Tag: hanrine

Report shows Solgold’s Proposed Cascabel Mine in Ecuador will cause Untold Environmental Harm

New study shows Solgold's proposed Cascabel mine in Ecuador will cause untold environmental harm

Mining expert Steven H Emerman recommends Solgold abandon Cascabel project and regulatory agencies should not approve the mine after new report shows massive financial and environmental risks at proposed Cascabel site.

The areas highlighted red on this map are largely Australian controlled mining concession areas in northern Ecuador. The Cascabel mine is located approximately 100km north of Ecuador's capital city, Quito. The planned tailings dump is proposed to be located approximately 60km north east of Cascabel. Two pipelines are planned to pipe heavy and fine tailings to the waste dump area.

A proposed "block caving" gold and copper mine proposed by Australian mining exploration company Solgold, will most likely cause untold environmental harm to the region, Emerson shows. Solgold have been working in Ecuador for over a decade and the Cascabel* mine is their flagship operation in the country. The Cascabel mine, if operational could also lead to more mines in northern Ecuador. Cascabel tenements are surrounded by Hanrine concessions - owned by Australia's richest woman, Gina Rinehart.

Mining expert Steven H Emerman's detailed report raises some key issues regarding Cascabel, some of which include revelations that concentrate produced at Cascabel will be processed on site and then transported 150km-200km to the Port of Esmereldas and then on to undefined refining facilities. Previous reports by Rainforest Action Group have highlighted the security risks in this region. The report also reveals that the substantial deposits of gold, silver and copper at Cascabel are very low grade meaning that 469 million tonnes of rougher tailings and 60 million tonnes of finer mining tailings will be created by the Alpala mine and that the costs of the tailings management have been greatly underestimated. Tailings are the waste rock left behind after gold and other precious substances are extracted. They include high levels of arsenic, cadmium and other heavy metals and toxic substances. See Rainforest Action Group report on Tailing dams for more.

The Cadia mine in New South Wales near Orange shows the approximate size of 3km width tailings dam crest length. This tailings dam wall collapsed in 2018. The scars of the collapse can be seen just above centre left of image. In regards to the Solgold Cascabel proposal, "Thus, the mining company, its investors, the regulatory agencies, and the affected communities have not been provided with any knowledge as to what may actually happen after the failure of the tailings dam. Image credit: Google Earth

Tailings Dams

In Solgold's Pre-Feasilibility Study four preferred options for managing the tailings include the most preferred option which is the construction of two separate 57km long pipelines that will transport cleaner and rougher tailings to two unspecified sites on the coastal plains north west of Cascabel. Estimations for the costs of these options have been understated. No explanation has been given as to why the coastal plains location was chosen. Emerman writes "Considering that cost was a factor in the choice of the tailings management plan, the underestimation of the cost of tailings management comes as a great surprise".

Two of the other possible sitings for the tailings dams would be within the Cascabel concession itself. These two options would mean the construction of tailings dams over 200 metres in height and with dam crest lengths of over 1km. The two coastal plains options would require tailings dams with heights of 190 and 132 metres with final dam crest lengths of 3.3 and 4.6km.

SolGold's Pre-Feasibility study also does not analyse the consequences of tailings dam failure. There have been 2 to 5 major tailings dam failures around the world each year over the past 30 years. This raises real concerns about and what happens to the tailings dam after the mine is exhausted in 2050.

“The level of engineering complete for a TSF [Tailing Storage Facility] is greater than the level of engineering required for the rest of a mining project to support permitting requirements” (Henderson and Morrison, 2022)

Emerman states, 'The Pre-Feasibility Study recognizes community concerns regarding the open pit and the tailings storage facility as significant risk factors. The proposed action is 'Do not publish the location of any controversial infrastructure (e.g. Tailings, Open Pit),' although it is difficult to understand how such information could be kept secret."

This statement raises serious concerns that communities near the mine and tailings dumps have not been adequately consulted or given the opportunity to provide free and  informed consent, as is their legal right. Why the secrecy?

Acid Mine Drainage

Acidification of mining materials occurs when oxygen and water react to sulfide minerals to have been mined. This chemical reaction converts the sulfides to sulfuric acid. Acid mine drainage of this material is disastrous to waterways. Solgold propose to cover their tailings dams with a permanent water cover to lessen possibility of acidification of the cleaner tailings. This practice is no longer consistent with best industry practice as the water can have a detrimental impact on the physical stability of the tailings dam.

Solgold believe that only the 60 million tonnes and finer grade tailings will generate acidification but Emerman refutes this claim in his report, referring to the SME Tailings Management Handbook which says "Where tailings subaqueous disposal is employed behind constructed dams, the dam safety liability associated with maintaining the tailings in a flooded condition also remains … A dam that retains  a large water pond is inherently less safe than an embankment that does not. There are no case records of impoundments designed for perpetual submergence behind constructed dams that have been perpetually submerged. So, there is no demonstrated precedent for the legacy of permanent submergence being constructed today. We have only just started the clock” (Andrews et al., 2022).

View looking east towards the location of where the 529 million tonnes of mining tailings are proposed be located (marked in red, 50km from the ocean) - Colombian/Ecuadorian border in yellow. The tailings dam would be between 3-4 km in width and between 130-190 metres high. It is proposed to be located somewhere near the Rio Cachavi River which flows west into the Rio Tulubi, Rio Santiago and Rio Cayapas Rivers and then into the Pacific Ocean. None of the authors of the Pre-Feasibility study visited the site of the proposal Coastal Plains Tailings Dam site. What consultation is Solgold and the Ecuadorian Government doing with communities located nearby and downstream. The Rio Santiago/Rio Cayapas also take in the southern sections of the Mangroves Ecological Reserve Cayapas-Mataje

Two Tailings Pipelines

In the Pre-Feasibility there is no discussion about the possibility of pipeline failure. The two 57km pipelines have to cross four major rivers and numerous tributaries and there is no discussion of the exact pipeline route in the Pre-Feasibility proposal. Emerman suggests that failures of tailings pipelines will occur every year over the 28 years of the project. The Emerman report provides a database of 61 tailings pipeline failings, which has not been previously published. The pipelines will also require construction and maintenance of emergency ponds and leak detection systems.

