UPDATED ON:
Thursday, November 06, 2008
08:15 Mecca time, 05:15 GMT
News Americas
Venezuela takes over gold mine
Chavez has clashed with international companies with his pro-nationalisation agenda [GALLO/GETTY]

Venezuela's government has said it will take over the country's largest gold mine, as Hugo Chavez' administration attempts to boost foreign reserves amid the global financial crisis.

Rodolfo Sanz, a mining minister, told state radio on Wednesday that the government will nationalise the Las Cristinas mine, bringing it under state control by the beginning of 2009.

"Due to the financial crisis that has extended throughout the world, it's necessary to attempt to recover our gold to increase our international reserves," he said.

Las Cristinas mine, which is rich with gold, diamonds, iron and other minerals, is currently operated by Canadian firm Crystallex International Corp.

Clashes

Crystallex issued a statement following the announcement saying they had "not been notified of any changes".

The company also said that Crystallex representatives had met Venezuelan officials on Wednesday and that "no issues were raised with regard to the control of Las Cristinas".

Chavez's government has clashed with other international gold-mining companies operating in Venezuela in recent months as it pursues pro-nationalisation policies.

Las Cristinas, thought to be venezuela's biggest gold mine, is located within the Imataca Forest Reserve, which is also home to unique plant and animal species.

Environmentalists have raised concerns that major mining operations could cause irreversible damange to the area's senstive ecosystem.

 Source: Agencies
 
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Feedback Number of comments : 16
 
Steve In Texas
United States
07/11/2008
Hugo Chavez Nationalizing Mines
I know that Chavez is popular with many people because he rails against the United States. However, that's too easy. I hope that people begin to realize that he is little more than a Communist dictator who idolizes Fidel Castro. If you think Chavez's policies are so great, just take a look at how similar policies have limited the freedom of Cubans for almost 50 years. Hugo Chavez and George Bush are of similar ilk - power-hungry autocrats oppressing the people while claiming to help them.

mark
Canada
07/11/2008
la christinas gold mine
whoever wrote this article clearly doesn't know what he is talking about. If you don't know something please don't make sh*t up as you go - gold and diamonds and iron and etc never go together! I don't want to read your articles after these things , makes me question how much of it is true

CMC
United Kingdom
07/11/2008
Steve In Texas
Steve wrote "If you think Chavez's policies are so great, just take a look at how similar policies have limited the freedom of Cubans for almost 50 years." Come on Steve, you can't be so dumb you blame their policies for their current situation nobody knows what effect socialist policies will have as the bastard nation America has never allowed such policies to be played out due to interfering & sanctioning. Even worse in Chile's case and endless others.

Pepiyo
Canada
07/11/2008
HuGold
Excellent move Hugo! Take back what belongs to Venezuela and make it work for the good of the people as you have shown already. The rich oligarchs are of course crying because they won't steal the gold. I wish all "dictators" were like Chavez..there would not be need for the so called democracy of the west! The USA has shown the world that hipocracy and democracy must have been an error in translation!

Dave in Brooklyn
United States
07/11/2008
Comparing George W. Bush and Hugo Chavez?
Steve from Texas must have some investment in mining companies. How else could he compare Hugo Chavez, who has won all of his elections outright (and fully accepted electoral defeats on some of his programs) to George W. Bush, a man who stole his elections and killed hundreds of thousands and set up torture gulags (Guantanamo Bay being the most horrible place in Cuba, despite what Steve may suggest about Castro). You think people from Texas would realize the world wishes they'd just shut up.

Fergus
Ireland
07/11/2008
Venezuela takes over gold mine
It's great to see a leader taking back his country's natural resources for the good of the people of that country. Chaves has shown that a small country can stand up to the US grabbers and win.

Albert
Canada
08/11/2008
Castro and his policies did not put Cuba in the position they are in, American policies toward Cuba did that. The American policy of keeping people in there own country stupid seems to be working. And, yes it is true that diamonds and gold are not found in the same mine ever, unless this is the only mine in the world that has that combination. Hopefully now that Bush is out, Americans will start to smarten up a bit and get on the same page as the rest of the world.

Rufus T. Firefly
United States
08/11/2008
NOT ONE CUBAN CHILD SLEEPS IN THE STREETS. MAY GOD BLESS HUGO CHAVEZ .

Thomas1993
Canada
07/11/2008
if only....
If only Canada would do the same and nationalize their natural ressources, instead of letting US-owned companies plunder them.

Thomas1993
Canada
07/11/2008
Re: Steve In Texas
Actually,in facts, Chavez is most popular in Venezuela. You could argue that it is because it "rails against the US". But it would give Venezuelians more credit to say that they instead appreciate what he does for them. Like narrowing the gap between poor and rich, providing free healthcare, lower child mortality, and so on (you can check these facts on the UN web page - plenty of statistics there). In fact, Chavez is giving what most US citizens want out of their government, but never get.

T.D.Foster
Great Britain (UK)
07/11/2008
Gold mine
Are you sure that they are not mining rubber,too?Is this mine found in the region of the "Candy Mountain" of american folk song fame? I am delighted that Chavez does something for his own country-at last but,that he denounces Bush,well,that is simply too easy.We all do that but Bush is not the USA and we can hope for a change.

jonathan seer
United States
10/11/2008
Taking back what the Kleptocratic Ruling Elite sold for a fraction of their worth to enrich themselves and keep the nation poor
That is the whole story of the relationship between the USA, my nation and virtually all of Latin America. Chavez has done a good job overturning the corrupt old ways and retaking the national wealth the rich elite sold for little just to stay in pwr

Stephan
Canada
10/11/2008
Chavez a dictator?
I wonder how you can call someone who won overwhelming majorities in 9 elections verified by the OECD a dictator? So what, he didn't renew a license for a cable channel to operate on the government's fixed cable lines, they still broadcast in the country via satellite - but guess what, they proudly admitted on national television their support for the U.S. backed coup-d'etat and their role in it! Venezuela's stats have improved in every category. Canada should do the same and control its riches

Dave
Canada
09/11/2008
Venezuela takes over gold mine
Government acting in the best interest of all the country's citizens is a good thing. What Chevez and neighboring nations are desiring is a very good thing and an example for others. But typically governments don't do a very good job at running businesses and should stick to their core responsibility - governing the country. I think Chevez and others would better serve their countries over the long term by ensuring that deals signed with multinationals fairly compensate the use of resources.

Randy
United States
10/11/2008
The real issue
Much is being said here about self determination. In my opinion the issue isn't about socialism in Cuba or Venezuela, it's about the balance of power. Cuba got into big trouble when it allowed Russian rockets (pointed at US) to be put into place on the island. Venezuela is courting the same in your face policies. Venezuela is certainly free to pursue whatever to improve the living standards of the people. But, be careful - once you let the genie out of the bottle - it's hard to put back.

steve
Venezuela
13/11/2008
Bad business
This is simply another populist move by Chavez to renege on contracts made with foreign companies that bring jobs to that area. All he is doing is further isolating his country from the world economy and it will hurt his administration in the long run. Of course, I see the random "blame the US" line even though this is a Canadian company... This just goes to show the ignorance of communists. I think Chavez is a thief and a liar, and no company or country will do business with a back-stabber like Chavez.

 
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