granted for 30 years, with the possibility of two consecutive extensions of up to 10 years each.
Since taking power following the detention of Nicolás Maduro on January 3, Acting President Delcy Rodríguez has submitted several legal amendments to the parliament. Those already approved include the Hydrocarbons Law and the Mining Law; the latter received its second and final approval from the Assembly on Thursday. The new law repeals provisions from 1999 and 2015 that reserved gold mining for the state, while maintaining state ownership of mineral deposits.
According to the Mining Law, disputes will be resolved through arbitration. A royalty of up to 13% is levied on the gross value of mineral production, calculated based on the commercial value of the final product. Enterprises engaged in primary mining activities are also subject to a tax of up to 6%. Private companies can operate independently after obtaining state authorization or conduct business through joint ventures, with the Central Bank responsible for the commercialization of gold.
A mining industry representative, who is in the process of obtaining licenses to export equipment to Venezuela and products from Venezuelan mines, stated that the previous mining regulations were primarily focused on gold and oriented toward the domestic market, making the new law "extremely necessary." The United States has issued a license authorizing certain transactions related to gold of Venezuelan origin and permitting dealings with the state-owned mining company Minerven and its subsidiaries, provided the relevant contracts are governed by U.S. law.
Following the nationalization two years ago, Venezuela still owes billions of dollars to industrial groups, oil companies, and mining firms, including Crystallex, Gold Reserve, and Rusoro Mining. The newly passed Mining Law establishes new legal boundaries for gold mining, the development of strategic minerals, and related operational arrangements within Venezuela's mining legal framework.
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