There is also no discussion in the Pre-Feasibility study of excess water used in the pipelines which will most likely have to be discharged into local waterways near the tailings dam, or the costs of maintaining and eventual closure of the tailings dams. An estimated cost for the tailings dams is put at $267 million.. Operating costs of the tailings facility have also been underestimated by significant amounts.

Other concerns include the fact that there is currently no electricity at the proposed mine site. Proposed works have been woefully understated with multiple hydroelectric projects required to built to provide power to the mine. The low ore quality at Cascabel means that the entire ore body still has be crushed. It is suggested that Cascabel will require around 91MW.

Cascabel's power needs would consume all the entire output of the only two planned hydroelectric projects, Miravalle and Arenal, located near Cascabel and the Pre-Feasilibility study does not include any costings of new hydroelectric plant construction or operation. Miravalle and Arenal have a combined estimated cost of $283 million to generate 90MW. It is unlikely that the Government of Ecuador will support the idea that Cascabel would be the sole user of all the power generated by these yet to be built plants.

The Pre-Feasibility Study also states that "Multiple hydroelectric projects are currently in the advanced planning stage, with a total capacity of 200 MW having been identified in the local area. The Project plans to participate in these projects and secure the supply of power from them" yet Solgold provide no costings estimates for these plans.

Ecuador is home to some of the most diverse forests in the world. The proposed Cascabel mine will impact on local flora and fauna species, as will a planned tailings dump located approximately 60 km north east of the mine site. Two 57km pipelines are also bound to cause environmental problems.

In conclusion Emerman recommends that the Solgold should abandon the project and that investors should decline to invest in the project and that regulatory agencies should not approve the mine.

This article was first published by Friends of the Earth

 

A closer view of the mining tenements in the region. Hanrine tenements are owned by Gina Rinehart. Hanrine tenements south of Cascabel have already caused many problems including illegal mining and military interventions.

Hancock Prospecting in Ecuador: Seven years of reported violations

Hancock Prospecting in Ecuador: Seven years of reported violations

In 2016-17, Ecuador put a third of its land mass up for sale to mining companies. They came from all over the world eager to explore for copper, gold and other metals, including several Australian heavyweights and juniors: BHP, Newcrest, SolGold, Fortescue Metals, and more. Prominent among the new Australian investors was Hancock Prospecting. 

Image credit: Matt Golding, Sydney Morning Herald, June 2019

Seven years on, in 2024, these companies are all busy drilling and establishing projects - leaving behind them a trail of environmental damage and violence as they progress their ambitions. Of the Australian miners, Hancock Prospecting - through its 100% owned subsidiary, Hanrine - has attracted the most news headlines. Let's take a journey through the legacy that this well-endowed private company is creating in Ecuador, one of Latin America's poorest countries.

Find our 2019 shareable PDF fact sheets on Hancock Prospecting (HPPL) in English here and Spanish here. Updates will soon be available on our website.

Introduction

Hanrine is a subsidiary 100% owned by Hancock Prospecting (therefore 76.6% owned by Australia’s richest person, Gina Rinehart). The company was established in Ecuador in 2017.

Hanrine has never had a website. It is very difficult for the public to access information about the company. For its part, Hancock Prospecting has never published any details about Hanrine on its Australian website, apart from its logo.

The CEO of Hanrine, Carlos De Miguel, has a history of military involvement (he was a US Marine) and in the security industry (running a private security company). He had close ties with the Ecuadorian government under the administrations of both ex-presidents Rafael Correa and Lenín Moreno. He was known to be friends with Correa’s Minister of Mines, Javier Cordova and ex-CEO of Ecuadorian state mining company ENAMI, Stevie Gamboa (who, after leaving ENAMI, became the legal advisor for Hanrine).

De Miguel is reputedly linked with privileged information regarding major infrastructure developments in Ecuador and was allegedly involved in a security capacity with the internment of Julian Assange in the Ecuadorian Embassy in London.

2015-2017

2015: Australia signs a Memorandum of Understanding with the State of Ecuador regarding mining cooperation.

2016: The government of ex-president Rafael Correa opens over 2 million hectares of land across Ecuador up to local and transnational companies for mining exploration, without any public knowledge and in alleged violation of Ecuadorian Constitutional Law.

A flood of Australian mining companies move in to Ecuador to buy concessions, securing around 10% of the total transnational mining investment. These companies include BHP, SolGold, Fortescue Metals, Newcrest, Hancock Prospecting, Sunstone, Tempus/Pelorus, and Titan Minerals.

Representatives from Hancock Prospecting visit Ecuador (reportedly four times during the course of 2016). They make a deal with the Ecuadorian state mining company, ENAMI, regarding mining and exploration.

July 2017: Hancock Prospecting forms a new subsidiary - Hanrine Ecuadorian Explorations and Mining - and sets up office in Quito.

2018

Early 2018: Gold is found when contractors start working on a road into the peaceful rural parish of Buenos Aires. This sparks a massive “gold rush”. Up to 12,000 illegal miners quickly converge on the area, many from other countries such as Colombia, Peru and Venezuela. Among them are representatives of extant and former paramilitary groups, including FARC, and narco-trafficking gangs from Colombia and Ecuador. The local population, many of whom are small scale farmers, are overwhelmed. The Ecuadorian Government grapples to deal with the problem, but fails.

March: Hanrine acquires exploration rights to six mining concessions in northern Imbabura, totalling over 27,032 hectares close to the Colombian border and surrounding SolGold’s much-touted Cascabel copper project. This is one of the most biodiverse regions on the planet, and home to several small rural communities, including the Parish of Buenos Aires.

Hanrine’s acquisions are instantly controversial. According to Ecuadorian media reports, Hanrine was awarded the concessions after the new Moreno government pledged to suspend the mining cadastre (registry) and cancel more than 2000 mining concessions – actions promised in the wake of a national referendum when 80% of Ecuadorians voted “no” to the expansion of mining in environmentally vulnerable areas.

Moreover, local communities within the Parish of Buenos Aires have received absolutely no consultation about Hanrine moving into the region (this is not a problem specific to Hanrine; lack of consultation plagues communities all over Ecuador who are suddenly finding themselves on the frontlines of mining exploration).

April: Illegal mining is still concentrated in Hanrine’s active concession, Imba 2. Organised crime gangs are now well- established in the area. Gold is being trucked to San Lorenzo, one of Ecuador’s most dangerous ports. Several deaths of miners occur.

