Pascua Lama is facing setback: Argentinian justice rescinded measures that hindered Glacier Protection Laws

5 julio, 2012
pascualam1

03-Jul-2012 Diario Financiero – News
Supreme Court rejected San Juan Province Court decision
Pascua Lama is facing setback: Argentinian justice rescinded measures that hindered Glacier Protection Laws
Glacier Protection Laws forbids mining and oil-related activities in the glacier and glacier surrounding areas in order to preserve water reserves.

Barrick’s Pascua Lama mining project is bearing a new setback. Yesterday, Supreme Court in Argentina rejected the precautionary measures impeding application of Glacier Protection Laws in San Juan Province where Barrick Gold is constructing the Pascua Lama Project, the only bi-national mining project worldwide that extends between Huasco -within Chilean territory (where 75% of pit is located)- and San Juan Province in the Argentinian territory.

Precautionary measures

Precautionary measures were previously filed by San Juan justice representatives by request of Mining Chamber of San Juan where Barrick participates. Thus the Glacier Protection Law was left uneffective for that province. Glacier Protection Laws forbids mining and oil-related activities in the glacier and glacier surrounding areas in order to preserve water reserves. The Law was passed in October 2010, however the San Juan justice applied the precautionary measures when considering the law was unconstitutional stating each Province had the right to evaluate how to exploit or not to exploit its natural resources.
However, the Supreme Court of Argentina has decided to declare that decision as uneffective. “Last Tuesday the Supreme Court of the Nation has revoked the precautionary measures that impeded application of Glacier Protection Laws in San Juan Province, consequently, said Law is stated as enforceable”, Judiciary stated. This is the first time a National Court in Argentina refers to Pascua Lama Project. Previously this had only been observed in Province courts.

The Argentinian Supreme Court decision considered the measure filed by San Juan justice “is not a proportionate remedy with respect to nature and relevance of the hypothetical ilegitimacy of claim”, besides the text states that “Judge should have considered that a precautionary measure suspending validity of an essential part of Law has a significant effect over the constitutional principle of separation of powers”, the Supreme Court statement read.

Reaction

After getting acquainted of the court decision, Rodrigo Jiménez, Regional VP of corporate affairs for Barrick South America, indicated that the company is in the process of evaluating the decision text.

“However, it must be pointed out that our activities are not carried out in glaciers and Barrick is in full compliance with the corresponding environmental permissions, including Province legislation for glaciers protection”, and he also added that “we have legal faculties to continue our current activities based on the existing approvals. Besides, the Supreme Court is still to state its decision on constitutional status of the Law which was claimed by San Juan Province, labor unions, mining industry. This case is still being seeing in court”, the spokesman of the mining company emphatically asserted.

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