Venezuela Approves Mining Law for Foreign Investment
Venezuela's legislature backed a law opening mining to foreign firms. The move follows U.S. support for economic reforms and a recent gold trade license.
The National Assembly of Venezuela has approved a new mining law in an initial vote, signaling a pivot toward private and foreign investment to revitalize the nation's economy. This legislative move is part of a broader package of changes supported by the United States following a period of significant political transition. The administration of Acting President Delcy Rodriguez has received praise from Washington for its cooperative approach in stabilizing the country and attracting international capital.
The proposed law, which must undergo two debates before final passage, repeals a 1999 regulatory framework and allows for the exploitation of gold, diamonds, and rare earths by both domestic and foreign firms. A key feature of the legislation is the extension of mining concessions from 20 to 30 years. While the state maintains ownership of all mineral deposits, the law stipulates that legal disputes will be resolved through international arbitration and introduces new tax calculations for mining projects. These changes are designed to provide the legal certainty required by major industry participants such as Barrick Gold Corporation.