Illegal mining in Hanrine's concession, Buenos Aires Parish, Ecuador. Source: Ecuavisa, 2018.

June: After the death of a 14 year old child, residents of towns and villages within the parish of Buenos Aires protest on the streets, demanding that the illegal miners be evicted. Illegal miners form consortiums and battle for control over mines. Some claim they are dealing with Hanrine, saying they have asked the company for their mining rights to be legalised.

27 September:  Concerns are raised about the process by which Hanrine obtained their six concessions in just a few short weeks, rather than the 8 months or more it usually takes to secure mining titles. The assemblyman for Imbabura, Marcelo Simbaña, formalises a complaint before the General Comptroller of the State regarding this and other inconsistencies, and requests a constitutional injunction to stop Hanrine operating in the area.

December: The State of Ecuador sends in the military to address the illegal mining problem. Raids and arrests follow, but these efforts again fail to bring the situation under control.

2019

Military police entering Hanrine's concession in Buenos Aires, Ecuador, 2019. Source: BUPROE

May: Residents of Buenos Aires blockade the main road to illegal mines after locals are shot at in armed confrontation between gangs at the mining sites.

July: From Australia, Hancock Prospecting allegedly requests the State of Ecuador to intervene in the illegal mining situation in their concession Imba 2. The government responds by sending in 1,200 police and 1,500 troops. They create a militarised zone and declare a state of emergency in the region. 5000 illegal miners are evicted and their camps burned. Meanwhile dozens of police officers are arrested and charged for receiving bribes from illegal mining organisation leaders.

2020

January-March: Despite the successful removal of the illegal miners, the area of Buenos Aires remains under military presence. An order by the local Emergency Operations Committee of the Cantón of Urcuquí suspends Hanrine’s activities due to the Covid pandemic; however, Hanrine does not respect this restriction.

Hanrine chases Llurimagua: An article published in the journal Periodismo de Investigation (3 August 2020) reveals that Hanrine has, since 2017, been in battle with Chilean state mining company Codelco for control of a lucrative 49% share with ENAMI in the Llurimagua copper-molybdenum project located in Junín, Intag.

Llurimagua is a highly contested project: planned to be one of the world’s biggest copper mines if built, it would host huge infrastructure (including a vast tailings dam) in a highly flood and earthquake-prone region, which also happens to be in the centre of the world’s number one biodiversity hotspot. Llurimagua has been opposed by the majority of the local community since the beginning. Currently two legal cases have been won against the mining company. The second (March 2023) resulted in a ruling that nullified Codelco’s environmental license due to violation of constitutional laws protecting the Rights of Nature.

Codelco's letter to Hancock Prospecting. Source: Periodo Investigación.

Allegedly, in the first half of 2020, Hanrine offered the Ecuadorian Government $400 million for the stake in the project and begged the Ecuadorian Government, via dozens of letters, to open the concession up to a tender process. This move angers Codelco, who had received the concession for free in 2016 under a deal with President Correa.

5 June: Codelco's Attorney General in Chile writes to Hancock Prospecting's Executive General Manager in Perth, Australia, saying "Stop interfering in our business...any subsequent action by Hancock will undoubtedly constitute conscious and intentional interference that could be extremely detrimental to Codelco's contractual rights".

July 27: Hanrine’s CEO, Carlos De Miguel, is caught with a stockpile of weapons at his home in Quito and arrested. He is charged with possession of illegal firearms and 9,500 rounds of ammunition. De Miguel’s defense claims that he was set up by the government and falsely charged. He is later released with the charges dropped. It is speculated that the arrest was related to the conflict between the two companies, Hanrine and Codelco, and possibly instigated by the Ecuadorian Government.

August 17: The restrictions on Hanrine’s operations in their Imba 2 concession are finally lifted. Hanrine attempts to enter. On August 21, the communities of Buenos Aires parish gather together, demanding that Hanrine exits Imba 2. Four days later, 180 local people burn down one of Hanrine’s main mining camps.

Hanrine's camp burns, August 2020. Source: El Universo

2021

April: The Public Defender’s Office calls on the national government to suspend all Hanrine’s mining activities in the Buenos Aires parish after what it deemed was excessive military force against inhabitants resisting mining. Hanrine contracts a  lawyer to threaten the President of the Parish of Buenos Aires, falsely accusing her of violating the company’s constitutional rights by not allowing them access to their concession.

April-June: Buenos Aires residents reiterate that they were not consulted and do not want any mining on their land, and set up a 24-hour vigil to keep Hanrine out.

June: Hundreds of Hanrine workers block the only access road into the town with trucks and machinery for over 40 days, trying to force residents to allow them passage. An Urcuquí judge eventually rules that Hanrine is violating the rights of the Buenos Aires people and gives the company 10 days to withdraw from the public highway.

July: Hanrine allegedly bribes a Quito judge to accept a Protective Action on behalf of the company. The judge’s subsequent ruling hands the national police unprecedented powers to oppress and disperse local protestors.

August 3: In the early hours of the morning, only a matter of days after the court order was given in Quito, Hanrine forces its way through Buenos Aires with over 500 police, who shoot tear gas and rubber bullets at crowds. Police arrest several people without justification or charges and hold them in jail for days. Meanwhile Hanrine gets their machinery through into the hills, sets up camp, and commences exploration activities.

August 18: Imbabura Assemblyman, Mario Ruiz, files a formal complaint expressing concerns about alleged corruption on the part of Hanrine which led to the August 3 events. In October, an investigation by the National Council of the Judiciary in Ecuador confirms the presence of irregularities and manipulation of the judicial computer system in the Protective Action launched by Hanrine in July.

2022

March: After a long campaign by local human rights organisations and the Public Defenders Office, Hanrine’s water use permits are revoked by a court order. The court decides that Hanrine has no legal right to access water for private and agricultural use, and therefore their applications are invalid. Hanrine is banned from accessing their exploration works around the farming area of El Triunfo. Despite this order, Hanrine tries numerous times to sneak back into their camps and restart work.

June 18: In the midst of a national strike, Hanrine uses the cover of a State of Emergency to try (again) to force entry. The army and police use grenades and tear gas in order to clear the streets of citizens. Local news outlets report that five people are injured - one an elderly person who is unable to move after the attack.

There are numerous other reported incidents through the course of 2022, when farmers peacefully try to stop Hanrine entering their private access roads, and are arrested and criminalised – despite the fact that it is the company who is conducting illegal actions.

