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Why are Armenia's Natural Resources So Attractive?
By MassisPost
Updated: September 5, 2014
The interest of mining companies is not attenuating towards Armenia's
natural resources. On September 7, 2014 Dundee Precious Metals (DMP)
Inc. along with Canada-Armenia Business Council is organizing a forum
titled The Mining Industry in Armenia and the Role of Canadian Mining
Companies. According to Hratch Jabrayan, Vice President and General
Manager of Dundee Precious Metals Kapan, "The purpose of the forum is
to discuss the development prospects of the mining industry in Armenia
as well as increase the number of investors in the country."
We all know very well that today the natural resources of the less
developed countries buried in corruption are viewed as a "delicious
slice" for more developed countries. The global mining "machine" with
nice terms, promising words and in the name of international standards
continues to ruthlessly exploit the natural resources of the less
developed countries, paying minimal taxes and fees, utilizing the
useful minerals and then leaving the country having caused
irreversible damage to the environment and human health. It is obvious
that it would have been impossible for the global mafia to accomplish
the above mentioned without the active participation and support of
the high-ranking officials of the governing bodies in the less
developed countries. The high-ranking officials do not waste any
effort to rob the natural resources at a fast and unobstructed pace
since a certain portion of profits reach them as well.
This forum to be held in Toronto reminds us of the international
conference hosted in Yerevan in 2014 from March 25th through 26th,
where international banks and other financial institutions, foreign
ambassadors, local and international experts and certain mining
companies gathered to discuss the upcoming primary mining activities
and directions in Armenia. The RA government's participation in the
conference was limited to mainly secondary faces; all of the
high-ranking officials were either not present during the two-day
discussion or left the discussion shortly after the commencement. And
now Dundee Precious Metals Inc. is organizing a forum in Canada, with
the participation of the company's directors and stockholders,
Canadian companies, representatives of the Canadian-Armenian
community, Armenian clergy, Canada's Labor Minister, Ambassador of the
Republic of Armenia to Canada and former Governor of Syunik Vahe
Hakobyan.
"Dundee Precious Metals Kapan" Company (formerly "Deno Gold Mining")
is exploiting the Shahoumyan Gold Polymetallic Mine located in the
Syunik Province (Marz). Interestingly, the public is well aware of
this company's activities which plans to present and discuss the
mining industry's status and future plans at this forum. Pan-Armenian
Environmental Front (PAEF) published anarticle on May 13, 2013 in
hetq.am where it addressed in detail the main facts related to the
company's activities that contradicted the Canadian company's declared
high values to not harm the environment, respect human health, life
and work. These facts, especially those related to the workers' rights
violations, were later confirmed by the company's representative
attorney Sedrak Asatryan during a press conference. After all that the
company did not attempt to correct its violations and publicly respond
to them, but instead resorted to manipulation by changing their name
from "Deno Gold Mining" to "Dundee Precious Metals Kapan."
Once again we would like to remind the Canadian-Armenian businessmen,
former Syunik Province Governor and the decision-makers at the
government level today that Armenia has a total area of 29.7 thousand
square kilometers, where approximately 460 mines already have
permission for exploitation, out of which 26 are metal mines, and
additional 71 metal mines are currently in the study phase and waiting
to be exploited. As a result, there are already a few hundred million
tons of tailings in 25 open and closed tailing dumps, which are
saturated with heavy metals and other dangerous substances. If we
continue at these rates, after 2-3 decades there will be hundreds of
toxic and extremely dangerous tailing dumps in Armenia, which could be
disastrous for the country and its people.
Thousands of hectares of land are already buried under minimal-ore
bearing rocks, and the soil is already rich in heavy metals and other
dangerous substances. Forest ecosystems, such as Teghout Forest, that
were created over the centuries are being destroyed for short-term
gain. The surface and ground waters are contaminated from the
absorption of the tailing waste and drains released from the tailing
dumps, which are later used for irrigation purposes and the heavy
metals get transported to the agricultural products and eventually end
up in the human organism (see relevantscientific research). And about
90 percent of all this is occurring in the Syunik Province with only
4506 square kilometer.
Of course, the conditions for exploiting Armenia's metallic useful
minerals are very attractive, as our so-called government have not
only given 100% permission to foreign companies mostly registered in
offshore zones to use the wealth that belong to the people but have
also created a legal and tax system to make the mining companies feel
at home. For the extraction of the natural resources granted by nature
to us and the future generations, the rates that have been set are no
different than rates imposed in other areas of economy, when they
should be much higher.
In Armenia, the mining companies are entirely exempt from paying fees
for the tailings, waste dumps and minimal-ore bearing rocks. Even if
these were taxed at the lowest rates, such as in Estonia where 1 ton
is taxed 1.06 euros, then each year a few 100 million euros will be
collected in Armenia, which would make up a lot more money than all
the current taxes and fees combined together paid by the mining
companies annually.
