1. Artisanal Gold Mining in Northwestern Argentina
Roberto Sarudiansky 1,2
Heinrich Kleine Hering1
6th Annual CASM Conference
Antsirabe, Madagascar, November 2006
Fundación Ecoandina 1
San Martín National University 2

2. Bolivia Argentina Chile Salta Province Jujuy Province
6th Annual CASM Conference
Antsirabe, Madagascar, November 2006

3. Economic and Social Indicators
ARGENTINA
JUJUY
SANTA CATALINA
RINCONADA
GDP (2005)
171 billion
1,1 billion
----
GDP per capita (2005)
u$s 4.446
u$s 1.804
Unemployment
(2001)
9,6 %
10,8 %
UBN (2001)
17,7 %
28,8 %
38,6 %
46,1 %
Illiteracy (2001)
2,6 %
4,7 %
13,6 %
6th Annual CASM Conference
Antsirabe, Madagascar, November 2006

4. Mining in Argentina Early 90’s
The production value was around US$ 450 million
Mainly exploitation of industrial minerals and ornamental rocks (Metals represented less than 20%)
Low exploration activities
Absence of a global environmental legislation
2005
The value of total mining production was US$1,9 billion (Metals represent more than 57%).
Mining exports were US$1,5 billion.
Mining investment was US$805 million.
Mining drilling was m
Large corporations mining production represents more than 50%
6th Annual CASM Conference
Antsirabe, Madagascar, November 2006

5. Background The Puna is a plateau in the NW of Argentina
The Puna has an old mining tradition
Mining (lead, zinc, silver, tin, gold and iron – small and medium size mines) was very important in Jujuy Province economy during the first half of last century
There is just one important mine in operation today: Mina Aguilar (lead, zinc, silver)
Mina Pirquitas (tin and silver) is restarting operation
Gold extraction in rivers and placers has been an alternative productive activity
Some small size private projects in gold placers started operating in the area - conflicts with local communities (agriculture vs. mining)
6th Annual CASM Conference
Antsirabe, Madagascar, November 2006

6. Background (cont.)
In the 80’s three government agencies implemented a gold program in the Puna: Provincial Mining Directorate, National Development Bank and Federal Investment Council.
Activities consisted of:
Technical assistance
Legal assistance
Purchasing of production
Organization of working groups
800 “miners” participate in this program
Production increased to 30 kg/year
Gold price on site was market price (twice the previous price)
6th Annual CASM Conference
Antsirabe, Madagascar, November 2006

7. Characterization of the deposits and extractive activities
Artisanal gold extraction in rivers and placers with low technology and infrastructure
Gold contents are about 3 to 5 g/m3 in rivers and 1 g/m3 in placers
The process is “ clean”: no mercury or cyanide are needed
The product may be considered as “ecologic gold”
6th Annual CASM Conference
Antsirabe, Madagascar, November 2006

8. 6th Annual CASM Conference Antsirabe, Madagascar, November 2006

9. 6th Annual CASM Conference Antsirabe, Madagascar, November 2006

10. 6th Annual CASM Conference Antsirabe, Madagascar, November 2006

11. Current situation
The economy and infrastructure in this region is poorly developed and the government (provincial, national) is not very interested in this region
Artisanal gold miners are still working but in a very small scale
Artisanal gold miners have neither technical nor economic assistance from government agencies
The only ongoing assistance is from Ecoandina Foundation:
Assistance with equipment and organization of working groups
On site purchasing of gold production
Introduction of the “fair trade” concept
6th Annual CASM Conference
Antsirabe, Madagascar, November 2006

12. 6th Annual CASM Conference Antsirabe, Madagascar, November 2006

13. Ecoandina
Founded in 1999 to integrate private initiatives on environmental and social projects in the area of Puna.
Projects
Solar energy (cookers, pumps, room heating, etc.)
Drip irrigation
Water supply
Ecological mining
Education
6th Annual CASM Conference
Antsirabe, Madagascar, November 2006

14. Ecologic Gold in Puna Region Proyect
Objective: To improve life quality in the local communities of Santa Catalina and Rinconada Counties, Jujuy Province
5 Communities involved:
Misa Rumi, Santa Catalina County
Casa Colorada, Rinconada County
Rinconada, Rinconada County
Lagunillas de Farrallón, Santa Catalina County
San Juan and Oros, Santa Catalina County
6th Annual CASM Conference
Antsirabe, Madagascar, November 2006

15. Ecologic Gold in Puna Region Proyect - Activities
To provide information to communities on ecological gold and fair trade concepts
To assist gold miners on extractive methods
To assist gold miners on gold marketing
To register artisanal gold miners
To organize working groups and assist them on efficient work organization and equipment use
To establish links with fair trade organizations
To develop an on site certified system for ecologic gold purchases
To link the project with other regional social projects
To assist local authorities and NGO’s to identify alternative sources of funds applied to development
To identify possible conflicts (use of lands, water resources) and to propose solutions
6th Annual CASM Conference
Antsirabe, Madagascar, November 2006

16. Muchas gracias Misaotra tampoko ecoan@imagine.com
6th Annual CASM Conference
Antsirabe, Madagascar, November 2006