2023

January: Hanrine engages the army to help them enter private properties around the village of El Triunfo in order to build a new mining camp. Farmers blockade their private access roads and are shot at with rubber bullets. Videos shared on social media show terrifying scenes of running and screaming in the midst of gunshots. The company exits a couple of days later, after being threatened with legal consequences for violation of the March 2022 court order invalidating their water use licenses.

Over the course of 2023: Hanrine, whilst not active in Imba 2, apparently feels no obligation to utilise the police to protect local farmers and townspeople from illegal mining. Therefore the police, while maintaining checkpoints on the entry and exit roads to the town of Buenos Aires, do little to stop hundreds of illegal miners moving back, reinhabiting their camp known as Plastic City, and restarting their mining activities.

Dangerous drug gangs roll in to control the area, including the notorious “Los Lobos”. Violence and crime worsens. Buenos Aires, once a small peaceful town, begins to host night clubs, liquor outlets and brothels. More violent incidents occur, and the residents of Buenos Aires continue to be oppressed by police whenever they attempt to peacefully protest the trespass of Hanrine or illegal miners on their private roads and properties.

November: Without warning, Hanrine removes all machinery from their exploration camps in Imba 2 and lays off its workers.

December 2023-January 2024: Many of Hanrine’s workers, suddenly finding themselves without income, join the illegal miners, swelling the numbers to over 3000. A series of military operations commence, purging and burning camps and equipment.

2024

March: Weeks after their exit from Imba 2, Hanrine expands its activity. Through a back room deal, without respect of Ecuadorian mining laws (which require that concessions be sold through a tender process), Hanrine seals a $150 million partnership with ENAMI, giving them access to a 49% stake in six mining concessions in Intag. The concessions surround the embattled Llurimagua copper-molybdenum project, which has been stalled by investor corruption, environmental concerns and social resistance since 2018.

This move by Hanrine is bold, for two reasons. Firstly, Intag has the longest history of unified resistance against mining in Latin America – four decades of successfully repelling one company after another – and has achieved two legal precedents defending the rights of Nature in the area. Secondly, local community and environmental organisations suspect that Hanrine’s desire to own these concessions has a lot to do with their ambitions for Llurimagua … see below.

Mining concessions in the province of Imbabura as of March 2024. Hanrine's are in green. Source: APT-Norte.

April: Ecuador’s Constitutional Court rules to invalidate an appeal launched by Codelco and the Ministry of Environment, which attemped to overturn a 2023 Court of Imbabura judgement removing their environmental permit to develop the Llurimagua project.

This ruling, while a positive result for those fighting Llurimagua, raises concerns in local communities that should Codelco give up its share of the mining project, the most likely company to buy it will be Hanrine. If this scenario comes to pass, Hanrine will own over 40,000 hectares of contigious mining concessions across the region of Intag. Furthermore, almost the entire province of Imbabura (with the exception of EMSAEC, Agroindustrial, and private concessions) will be occupied by four Australian mining companies – Hanrine, SolGold, BHP and Sunstone.

April: Hanrine invests $186m ($120m US)  in the Linderos copper exploration project in the Ecuadorian province of Loja (owned by a junior Australian company, Titan Minerals) with a view to acquire up to 80% of the project. Gina Rinehart is reportedly committed to increasing her investments in the so-called Andean Copper Belt - copper being an important battery metal - but so far, Ecuador is the only country in the region where she has a footprint. Within the past few months, Rinehart has also bought substantial sized shares in lithium and rare earth metals mines in Australia, Brazil and the United States.

May: Local Intag residents report that Hanrine employees have visited farmers living within their new Guadalupe mining concession in Intag and offered to upgrade access roads to farms.

RAG is working closely with people and communities who are being directly impacted by Hanrine's activities. Many of the events described here and in our linked media releases have been reported first hand from the frontlines, while the remaining references are sourced in Ecuadorian and Australian news media. We will update this timeline as things unfold through 2024.

 

Gina Rinehart considered “personally responsible” for human rights abuses in Buenos Aires, Ecuador

Gina Rinehart is "personally responsible" for abuses of human rights and constitutional law, say community members in Buenos Aires, Ecuador. Hanrine, her Ecuador subsidiary is again being denounced by community groups in Ecuador for its use of public forces to forcibly enter private and community properties, in order to build a new mining camp at their mining concession, Imba 2, with citizens teargassed and shot with rubber bullets.

Military forces use tear gas and rubber bullets against local farmers and community members

"The community of El Triunfo in the parish of La Merced Buenos Aires, province of Imbabura, Ecuador denounces Gina Rinehart, the mining company HANCOCK PROSPECTING, and its subsidiary in Ecuador, HANRINE ECUADORIAN EXPLORATION AND MINING S.A. and its use of the public forces of the Ecuadorian Army and Police to forcibly enter our community and private properties to build camps and exploration platforms, violating our constitutional right to environmental consultation and private property. Article 398 of our constitution guarantees a referendum vote to communities that could be affected by extractivist projects, This referendum has not been granted to any of the communities living within Hanrine’s concessions," says Peter Shear, the Director of APT Norte.

"We denounce that the road they intend to use to gain access to the IMBA 2 concession was opened by us, the small farmers of our community, by our own means and financing, and without the support of the Ecuadorian State. Our road has not been officially expropriated by the Ecuadorian state and HANRINE has not obtained a state sanctioned right of way easement. Therefore, this attack on our private property is illegal and unconstitutional," Peter Shear says.

"For the past two weeks, workers from the HANRINE mining company and the Ecuadorian army have been stationed at the entrance of the community of El Trunfo. Two trucks were staying overnight in the El Triunfo community with approximately 100 soldiers guarding 15 trucks, 5 trucks, 1 dump truck and 1 backhoe loader.Today their numbers doubled as approximately 100 troops arrived in the early morning. The HANRINE mining company desires to enter the properties of Hugo Rosero and Artemio Malquín, who have apparently authorized HANRINE to carry out its activities on their land. However, more than 30 farmers have not authorized or granted an easement for the company to enter and use the road."

"Today, the military forces present used tear gas and physical violence against a group of local campesinos who were blocking the road in order to defend their constitutional rights. Three people were illegally detained at approximately 11AM. Their whereabouts are not currently known. The names of two of the detained people are believed to be Daniel Sotaminda y Asimero Armas, who is 71 years old and has severe visual and hearing discapacities. The name of the third detained citizen is currently unknown," Peter Shear says.

