Tag Archives: Aurum

It is not ” Aurum ” All that glitters

The old Latin word for gold, "Aurum", was reborn in our midst and is often heard in some units of the ministries of Industry, Energy and Mining (MIEM) and Housing Land Use and Environment (MVOTMA).Its use in these areas could be related to the gold mining operations in Rivera, more precisely in Minas de Corrales, Orosur (Loryser SA) mining claims now to continue with its mining operations by reducing the tax exemption canon.Yet, paradoxically, this Aurum has no relation to gold in our country, but with iron.At the outbreak of the Guarani language Aratirí, linked to more exotic word "Zamin" it would now be followed by the Latin word Aurum related, in the global world today, not with Rome but with India.A few hours after the legal deadline for Minera SA Aratirí sign a contract with the government to extract iron in our territory, changes in the corporate boards of Aratirí group presented at the National Directorate of Environment (DINAMA) runs give that the familiar face of Mr. Pramod Agarwal and will not often seen in Uruguay, and perhaps less in the Executive Tower. His name and that of its representatives has been replaced by those of members of Aurum Ventures in official documents.Aurum Ventures Private Limited Ashish Deora is a company with offices in Mumbai (India) which until now had only dabbled in mining issues in Africa, and that only the level of resource exploration in Tanzania and Mozambique.Now the company says on its website (1) it has acquired interests in Uruguay Zamin Ferrous (Aratirí) and Brazil (Zamapa).So when already in several media statements by the Minister Carolina Cosse in the sense that it will not sign any contract with Aratirí. The reason would be that the company Minera SA Aratirí not complete, since its introduction four years ago, the studies required to obtain environmental clearance.While it is remarkable that a national authority is aware of this lack, it is still worrying that according to the article published last week in search, only a week ago the Ministry itself that directs Ing. Cosse was sending Minera I Aratirí draft contract for review.You can add that to sign the contract also need to Aratirí present the guarantees stipulated by our legislation and on the other, not the observations and requirements that may have made the project the National Directorate of Mines and Geology (DINAMIGE) known under the MIEM and that despite the court ruling in favor, it has not been able to access the company reports to the MIEM.Outside the legal, technical and economic failures of Aratirí, the requirement that the contract date of commencement of mining works(2) stipulated unfeasible signing the contract when the international price of ore is below cost extraction sites such as Valentines.The situation in the international iron ore market, with plenty of product extracted from sites with high concentration, coupled with the retraction of the main buyer (China), made analysts predict that prices will remain low for several years(3)Given this situation, one wonders why the presence and interest of Aurum Ventures in Uruguay, when it is clear that the market will not change much, and less on the 270 days Aurum can extend the deadline to sign the contract by submitting another bidder that is done by the project, as required by law.If not now introduces a new interest in the exploitation of deposits or if this occurs, but do not reach an agreement in 270 days, then the state has the right, not the obligation, to acquire the information of the company(4 ).This requires first decide if the benefit of the country to acquire this information, referring to sites known and studied by the state for more than 50 years(5) does.If you decide to purchase, then it is important to know the value that can have this information and it is an index to meet the investment made by the company to get it.In this regard, in October 2011 Aratirí expressed in official documents submitted to DINAMA have invested $ 60 million, and so looks on page 3 of Chapter 0 of Volume 1 of document.(6).Only three months later, in January 2012 when it was over personal unemployment insurance and stopped exploration activities, the company presented in their brochures press had invested $ 170 million.(7)This new figure of 170 million remained until June 2012(8)In January 2013, six months later, almost all staff in unemployment insurance without having mining activity in Uruguay, the company declared in a statement posted on its website to 200 million invested.(9)No new references to the subject until 2014, when the statements appear in different media of then President Jose Mujica and Repulica Senator Agazzi placed investment by Minera SA Aratirí 300 million.(10)The most obvious question is: How do we reach this figure five times higher than the official document of October 2011?That question is much more than rhetoric, when that investment is measured to determine the value that may have information that could buy the state.There being no other business opportunity and being that not signing the contract mining rights are lost, just left to wonder:Will the sale of that information the reason why Aurum Ventures (CEO Mr.Ashish Deora). has taken over Aratirí?