The environmental fees and penalties for polluting our homeland's
environment and endangering human health are so low that it is more
advantageous for the polluters to pay these fees and penalties than to
invest in new technology and cleaning systems. Due to almost complete
absence of oversight, these companies do not even adhere to the laws
and the conditions outlined in the permits.
Can anyone recall where the raw materials from the mining industry
extracted in Armenia are being used? We do not have any enterprise
that will convert the raw material into a final product. It seems that
the vigorous desire to earn money immediately has blinded the
officials and the foreign governments are using the opportunity very
willingly to get the necessary raw materials from us at discounted
prices. The statements about mining industry creating jobs in Armenia
are lacking evidence, because according to the Statistical Service of
Armenia in 2011 only 15,500 people worked in the mining sector, which
amounted to only about 1% of the total employment and it contributed
to the GDP growth by only 3%. All these facts are undeniable. We
should ask the Canadian government and the people whether they would
agree for mines to be exploited under these conditions in their
country or not?
We are forced to highlight that we do not have an administrative
system that defends the interests of Armenia. Today the government is
buried in corruption, and the government is managed like a business.
However, the problem is systemic. As long as systemic and fundamental
changes have not been performed in Armenia, particularly revision of
mining and environmental legislation, taxes and other fees, the mining
projects do not have long-term plans, assessment of the expected
profits and long-term ecological damage is not carried out, and
profits from the mine exploitation do not serve for the actual
empowerment of Armenia, we, as Armenian people and citizens of
Republic of Armenia, are announcing that we will take every step to
stop the destructive process, and strongly condemn such discussions
and forums organized by mining companies that only serve to exploit
the natural resources of Armenia at a faster rate.
We would like to bring everyone's attention to the following two
documentaries, which illustrate who is exploiting Armenia's natural
resources, how they are being exploited, what environmental and health
problems are caused by exploitation of the mines and finally what are
the Armenian people getting from all of this.
Armenia's Breaking Backbone - Environmental documentary with English subtitles
https://www.youtube.com/watch?v=eyRdxRT2v5Y
Mining is a Threat to Syunik - AR TV station report with English subtitles
https://www.youtube.com/watch?v=QYkGXzUahyc
For more information, contact Pan-Armenian Environmental Front (PAEF)
Website: http://www.armecofront.net/
Facebook page: https://www.facebook.com/armecofront
YouTube Channel: http://www.youtube.com/user/armecofront
Email: [email protected]
http://massispost.com/2014/09/why-are-armenias-natural-resources-so-attractive/
By MassisPost
Updated: September 5, 2014
The interest of mining companies is not attenuating towards Armenia's
natural resources. On September 7, 2014 Dundee Precious Metals (DMP)
Inc. along with Canada-Armenia Business Council is organizing a forum
titled The Mining Industry in Armenia and the Role of Canadian Mining
Companies. According to Hratch Jabrayan, Vice President and General
Manager of Dundee Precious Metals Kapan, "The purpose of the forum is
to discuss the development prospects of the mining industry in Armenia
as well as increase the number of investors in the country."
We all know very well that today the natural resources of the less
developed countries buried in corruption are viewed as a "delicious
slice" for more developed countries. The global mining "machine" with
nice terms, promising words and in the name of international standards
continues to ruthlessly exploit the natural resources of the less
developed countries, paying minimal taxes and fees, utilizing the
useful minerals and then leaving the country having caused
irreversible damage to the environment and human health. It is obvious
that it would have been impossible for the global mafia to accomplish
the above mentioned without the active participation and support of
the high-ranking officials of the governing bodies in the less
developed countries. The high-ranking officials do not waste any
effort to rob the natural resources at a fast and unobstructed pace
since a certain portion of profits reach them as well.
This forum to be held in Toronto reminds us of the international
conference hosted in Yerevan in 2014 from March 25th through 26th,
where international banks and other financial institutions, foreign
ambassadors, local and international experts and certain mining
companies gathered to discuss the upcoming primary mining activities
and directions in Armenia. The RA government's participation in the
conference was limited to mainly secondary faces; all of the
high-ranking officials were either not present during the two-day
discussion or left the discussion shortly after the commencement. And
now Dundee Precious Metals Inc. is organizing a forum in Canada, with
the participation of the company's directors and stockholders,
Canadian companies, representatives of the Canadian-Armenian
community, Armenian clergy, Canada's Labor Minister, Ambassador of the
Republic of Armenia to Canada and former Governor of Syunik Vahe
Hakobyan.
"Dundee Precious Metals Kapan" Company (formerly "Deno Gold Mining")
is exploiting the Shahoumyan Gold Polymetallic Mine located in the
Syunik Province (Marz). Interestingly, the public is well aware of
this company's activities which plans to present and discuss the
mining industry's status and future plans at this forum. Pan-Armenian
Environmental Front (PAEF) published anarticle on May 13, 2013 in
hetq.am where it addressed in detail the main facts related to the
company's activities that contradicted the Canadian company's declared
high values to not harm the environment, respect human health, life
and work. These facts, especially those related to the workers' rights
violations, were later confirmed by the company's representative
attorney Sedrak Asatryan during a press conference. After all that the
company did not attempt to correct its violations and publicly respond
to them, but instead resorted to manipulation by changing their name
from "Deno Gold Mining" to "Dundee Precious Metals Kapan."