"At approximately 2:30 PM the military forces were able to disperse the protestors and gain access to the concessionary area through the disbursement of rubber bullets and tear gas. Unfortunately, this military aggression is a repeating pattern. On August 3 2021, HANRINE was granted the right to petition the use of military force to gain access to their concessions. This resulted in a massive military invasion where violent force and tear gas were used against hundreds of campesino residents protesting peacefully against HANRINE and the illegality of Ecuadorian government’s granting of their concessions."

"The residents of Buenos Aires have since been systematically criminalized, arrested, and abused by HANRINE, its employees, and the Ecuadorian State. We personally hold Gina Rinehart, Hancock Exploration, HANRINE, and Ecuador’s president, Guillermo Lasso, responsible for these grave abuses of human rights and constitutional law. We personally hold Gina Rinehart, Hancock Prospecting, HANRINE, and Ecuador’s president, Guillermo Lasso, responsible for the safety and lives of all the residents of the Parroquia de Buenos Aires," says Peter Shear.

Media release here for more information and to contact Peter Shear.

Ecuador Army attack peaceful civilians resisting Rinehart mining on their land

Gina Rinehart’s Hanrine mining concessions in north-east Ecuador are again hotbeds of unrest, with Ecuador’s Army using violence and tear gas to clear streets of citizens to allow Hanrine’s employees to pass during national strike. 

Some of the projectiles used against townspeople. Image credit c/o: Peter Shear

On June 18, the army threw around 30 tear gas grenades, triple action gas grenades and long distance projectiles at the townsfolk of Buenos Aires, injuring five people, including an elderly person who was unable to move after the attack.

“Today we have been attacked by more than 30 military and more than 100 Hanrine workers including security guards and engineers. They attack us with tear gas canisters, stones and sticks,” says Patricia Tates, an inhabitant of the town.

“We are from La Merced of Buenos Aires. We were supporting the strike in a very peaceful way until today when [the army] arrived to aggravate us. All of that happened today in the middle of a strike,” Patricia Tates says.

The protests coincide with a national strike against the government called on June 12 by the National Confederation of Indigenous Nationalities of Ecuador (CONAIE), unions, and the national worker's front, demanding that President Guillermo Lasso’s government issue a moratorium on mining and back down on its neoliberal austerity measures.

In retaliation, CONAIE’s president, Leonidas Iza, was abducted and held incommunicado by people dressed in police and military uniforms, and released a day later, pending a trial in July for “inciting violence”. A car in which he was travelling was shot at by police on June 19, shattering the side window.

“The events constitute a new state action of criminalization and persecution of the right to social protest and mobilization, “ said the Alianza de Organizaciones por los Derechos Humanos.

After unsuccessful calls for dialogue, President Guillermo Lasso declared a state of emergency on June 19 for 30 days, suspending the right to assemble.

One of the townspeople injured during the attack. Image credit: c/o Peter Shear

“Rinehart’s mining concessions in Buenos Aires, Ecuador have been hotly opposed since they were granted in 2018, with increasingly militant tactics to force entry to the proposed mining sites, amid allegations Hanrine has not acquired the correct permits,” says Liz Downes, a writer and researcher with the Rainforest Action Group, an advocacy and research group that investigates the actions of Australian mining companies in Ecuador.

“On 13 May 2022, locals say Hanrine again forced entry to the concessions without authorisation from farm owners, and without the correct permits to carry out mining camps and works. They say they were never consulted about a mine on their land, in contravention of Article 398 of the constitution and government policy,” Liz Downes says.

“Australia needs to know how their companies are behaving in Ecuador and hold them accountable to human rights obligations. The constitutional rights of people in Ecuador need to be respected,” says Peter Shear, the director of APT Norte, a human rights organization with hundreds of members in Buenos Aires.

“Over forty community members have been criminalized by Hanrine and the Ecuadorian government for being defenders of the environment and their constitutioal rights. Although we have obtained political amnesty for 28 of the cases through the National Assembly, the rest are curretly in various states of prosecution. These are small farmers who are simply asking that their constitutional rights are respected – not violated – by the Ecuadorian state, and in this case, Gina Rinehart's mining company, Hanrine.” Peter Shear says.

“Community members don’t want a mine here – it puts their water supply and pristine environment in unacceptable peril. Any benefits from the wealth created from the proposed mine would have minimal benefits locally, at a cost that is far too great to local communities and critical ecosystems,” Peter Shear said.

“The Hanrine mining company is protected by the Ecuador’s police and military, with a court order in August last year legitimising the use of excessive force against inhabitants, despite the wishes of the national police,” Liz Downes says. “This court order was later found to be corrupt by The National Council of the Judiciary in Ecuador, and is currently being appealed to the Constitutional Court”

The inquiry revealed there were a number of irregularities and omissions in the Protective Action which gave the National Police the authority to clear a route through the town so the mining company could pass. The police operation in the early hours of August 3, 2021 saw 900 National Police officers use excessive force against peaceful townspeople, including tear gas.

Hanrine has also been found to have paid protestors to carry out counter-marches nationally to create scenarios that delegitimise the social protest.

 

Contact details and full media release here

Win for Los Cedros Reserve could impact mining concessions across Ecuador

Los Cedros Reserve to be protected from mining after comprehensive Ecuador Constitutional Court ruling on Rights of Nature and the environment

Los Cedros river. Image credit Rafael Cardenas

In a significant ruling on December 1, the Ecuador Constitutional Court revoked the water and environmental rights of Cornerstone Capital Resources and the Ecuador state mining company (ENAMI) for the Rio Magdalena concessions that cover most of the internationally renowned Los Cedros Reserve.

The ruling sets an important precedent for Ecuador, which was the first country in the world to enshrine the rights of nature in its rewritten constitution in 2008.

“The Court stated that the companies had been responsible for a number of constitutional violations. These included violating the rights of nature, the rights of nearby communities to clean water and environment and the rights of communities to consultation over the mining projects. In addition, the Court ruled that the companies failed to acquire adequate environmental and water permissions pertaining to the extraordinary diversity and vulnerability of the region,” says Liz Downes from the Rainforest Action Group, an advocacy and research group investigating the actions of Australian mining companies in Ecuador.

