United Southern Miners propose referendum for gold mining companies to remain

VHeadline correspondents in southeastern Bolivar State: Unidad Minera del Sur (United Southern Miners) directors Antonio Rivas and Pablo Zambrano are proposing a referendum for gold mining companies in the Sifontes municipality of southeastern Bolivar State to remain.

The news, published today in 'El Diario de Guayana' (The Guayana Daily) says that taking into account the fact that the President of the Republic, Hugo Chavez has already expressed that such matters should be the subject of consultation with the people, Rivas and Zambrano want a referendum on whether Crystallex (especially) and Gold Reserve should be allowed to remain in the area and whether or not they should be allowed to assume the exploitation of gold reserves at Las Cristinas and Las Brisas del Cuyuni.

It is already established that Crystallex is contracted to the Venezuelan Guayana Corporation (CVG) under a 40-year operations contract at Las Cristinas while the situation for Gold Reserve (which claimes a concession at Las Brisas) is less certain in view of the government's resolution to disestablish all forms of "concession" in Venezuela's gold mining industry in favor of "mixed social enterprises."

Rivas and Zambrano are quoted as saying "we have always called for these two companies to remain in the zone to stabilize employment ... the delivery of the (environmental) permits must now be decided by the people. In continuance, such decisions must no longer be allowed to be taken to the detriment of the people. In the case of Las Cristinas and Las Brisas it is the people who must decide ... we are revolutionaries and the Revolution owes it to the people. That's where we are today and we must be consulted ... the rejection of the (final) permits to these companies is of such magnitude that there must be consultation."

Reactions have come following the controversial decision by the government to revoke the "concession" at the Brisas del Cuyuni project. Meanwhile the Las Cristinas project has NOT been revoked because no decision has yet been delivered. All that has happened is that Crystallex (the project operator) has been told that it has satisfied environmental requirements and that it remains "under consideration." Then comes the bombshell that the permissions have been rejected. This presents an evident contradiction in central government policy since the Las Cristinas project is under the tutelage of the CVG even if it is the Ministry of the Environment which has (allegedly) denied the final permit.

"We are calling on the President of the Republic, Hugo Chavez, to intervene in this problem ... we are small-scale miners and we want to work ... the affected companies were going to open up important job opportunities. The reality for small-scale mining is that we maintain the opening-up of mining and the creation of the autonomous Mining INstitute which knows the reality in our zone. Universities operating in the southern municipalities are developing career opportunities in mining and environmental protection ... so now we have to ask what future awaits these young people in these specialities if there is a tendency that these mining companies will be closed?"

Antonio Rivas and Pablo Zambrano explain that a consultative referendum should be organized under the auspices of the National Electoral Council (CNE) with the participation of the Environment and Mining Ministers as well as small-scale mining organizations.

• They insist that a referendum is the most democratic solution that exists since it is reprehensible that future decisions should be taken for capricious and personal reasons.
  
• They admit that the decision-making process is riddled with corruption and impunity and want to see an immediate stop put to it.

If ecological damage is alleged and for this reason reject the possibility for these companies to begin operations, they must also take into account the fact that technologies exist which would guarantee protection of the environment. Decisions to nullify these companies goes against economic and social development and affects the population of the south of Bolivar State as well as that of numerous indigenous rainforest indian tribal communities.