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Fortuna Silver granted injunction to continue operating Mexican mine

Bnamericas Published: Thursday, January 26, 2023

The Mexican federal administrative court has granted a provisional injunction to allow Fortuna Silver’s San José mine to continue to operate under the terms of the 12-year environmental impact authorization (EIA), the Vancouver-based company said in a statement on Wednesday.

Minera Cuzcatlán, Fortuna’s Mexican subsidiary, recently initiated legal proceedings to revoke the annulment of the EIA in response to a resolution issued by the environment ministry, which is re-assessing the 12-year extension to the EIA for San José that it granted in December 2021.

“The court has admitted the legal proceedings and, as a first step, has granted a provisional injunction in favor of Minera Cuzcatlán. It is expected that the court will decide on the grant of a permanent injunction within the coming weeks, which would continue in effect until the court has ruled on the revocation of the EIA,” Fortuna Silver said.

Last week, Minera Cuzcatlán reported that San José, in Oaxaca state, was operating normally and within the law.

“Minera Cuzcatlán is in full compliance with all material environmental laws and continues to operate under the terms of the EIA. The company continues to work with communities from the surrounding area in relation to the mine to enhance and expand the social benefits of the mine in the region,” Fortuna Silver added.

According to the Canadian miner, the mine is the single largest employer in the region of Valles Centrales, providing 1,200 direct jobs. 

The underground mine started commercial operations in September 2011. In 2013, the company acquired a 55% interest in the Taviche Oeste concessions from a local subsidiary of Canada's Pan American Silver.

San José produced 5.76Moz of silver and 34,124oz of gold in 2022.

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