The Court also ordered the government to adopt regulations so that future environmental licenses and water licenses for mining and other extractive industries do not risk violating the Rights of Nature.

“This order could become a precedent to protect significant water sources and other Protected Forests. There are 2.4 million hectares of Protected Forest in Ecuador currently at risk due to large scale mining,” says Liz Downes.

Brown-headed spider monkey at Los Cedros Reserve. Image credit Mike Peck

“Mining activities – even at early exploration stage – in the high-altitude cloud forests and grassland regions of the Ecuadorian Andes risk contaminating and depleting the water sources of local communities and the farms they depend on, as well as risking the extinction of thousands of endemic and endangered species. Across Ecuador, communities on the frontline say they have never been consulted about mining, and this ruling potentially gives weight to their argument, ” says Liz Downes.

Around 30% of mining concessions in Ecuador granted by the government since 2017 – just over 700,000 hectares – are owned by Australian companies, who are exploring for copper and other base metals. Mining companies potentially impacted by the ruling include SolGold, who are developing 13 priority projects nearly all of which cover protected areas.

Hanrine (Hancock Prospecting) and BHP each have several concessions in the region around Los Cedros in north-western Ecuador, which almost without exception overlap the buffer zones of mega-biodiverse and threatened forests like Los Cedros and Cotacachi-Cayapas National Park. Communities in this area have strongly resisted mining for decades.

Cornerstone Capital Resources, in a press release, says it has made a submission to the Constitutional Court requesting further details about the impact of the ruling on its activities.

“It is unclear as yet as to how the ruling will be enforced in terms of legislation. But this is set as a precedent case with no legal appeal possible,” says Liz Downes.

A plan to manage and care for Los Cedros Reserve will be established jointly with the Ministry of the Environment, Water and Ecological Transition, residents of the neighbouring communities, local and state councils, as well as researchers, scientists and academics who have conducted studies in the Protected Forest. In accordance with the ruling, this process is to be overseen by the Ombudsman's Office.

FULL RELEASE HERE

Ecuador legal system manipulated in Rinehart company case

Ecuador legal system manipulated in case brought by Rinehart’s company, investigation finds

The National Council of the Judiciary in Ecuador confirmed the presence of irregularities and manipulation of the judicial computer system in the Protective Action that allowed Gina Rinehart subsidiary Hanrine to forcibly enter the town of Buenos Aires on August 3.

The investigation was carried out by the National Directorate of Management Transparency after Assemblyman Mario Ruíz filed a formal complaint on August 18 over concerns about the case Hanrine brought to the Judicial Unit for Family, Women and Adolescents in September.

“We had the presentiment that there was corruption in the process which authorised the use of force against the population so that the company could enter, and unfortunately we were right,” says Yuly Tenorio, a lawyer for the people of Buenos Aires.

The inquiry revealed there were a number of irregularities and omissions in the Protective Action which gave the National Police the authority to clear a route through the town so the mining company could pass. The police operation in the early hours of August 3 saw 900 National Police officers use excessive force against peaceful townspeople, including tear gas.

Protests against Lasso in Quito

The judge for proceedings is usually allocated through a lottery system, however in this instance the case was assigned directly by Gabriela Fernanda Beltrán Loyo, a judicial official who had already received administrative sanctions over irregularities in another case.

“No other judge was going to authorize the indolent repression of people who were exercising their right to resistance backed by a Precautionary Measure won by the people so that the company withdraws,” Yuly Tenorio says.

The revelation comes only a week after Hanrine was found to have paid pro-government protestors at a rally. Huge protests against the government over corruption concerns and an increase in fuel prices have been ongoing across Ecuador since Tuesday, October 19th.

“The actions of Hanrine in Ecuador have been concerning from the outset. They have continued to aggressively push mining equipment into the area despite resistance from locals who they say they were never consulted about a mine on their land,” says Rebekah Hayden, a writer and researcher for the Rainforest Action Group, an advocacy group investigating the actions of Australian mining companies in Ecuador. “Public officials have been threatened by Hanrine employees, with any who resist mining being taken to court by the company for obstructing ‘its constitutional rights’.”

“Article 398 of the Ecuadorian Constitution guarantees communities the right to a previous environmental consultation before any extractive process has begun. This has not happened anywhere in the country,” says Peter Shear, the director of APT Norte, an environmental and human rights group operating in Ecuador.

Assemblyman Mario Ruíz who filed the formal complaint says that the Judiciary's report “confirms our suspicions and unmasks the way in which the lawyers of the Hanrine company operate through fraud, misrepresentation and purchase of consciences ”.

After the revelations of the investigation, the Provincial Directorate of Pichincha opened an investigative file to determine disciplinary actions and apply corresponding sanctions to the civil servant Gabriela Fernanda Beltrán Loyo, Judge Byron Andrés Vallejo Naranjo, and Carlos Mesías Huilca Aguila, who served as secretary of the case.

FULL MEDIA RELEASE HERE

Human rights violations at Gina Rinehart’s Ecuador mining concession

Tear gas used on unarmed townspeople at Buenos Aires, Ecuador to force entry to Gina Rinehart’s mining concession

Approximately 500 armed national police stormed Buenos Aires in the early hours of the 3rd August, using tear gas and military trucks to forcibly clear a path through the town for the mining company Hanrine in what locals say is a significant human rights violation. This was despite a court ruling in June that gave Hanrine ten days to exit the area. 

Residents of Buenos Aires protest the incursion of military forces in their town, 3 August 2021. Image credit: OMASNE

Residents shouted ‘illegal!’ as military trucks rolled in followed by 11 trucks and other vehicles from the Hanrine Ecuadorian mining company. Five people were detained during the clashes. Hanrine has five concession areas in Buenos Aires where they hope to explore for copper and gold, totalling more than 12,000 hectares.

“Last night, community residents were peacefully protesting in the town when hundreds of National Police entered the tiny town, using teargas on the unarmed women who stood at the front of the crowd. The show of violence on behalf of the mining company is uncalled for and a direct assault on the human rights of the townspeople, as well as their constitutional right for Free, Prior and Informed consent. The inhabitants of the area say they have never been consulted and do not want mining on their land,” says Liz Downes, a member of the Rainforest Action Group, a research and advocacy group investigating Australian mining companies acting in Ecuador.

