Chile Authorizes Gold
Mining Project but Bans Relocation of Glaciers
February 16, 2006 — By Eduardo Gallardo, Associated Press
SANTIAGO, Chile — Ambitious plans for
an open-pit mine high in the Andes mountains were unanimously approved
Wednesday by a Chilean environmental agency, but the project's future
remained unclear because the agency rejected its most controversial
aspect -- relocating three glaciers to reach the gold underneath.
The proposed relocation of the glaciers by Barrick Gold Corp. prompted
an outcry by environmentalists and some downstream residents, who worry
that the mine could poison the Huasco Valley's rivers -- the Pachoi,
Huasco and Chollai. Some 6,000 people live in the valley and raise
avocado, grapes, olives and other crops, depending on water fed by the
glaciers above.
Others in the region want the Pascua Lama mine, saying it would
encourage economic development and create jobs.
A spokesman for Barrick, Vince Borg, said the company is "pleased with
the decision," which he said was the result of improvements made by the
company in a presentation to authorities last December.
"Now, we will take the time to evaluate our next steps," he told the
Associated Press by telephone from Toronto.
Barrick has promised to prevent any damage to the surrounding
environment. The company, which refers to the formations as ice masses
and not true glaciers, had planned to relocate the ice by truck to reach
the gold underneath. It wasn't immediately clear how the $1.5 billion
project can proceed with the ice untouched.
Regional governor Rodrigo Rojas, who leads the environmental agency,
said Barrick must also follow through on its promises to treat any water
contaminated by its mine and permanently monitor the area's water
quality.
Barrick had said only 0.2 percent of the ice field straddling Chile's
border with Argentina would have to be relocated to reach gold reserves
estimated at 17 million ounces with production starting in 2009.
Juan Carlos Cuchacovic, a Greenpeace specialist following the Pascua
Lame project, predicted cyanide and mercury contamination from the
project. Barrick's spokesman Vince Borg dismissed those fears, saying
the company has "an exemplary environmental record" and has never had an
incident related to cyanide.
Source: Associated Press
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