Mexico to review bill to ban open pit mining

Mexican President Claudia Sheinbaum has announced that her government will review a controversial bill, approved by the lower chamber of Congress in August , which aims to ban open-pit mining. The proposed legislation also seeks to prohibit fracking and restrict water usage in areas where the resource is scarce, except for domestic purposes in populated areas. “Open-pit mining warrants a thorough review, as activities such as sand extraction for cement production and lithium mining — critical for national development — are conducted using this method.

It is vital to assess the specifics of the constitutional reform’s provisions,” Sheinbaum said in a statement . She emphasized that the review will focus on ensuring environmental protection and is independent of corporate interests. The Mexican Mining Chamber (Camimex) has voiced strong opposition to the proposed ban.



Open-pit mining accounts for 60% of the value of Mexico’s national mining and metallurgical production. Camimex warns that the prohibition could lead to a 1% contraction in the country’s GDP and jeopardize nearly 200,000 jobs. Sheinbaum’s announcement follows a post by Minister of Economy Marcelo Ebrard on X , where he reported a “productive meeting” with representatives of Mexico’s mining sector, including Camimex President Pedro Rivero.

The discussions centred on the exploration and production of strategic minerals, although specific details were not disclosed. Mexico’s top open-pit mines include Southern Copper’s Buenavista copper mine, Newmont’s (TSX: NGT) (NYSE: NEM) Peñasquito, two of Fresnillo’s (LON: FRES) gold-silver mines, and several others owned by Industrias Peñoles. Some projects, such the San Nicolas partnership between Teck Resources (TSX: TECK.

A, TECK.B)(NYSE: TECK) and Agnico Eagle Mines (TSE, NYSE: AEM), depend on open-pit plans for their viability. Sheinbaum’s predecessor, Andrés Manuel López Obrador (AMLO), took a hard line on the mining sector.

Under his administration, lithium was nationalized , concessions were cancelled — a decision now under arbitration — and a state lithium mining company was established. AMLO also imposed restrictions on permitting new open-pit mines, citing environmental concerns and proposed the bill that Sheinbaum will review. Sheinbaum has indicated that the review process will be comprehensive, aiming to balance national development goals with environmental sustainability.

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