 

“Tensions have been ongoing for months, with the company blockading the main road to the town for more than a month, and violently attempting to enter the town on a number of occasions. Last week clashes occurred between residents and Hanrine personnel, who tried to forcibly enter the town in contempt of the June ruling, and a townsperson was stabbed four times,” says Liz Downes.

In June, a provincial judge issued precautionary measures against Hanrine. This followed events where hundreds of company personnel blocked the only access road in and out of the town for more than 40 days, hoping to force locals to allow them passage to the concession Imba 1. The court ruling gave Hanrine ten days to leave the area. However the company appealed, and last week a Quito judge accepted a protection action filed by Hanrine. The new ruling provides that necessary security measures be made  to guarantee the free movement of company officials. However,

On April 21, the Ombudsman's Office of Ecuador called on the National Government to suspend all mining activities in the area, after what it deemed was excessive military force against inhabitants, and citing risks of spreading the Covid-19 Brazilian strain in a community with limited health facilities.

“Essentially two arms of the Ecuador government are opposing each other - with local elected officials, townspeople and the judge of the Multicompetent Judicial Unit of Urcuquí opposing the company’s attempts at forced entry into the town, and a Quito judge who ruled in favor of the company last week, allowing national security forces to take any necessary measures to guarantee the free movement of Hanrine officials,” says Liz Downes.

“We are deeply concerned about the contemptible actions of Hancock Prospecting via their subsidiary, Hanrine, and strongly condemn their actions. We call on Australians and the Australian government to condemn these actions in Ecuador,” says Liz Downes.

Hanrine is also suing Mario Ruiz, a member of the National Assembly who opposes mining in the region and who was instrumental in denouncing the company’s behaviour to the Assembly and to human rights and legal organisations. In April, Assemblyman Ruiz was held against his will and threatened for several hours by the company.

Two days ago the Ecuadorian Alliance for Human Rights, representing around 50 different organisations, released a formal statement of alert regarding the use of military force against residents of Buenos Aires, saying:

“We reject the systematic violence perpetrated by the mining company Hanrine … against the population of La Merced de Buenos Aires … today on 2nd August, the town is full of military trucks and buses filled with military and police … all to allow the company Hanrine to conduct activities.”

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Judge rules Rinehart’s Ecuador subsidiary must not block public road

Court gives Gina Rinehart’s Ecuador subsidiary 10 days to withdraw from public road blockade

Hundreds of workers from Rinehart’s subsidiary Hanrine have blocked the only road to the town of Buenos Aires in north-west Ecuador for more than 40 days, hoping to force locals to allow them passage through the town to the concession Imba 1.

The judge of the Urcuquí Multicompetent Unit, Manuel Sucuzhañay, today accepted the Precautionary Measures presented by Imbabura Assemblyman Mario Ruiz, recognising Hanrine’s actions are violating the rights of the people of Buenos Aires. Hanrine was given  10 days to withdraw from the public highway.

Road blocked by Hanrine workers and their trucks. Image credit: Plan V

“Hundreds of workers have been camped on the side of the road at the entrance to the town for more than a month, living in trucks, vans and under makeshift tents made from plastic sheeting. They have been stopping locals from entering the town. In April they held Imbabura Assemblyman Mario Ruiz against his will for several hours, threatening him,” says Rebekah Hayden, a member of the Rainforest Action Group, a research and advocacy group investigating Australian mining companies acting in Ecuador.

“We are deeply concerned about the ongoing situation at Buenos Aires. On April 21, the Ombudsman's Office of Ecuador called on the National Government to suspend all mining activities in the area, after what it deemed was excessive military force against inhabitants resisting mining. The area is currently under a State of Emergency, as Ecuador is currently experiencing a fresh wave of Covid cases, the town has very limited health facilities, and locals are concerned about workers from other areas bringing in new cases in to the area,” Rebekah Hayden says.

“In response, villagers formed a resistance of their own, setting up at 24 hour vigil to stop miners from entering the town. They say Hanrine is acting illegally in trying to forcibly enter their community. They do not want mining of any kind, particularly a foreign-owned mine, and they view the incursion as a violation of their rights. Despite reports in Australian and Ecuadorian press that resistance in the area was by illegal miners, locals insist this is not the case, saying that Hanrine is conducting a smear campaign against them,” says Rebekah Hayden.

“The situation has been aggravated by the lack of response from the State, with the Ombudsman’s Office saying in April that it had not adequately controlled or regulated both legal and illegal mining. Locals say police and government officials could have forced the mining company to move earlier, stating the road blockade represents both a traffic and health hazard,” Rebekah Hayden says.

“This is only the latest issue for Rinehart in Ecuador. A Comptroller's report states there were irregularities in the delivery of concessions to Hanrine, while inhabitants say the company did not conduct environmental consultation with the people before entering their territory. The community has called for a constitutional injunction to stop Hanrine operating in the area,” Rebekah Hayden says.

“Last year, Gina's Ecuador CEO Carlos de Miguel was arrested for an alleged illegal weapons cache, and before that saw 10,000 illegal miners arrive in 2018 in the search for gold on Rinehart’s concessions. The army was called in 2019 after armed militia began competing for dominance and several people were killed, their bodies stuffed down mine shafts. Several people are still missing,” Rebekah Hayden says.

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Gina Rinehart’s Ecuador concession faces new trouble

Locals at Gina Rinehart’s Ecuador concessions protesting “invasion” by company and military

The Ombudsman's Office of Ecuador has called on the National Government to suspend all mining activities in the Buenos Aires parish where Rinehart has several concessions, after what it deemed was excessive military force against inhabitants resisting mining. The Buenos Aires community says they have not been consulted and do not want a mine in their area.  

A woman in Buenos Aires. Image credit: Amaru Qu

Resistance against Hancock’s Ecuador subsidiary, Hanrine Ecuadorian Exploration and Mining S.A, has been building in the last few weeks, with the company attempting to move machinery and personnel into the area despite a State of Emergency and curfews due to COVID-19.

“Villagers say Hanrine is acting illegally in trying to forcibly enter their territories. They do not want any kind of mining in their territories, particularly a foreign-owned mine, and they view the incursion as a violation of their rights. Despite reports in Australian and Ecuadorian press that resistance in the area was by illegal miners, locals insist this is not the case, saying that Hanrine is conducting a smear campaign against them,” says Rebekah Hayden, a member of the Rainforest Action Group, a research and advocacy group investigating Australian mining companies acting in Ecuador.

