Union files complaint against Orla Mining, alleging violation of worker rights in Mexico
The complaint is only the second of its kind made from Canada using CUSMA’s RRM process since the trade deal came into force in 2020.
Mexico’s government is preparing a preliminary report with arguments to declare that Vulcan Materials Co.’s Calica mine is located in a “protected natural area,” signaling a potential expropriation of its land.
The report will be evaluated during 30 days by governments of the state of Quintana Roo, where the mine is located, as well social organizations, indigenous communities and universities, the Environment and Natural Resources Ministry said in a statement on Thursday.
Such as decision would support more than 1,600 species of animals and plants in the Yucatan Peninsula forests, the ministry said. Although the release does not specifically mention the mine, the ministry’s press office confirmed the property is located on the land that will be considered.
Mexican President Andres Manuel Lopez Obrador, known as AMLO, has been sparring with the US construction firm for months. AMLO said last week his government would seek a “definitive closure” of the mine through legal means after doing everything to reach a deal to purchase it. He had previously said he could also declare the land where it is located as a protected natural area.
Vulcan Materials said in May it received an offer from Mexico’s government that “substantially undervalues” its property. According to AMLO, the administration offered to purchase the firm’s Caribbean coast assets for $2 billion.
The plant was closed by the government over alleged environmental damage, preventing the US construction firm from extracting limestone at the site it has owned for decades.
The Alabama-based company has sought protection from the Joe Biden administration from what it saw as the threat of a government takeover.
(By Alex Vasquez and Eric Martin)
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