Once again we would like to remind the Canadian-Armenian businessmen,
former Syunik Province Governor and the decision-makers at the
government level today that Armenia has a total area of 29.7 thousand
square kilometers, where approximately 460 mines already have
permission for exploitation, out of which 26 are metal mines, and
additional 71 metal mines are currently in the study phase and waiting
to be exploited. As a result, there are already a few hundred million
tons of tailings in 25 open and closed tailing dumps, which are
saturated with heavy metals and other dangerous substances. If we
continue at these rates, after 2-3 decades there will be hundreds of
toxic and extremely dangerous tailing dumps in Armenia, which could be
disastrous for the country and its people.
Thousands of hectares of land are already buried under minimal-ore
bearing rocks, and the soil is already rich in heavy metals and other
dangerous substances. Forest ecosystems, such as Teghout Forest, that
were created over the centuries are being destroyed for short-term
gain. The surface and ground waters are contaminated from the
absorption of the tailing waste and drains released from the tailing
dumps, which are later used for irrigation purposes and the heavy
metals get transported to the agricultural products and eventually end
up in the human organism (see relevantscientific research). And about
90 percent of all this is occurring in the Syunik Province with only
4506 square kilometer.
Of course, the conditions for exploiting Armenia's metallic useful
minerals are very attractive, as our so-called government have not
only given 100% permission to foreign companies mostly registered in
offshore zones to use the wealth that belong to the people but have
also created a legal and tax system to make the mining companies feel
at home. For the extraction of the natural resources granted by nature
to us and the future generations, the rates that have been set are no
different than rates imposed in other areas of economy, when they
should be much higher.
In Armenia, the mining companies are entirely exempt from paying fees
for the tailings, waste dumps and minimal-ore bearing rocks. Even if
these were taxed at the lowest rates, such as in Estonia where 1 ton
is taxed 1.06 euros, then each year a few 100 million euros will be
collected in Armenia, which would make up a lot more money than all
the current taxes and fees combined together paid by the mining
companies annually.
The environmental fees and penalties for polluting our homeland's
environment and endangering human health are so low that it is more
advantageous for the polluters to pay these fees and penalties than to
invest in new technology and cleaning systems. Due to almost complete
absence of oversight, these companies do not even adhere to the laws
and the conditions outlined in the permits.
Can anyone recall where the raw materials from the mining industry
extracted in Armenia are being used? We do not have any enterprise
that will convert the raw material into a final product. It seems that
the vigorous desire to earn money immediately has blinded the
officials and the foreign governments are using the opportunity very
willingly to get the necessary raw materials from us at discounted
prices. The statements about mining industry creating jobs in Armenia
are lacking evidence, because according to the Statistical Service of
Armenia in 2011 only 15,500 people worked in the mining sector, which
amounted to only about 1% of the total employment and it contributed
to the GDP growth by only 3%. All these facts are undeniable. We
should ask the Canadian government and the people whether they would
agree for mines to be exploited under these conditions in their
country or not?
We are forced to highlight that we do not have an administrative
system that defends the interests of Armenia. Today the government is
buried in corruption, and the government is managed like a business.
However, the problem is systemic. As long as systemic and fundamental
changes have not been performed in Armenia, particularly revision of
mining and environmental legislation, taxes and other fees, the mining
projects do not have long-term plans, assessment of the expected
profits and long-term ecological damage is not carried out, and
profits from the mine exploitation do not serve for the actual
empowerment of Armenia, we, as Armenian people and citizens of
Republic of Armenia, are announcing that we will take every step to
stop the destructive process, and strongly condemn such discussions
and forums organized by mining companies that only serve to exploit
the natural resources of Armenia at a faster rate.
We would like to bring everyone's attention to the following two
documentaries, which illustrate who is exploiting Armenia's natural
resources, how they are being exploited, what environmental and health
problems are caused by exploitation of the mines and finally what are
the Armenian people getting from all of this.
Armenia's Breaking Backbone - Environmental documentary with English subtitles
https://www.youtube.com/watch?v=eyRdxRT2v5Y
Mining is a Threat to Syunik - AR TV station report with English subtitles
https://www.youtube.com/watch?v=QYkGXzUahyc
For more information, contact Pan-Armenian Environmental Front (PAEF)
Website: http://www.armecofront.net/
Facebook page: https://www.facebook.com/armecofront
YouTube Channel: http://www.youtube.com/user/armecofront
Email: [email protected]
http://massispost.com/2014/09/why-are-armenias-natural-resources-so-attractive/