“Hanrine have contracted a high-placed constitutional lawyer who sent a threatening letter to the Buenos Aires Parish government president, saying they are starting procedures to remove her from office, and may take her to court for violating the company's constitutional rights over allegedly restricting them from accessing their concessions. They have also said she is working with illegal miners, which is not the case,” Rebekah Hayden says.

“Villagers feel the state has abandoned them after authorities abruptly left the dialogue table on April 23 without resolving the conflict caused by the mining company. This contradicts statements by pro-mining newspaper Prensa Minera Ecuador that a resolution was reached,” Rebekah Hayden says.

Heavy military and police presence. Image credit: Amaru Qu

“The government has responded to the resistance by sending in the military and national police in what was seen by many to be a heavy-handed response. The Ombudsman’s Office of Ecuador denounced the use of excessive military force against inhabitants on April 24, and has asked the Government to suspend mining activities. The Alliance of Human Rights has also called on the Government to respect people’s rights to protest,” says Rebekah Hayden.

“The situation has been intensified by concerns that Hanrine’s movements are putting the population at risk of COVID-19. The area is currently under a State of Emergency, with a night curfew, and movement between areas restricted. However on April 19, a backhoe entered, along with 7 trucks carrying machinery and approximately 25 pickups moving mining personnel into the area,” says Rebekah Hayden.

“The community has called for a constitutional injunction to stop Hanrine operating. Inhabitants state the company did not conduct environmental consultation with the people before entering their territory and that there is a report from the Comptroller General of the State complaining irregularities in the delivery of concessions to Hanrine,” Rebekah Hayden says.

“This is only the latest travesty for Gina, after her Ecuador CEO Carlos de Miguel was arrested for an alleged illegal weapons cache, and follows two years of upheaval for the small town which saw 10,000 illegal miners arrive in 2018 in the search for gold on Rinehart’s concessions. The army was called in 2019 after armed militia began competing for dominance an several people were killed, their bodies stuffed down mine shafts. Several people are still missing. The situation has only deterred locals further from mining of any sort,” Rebekah Hayden says.

LETTER FROM HANRINE TO LOCAL GOVERNMENT PRESIDENT HERE

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UNESCO Biosphere Reserve threatened by BHP, SolGold and other miners

Protest in Ecuador over UNESCO Biosphere Reserve threatened by SolGold, BHP and other miners

Yesterday marked 60 days of protest against mining for people in the Parish of Pacto in Ecuador. In December, the Pacto parish declared an indefinite protest, arguing that mining activity threatens the biodiversity and water sources of the Chocó Andino reserve, home to the endangered Andean Bear.

One of the incredible amphibian species of the Choco Andino Biosphere Reserve

UNESCO added the Chocó Andino reserve to its list of Biosphere Reserves in 2018. The reserve covers 286,000 hectares of the Chocó Andino, and represents around a third of the Province of Pichincha, of which the parish Pacto is a part. The cloudforest is home to around 350 bird species, hundreds of orchids and bromelias, and 100 species of mammals, including the spectacled bear.

In 2011, the Quito Metropolitan Board declared Pacto’s micro-river basins be protected due to their importance for ecosystems in the area, explicitly prohibiting mining and drilling activities. However, in 2018 a number of mining concessions in the area were handed out.

"The Chocó Andino Reserve is now surrounded by dozens of mining concessions, and illegal mining is encroaching within the reserve. Community organisations say that mining is threatening the water sources of the reserve," says Rebekah Hayden, a writer and researcher for the Rainforest Action Group, an advocay and research group.

"SolGold subsidiary Valle Rico Resources holds several concessions around the Reserve, including two in neighbouring province Esmeraldas. BHP's Sabeleta concessions are just to the north of the Pichincha border, while Ecuador state company ENAMI is exploring on concessions within the Reserve area," says Rebekah Hayden.

"Sources in Pacto tell us that Gina Rinehart’s Ecuador subsidiary Hanrine has put in a bid for two concessions in the Pichincha province – Lorena 2 and 3, which are expected to be accepted once the mining cadaster opens again in April," says Rebekah Hayden.The Reserve includes nine Protected Forests, the Andean Bear Ecological Corridor, three Conservation and Sustainable Use Areas, multiple private reserves and a National Park: the Pululahua Geobotanical Reserve.

UNESCO map showing Choco Andino Biosphere Reserve

In October 2020, the Metropolitan Board passed a resolution to support conservation in the area, but Pacto communities say mining exploration is continuing regardless, and is contaminating the Reserve.

Elcomercio reports conservation groups as saying mining is “not compatible with the biodiversity of the area, nor with the sustainable production that is part of the management plan for these areas. They pointed out the use of dynamite and other explosive materials, the contamination of the water, the fragmentation of the communities, the damage to the landscape”.

On December 18 2020, the Parish of Pacto declared the protest, demanding the departure of the three mining companies operating their concessions in the sector, and calling for greater control of illegal mining activities by authorities.

"Illegal mining has proliferated in Ecuador since the expansion of legal mining concessions, with illegal mining operations increasingly run by armed militia connected to cocaine cartels and ex-FARC dissidents. In January 2020, police uncovered an illegal mining operation in Pacto, which contaminated the area with hazardous wastes, while hydrocarbons, dynamite and materials for mining were seized," says Rebekah Hayden.

"Resistance to mining projects across Ecuador is growing with a popular consultation on February 7 in Cuenca showing 80% of the population wants to prohibit large and medium- scale mining activities in their river water recharge zones," says Rebekah Hayden.

"The consultation is expected to form the basis of a major legal challenge at the Constitutional Court level and could halt the development of mining projects in the region. SolGold project El Cisne 1A is in the Cuenca province," says Rebekah Hayden.

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Google Earth map showing Pacto and all mining concessions outlined in red. SolGold concessions are shaded in green. Dark green shaded areas indicate Protected Forests. Compare with UNESCO map above showing Biosphere Reserve which covers much of the Pacto Parish.

Australian concessions within Pichincha province:
Fortescue: Santa Ana 1, 2a
SolGold: El Decanso 1b; San Miguel 1,2,3,4

Closest Australian concessions to Pacto:
BHP: Sabeleta 3,4 in Imbabura province
SolGold: Aurora 1,2 in province of Esmeraldas