Presentation is loading. Please wait.

Presentation is loading. Please wait.

1 Maria Constanza Garcia President March 2013 THE NATIONAL AGENCY OF MINING IS THE POINT OF ENTRY FOR COMPANIES CONDUCTING MINING BUSINESS IN COLOMBIA.

Similar presentations


Presentation on theme: "1 Maria Constanza Garcia President March 2013 THE NATIONAL AGENCY OF MINING IS THE POINT OF ENTRY FOR COMPANIES CONDUCTING MINING BUSINESS IN COLOMBIA."— Presentation transcript:

1 1 Maria Constanza Garcia President March 2013 THE NATIONAL AGENCY OF MINING IS THE POINT OF ENTRY FOR COMPANIES CONDUCTING MINING BUSINESS IN COLOMBIA

2 STRONGER AND CLEARER ORGANIZATIONS: Structure of the Mining sector National Agency of Mining Colombian Geological Service Monitoring Markets & Sector Planning Monitoring Markets & Sector Planning Deputy Minister of Mining Deputy Minister of Energy Entities with specific functions Minister of Mining and Energy Mining Authority Subsurface Knowledge Mining and Energy Planning Unit

3 President Legal Office Office of Technology and Information Internal Controls Office Vice President of Contracting and Titles Vice President of Monitoring, Control and Mine Safety Vice President of Promotion and Development Vice President of Administration and Finance Registry Management Management of Mining Titles Management of Mine Security and Rescue issues Management of Monitoring and Control Royalty Collection Management Management of Small and Medium Scale Mining Promotion Management Board ORGANIZATIONAL STRUCTURE OF NAM Mining Authority

4 Promote and encourage development of mining. Management of mineral resources for and on behalf of the state. Hold, manage and track concession and mining rights for exploration and development of minerals. Managing the national mining registry. Calculate, collect, manage and transfer royalties and compensation. Article. 4 Decree 4134/2011 MAIN FUNCTIONS

5 OPPORTUNITIES IN COLOMBIA Colombia is a destination for investment Countries that attract investment in the mining sector Source: (Graph 1) Corporate Exploration Strategies 2012, Economic Metals Group- MEG. (Graph 2) Survey of mining companies 2011/2012 (25 countries) by the Behre Dolbear Group. Top destinations for exploration investment 25% of the global exploration budget

6 OPPORTUNITIES IN COLOMBIA There are 50 new investment projects in 13 reigons +5,9% Source: National Bureau of Statistics - DANE. Mining and Energy Planning Unit-UPME. Ministry of Mines and Energy. Coal Production

7 OPPORTUNITIES IN COLOMBIA Mineral Production Nickel Production Gold Production Silver Production2012 Regional Coal Production

8 OPPORTUNITIES IN COLOMBIA OPPORTUNITIES IN COLOMBIA We are ranked in the top 10 for worldwide producers and exporters of coal Source: The Mining sector has provided a significant source of economic growth for the Colombian economy

9 What are we doing? Comprehensive Audit Safety and Rescue Applications Backlog Processed Promotion and Development Strategic Mining Areas CONTENT

10 By March 1: 1,759 reviews of existing contracts for compliance with conditions 438 field inspections 330 comprehensive audit reports Comprehensive Audit of all 9,500 mining titles Support Activities of Comprehensive Audit Group 1: HMV Engineers - GENIVAR Colombia Group 2: Bureau VeritasColombia,-Tecnicontrol and BVQI Up to 4 ** more than1,400 reports 4* annual visits to titles in the development stage 2 annual visits to titles in the exploration stage 1,400** comprehensive audit reports per month 100% of mining titles fully audited this year 2% of royalties assigned to review process costs CAD$191 M COMPREHENSIVE AUDIT New Approach

11 850 CAD$5.6 million Rescue workers (National Mining Rescue) Contract awarded to purchase lifesaving equipment (breathing apparatus) Emergencies attended Accident prevention visits to mine title holders SAFETY AND RESCUE All emergencies attended Promote a culture of accident prevention

12 Comprehensive Audit Applications Backlog Processed Promotion and Development Strategic Mining Areas What are we doing? CONTENT

13 By March 1: 11,361 Requests evaluated (58%) 977 titles granted Processed all applications for temporary licenses 19,629 requests evaluated by mid year Re-open applications system New registration information system Migrate geographic information system to Magna – SIRGAS Evaluate locations available for new mining activities APPLICATIONS BACKLOG PROCESSED 19,629 Mining Application Requests

14 Comprehensive Audit Applications Backlog Processed Promotion and Development Strategic Mining Areas What are we doing? CONTENT

15 52 signed contracts for legalization of traditional mining activities since June 2012 (Antioquia, Boyacá, Caldas, Caquetá, Cundinamarca, Guajira, Meta, Santander, Sucre and Tolima) Legalization of traditional mining activities and technical support to SMEs Support sessions for legal transition to formal economy (Boyacá, Antioquia, Córdoba, Cundinamarca and Huila) Support forums for provision of additional training: Guainía, Cauca, Vaupés, Vichada and Putumayo PROMOTION OF SMALL AND MEDIUM SCALE MINING

16 Comprehensive approach: social, environmental, economic and legal New scheme to contract extensions Cerro Matoso S.A Paz del Río Mining S.A. (Iron & Coal) TRANSPARENCY AND CERTAINTY Cerro Matoso changed the way to negotiate contracts Coal Agreement with Paz del Río (Votorantim) total value of CAD$7.3 bn New Agreement with Paz del Río Mining totals CAD$7.3 bn Cerro Matoso shows the way for new mining contracts

17 What are we doing? Comprehensive Audit Applications Backlog Processed Promotion and Development Strategic Mining Areas CONTENT

18 STRATEGIC MINING AREAS (SMA): Background Strategic Mining Areas (SMA) contracts awarded through a competitive process which seeks greater total benefits through increased investment and production. Encourage the exploration and development of mineral resources, fulfilling international, social and environmental standards

19 19 Geoscientific data compilation Structuration process Launching the Process 1st Competitive Process Semester Semester STRATEGIC MINING AREAS (SMA): Stages

20 Geological mapping and exploration methods - not ground disturbing (CGS) Prospecting and exploration Development 1st Competitive Process of SMA STRATEGIC MINING AREAS (SMA): Scope

21 21 STRATEGIC MINING AREAS (SMA): Inter-Agency Coordination Scheme 1.Single channel communication under the liaison model 2.Formal and informal relations to facilitate routine inter-agency cooperation 3.Joint training to foster understanding of each agencys role 4.Mechanisms for sharing data 5.Common language and unified messages 6.Environmental and social assessments 7.Technical input for the Competitive Process 1.Single channel communication under the liaison model 2.Formal and informal relations to facilitate routine inter-agency cooperation 3.Joint training to foster understanding of each agencys role 4.Mechanisms for sharing data 5.Common language and unified messages 6.Environmental and social assessments 7.Technical input for the Competitive Process

22 Thank you


Download ppt "1 Maria Constanza Garcia President March 2013 THE NATIONAL AGENCY OF MINING IS THE POINT OF ENTRY FOR COMPANIES CONDUCTING MINING BUSINESS IN COLOMBIA."

Similar presentations


Ads by Google