Mining: Mexico captures US $ 1,050 million of FDI in 2Q21
Mexico captured 1,050 million dollars of Foreign Direct Investment (FDI) in the mining sector during the first quarter of 2021, reported the Ministry of Economy.
Since the second quarter of 2014, Mexico had not received an amount greater than that amount.
Mining in Mexico is controlled by the Ministry of Economy through the General Directorate of Mines, which is located and officially administered from the City of Chihuahua, with offices in Mexico City.
In Mexico, mining activities include independent extraction activities for oil, natural gas and radioactive minerals, and certain non-metallic minerals such as construction and ornamentation materials, some of which are not subject to mining legislation.
In addition to extraction activities, mining, smelting and refining activities are also considered part of the mining industry, which are collectively known as mining-metallurgical activities.
The largest flow of FDI captured by Mexico for a quarter occurred from October to December 2013, when arrivals were for 2.208 million dollars.
FDI
Mining concessions in Mexico can only be obtained by Mexican citizens or Mexican companies incorporated under Mexican law (which could be wholly owned by foreign investors).
Construction of processing plants requires more government approvals (for example, federal, local, and municipal permits).
Likewise, in Mexico, surface land rights are different from mining concessions.
The holder of a mining concession is granted the exclusive right to explore and develop a designated area.
Mining concessions are granted for 50 years from the date of their registration in the Public Mining Registry to the concessionaire as a matter of law, if all regulations have been met.
During the last five years of this period, the concessionaire may request an additional period of 50 years, which will be granted provided that all other terms of the concession have been met.
Regarding mining rights in Mexico, these can be transferred by their private holders without restrictions or requirements other than registering the transaction in the Public Mining Registry and that the transferee is qualified to own a concession (that is, a Mexican citizen or a company Mexican incorporated under the law that has the mining activity as its main corporate purpose).
Values can be imposed on mining concessions.
The instrument that formalizes the corresponding guarantee will also be registered with the Public Mining Registry.
