Mexico’s proposed higher mining royalties could block nearly $7bn in investments
The Mexican government proposed raising mining royalties under the argument that metal prices have risen in recent years.
Minera Frisco (PINK:MFRVF), owned by billionaire Carlos Slim, has suspended exploration activities in the Las Espejeras region in Tetela de Ocampo, Mexico, due to mounting protests by locals and environmentalists.
Puebla Online reports Frisco workers abandoned the site a few weeks ago and it is not clear whether they will be returning.
The report states that the conflict gave the town a tourism boost as local and international media flocked to the area to report on the protests.
Frisco owns 9 mines and projects across the country employing 3,500 people. The firm mines base and precious metals and last year bought up Canada’s Aurico Gold’s assets in Mexico for $750 million.
Minera Frisco is Slim’s second largest holding – he owns 80% of the Mexico-city based miner.
Slim, 72, is the world’s richest man with a fortune of some $78 billion largely due to his 43% ownership of America Movil, the largest mobile phone network in the Americas.
