Download Govt halts new mining activity amid environment

Govt halts new mining activity amid environment, safety fears
The Lao government has stopped authorising new mining studies and cancelled concessions for several mining
projects previously authorised by local authorities.
Minister of Energy and Mines Dr Soulivong Daravong clarified the situation at the latest session of the Lao National
Assembly yesterday.
The issue of mine preservation was raised by an Assembly member who was arguing in favour of safeguarding the
country's natural resources and asked the government to review mining activity control.
At this point, Dr Soulivong said the government had not been authorising new mining investment for the past year
and that several companies had been forced to stop their activities.
“Our government stopped authorising new investments in mining in the middle of last year,” he stated.
Official figures show there are 154 companies with investments in 268 mining activities around the country, of which
118 companies are foreign owned.
Dr Soulivong said about 30 percent of all companies had been found to be violating regulations.
“Thirty percent of all mining operators received a warning and the government has cancelled the concessions of 16
companies,” he said.
The country's mining boom, especially in alluvial gold mining, has raised social and environmental concerns due to
the use of mercury and cyanide by certain mine operators.
The minister said the central government is the only body with the right to control all mines across the country, but
some local authorities have ignored the ban on new mining activity in order to continue making money.
“There are no laws permitting local authorities to authorise mining operations,” he said.
According to Dr Soulivong, although the government has ordered all mining operations authorised by local authorities
to stop, some are still continuing in remote areas. The assessment process will be finished in September.
He said the government had asked the Ministry of Energy and Mines to cooperate with the Ministry of Planning and
Investment and local authorities to conduct an assessment of mining investment activities across the country.
The mining boom has also prompted concerns that the country's mineral resources will soon be exhausted if
exploitation continues at the current pace.
According to the minister, along with stopping authorisation of new mining projects and cancellation of illegal
operations, the Ministry of Energy and Mines has conducted studies and proposed 13 protected areas.
In these areas it would be illegal to conduct any mining activities or related studies. The proposal was clarified at a
high level leadership meeting.
Dr Soulivong said the ministry is currently drafting legislation in response to the issue, including regulations on
mineral trading and environmental protection.
By Somxay Sengdara