In regards to the article “New challenge for Chile’s ‘Copper Man'” (T. N.M., May 24-30/10), exploration would soar in Chile if junior mining companies were allowed to bid on even a percentage of the properties held by Codelco.
Companies like Codelco, Soquimich and some multinationals are preventing competition and job creation by sitting on properties for 20 years or more and not developing them. All of these mining properties are kept by paying small annual fees. The Chilean government should set up a progressive annual tax or fee that increases according to the number of mining properties a company holds, and the fees should increase over the time a mining company fails to explore or exploit the property. By leaving these properties unexploited, companies like Codelco are delaying vital capital flows to the economy.
The water issue is another huge problem. In the Atacama Desert, which according to NASA is the driest desert in the world, there is a cluster of high-return mining activities and the Chilean Water Authority has closed almost all the river basins and aquifers due to excessive demand. The truth is, Soquimich owns too many water rights, and as a result is impeding competition. Ore reserves without water lack value because it is impossible to exploit them.
Chile’s constitution should deem water a national asset and it should only be granted for use in real mining projects. Paying small fees to retain rights to water on properties that are not being explored or developed is devastating to the mining industry and to Chile’s econo my. The practice is also hampering competition in the marketplace.
Juan Eyzaguirre Letelier Attorney at law Santiago, Chile
My subscription to The Northern Miner over the years has seen many changes.
The June 17 presentation by your staff writer Anthony Vaccaro on lithium took The Northern Miner to a higher level. To remain silent would be doing The Northern Miner a huge disservice.
Not only was Anthony’s presentation so informative, but the answers he gave in the debate that followed provided all involved with a greater appreciation of the lithium world, and showed his acute knowledge of the subject. My group, Tagish Traders, did forward the first question and Anthony replied to all queries and concerns, even by private messaging us.
On behalf of all subscribers, I am sure that more of such presentations and debates would be greeted with a tremendous show of hands.
Gerard Almeida Toronto, ON
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