Puno this morning

A short note from local Puno media "Los Andes", linked here and translated by your humble scribe:

The panorama in the city of Puno is devastating at this time. Empty streets, closed markets, public buildings destroyed, the population nervous after the social protest yesterday descended into violence.

Public telephones have also been attacked and windows of private buildings such as hotels and restaurants have been smashed.


The customs and immigration office (Aduanas) in the city of Puno is destroyed, with damage wherever you look. Cars destroyed, doors broken, furniture borken and littered about the floor and warehouses broken into all through last night.


Police presence yesterday in the customs and immigration office was practically zero. It's not known what will happen in the next few hours in the city while the population is still covered in uncertainty.

Bear Creek Mining (BCM.v): There will be blood

The protest of locals against the presence of Bear Creek Mining (BCM.v) at its Santa Ana project  in Puno Peru is now two weeks old and according to news reports, all roads are shut down tight and some 500 trucks are stuck on the border of Peru and Bolivia because of the blockages. Add to that the so-called 'high level commission' that went to the Puno region to try and mediate and sort the mess out last week, only to bug out after one day because the commission members got spooked by the 5000 strong anti-mining crowd that came to gently greet them in the city of Puno

And so yesterday evening we had a new development. Stuck on the last page of this document of military executive decrees and signed into effect yesterday Sunday May 22nd is this little segment of loveliness:

And for those of you not versed in the tongue of Cervantes, that says:

Sunday May 22nd 2011
Executive Power
Defense
R.S Nº 191-2011-DE- Authorizes the intervention of the armed forces to aid the Peru National Police Force in the district, province and department of Puno

As this order was published yesterday, it came into effect today and lasts until June 11th and amongst other powers it gives the right of the military to fire live rounds at its own people. In other words, President Twobreakfasts just authorized the entry of troops to clear the roadblocks made by protesters and if anyone out there gets an immediate flashback memory to a town called Bagua a couple of years ago or a protest at Tia Maria this year, you'll know what's likely to happen next unless the locals don't back down.

And all it takes is a cursory glance at the newsflow to understand that they won't back down, so prepare for a very nasty case of bad publicity, BCM.v IR people. DYODD and don't mess with the Aymara.

Macusani Uranium District, Carabaya, Puno, Peru, Map and News

Southern Andes Energy and Macusani Yellowcake Discover High Grading Uranium Mineralization.

Explore the geometry of Macusani Uranium District, capital of the province Carabaya, Puno, Peru. Click the figure below to see the interactive satellite map and news.

Zoom at: Macusani Uranium District.

Extraordinary rap music from Puno, Peru

The group's name is Autoctonorap, they're from Puno and they mix Peruvian highland music, Spanish, Quechua and Aymara languages and their own rap. The lyrics speak of their pride for their city, for Lake Titicaca, for the region's history.

Exceptional work. IKN is proud to help diffuse this great music, especially for those who have a special place in their hearts for Puno. A standing ovation for Autoctonorap.

Peru: Gold miners in Madre de Dios

The front page, above fold, of El Comercio today
(click to enlarge)

An excellent piece of journalism in Peru's El Comercio today (a reminder of the newspaper that it used to be) bylined Nelly Luna, showing the ecological disaster area created in the Amazon jungle of Peru by informal gold mining. The Madre de Dios Region is home to an estimated 30,000 miners, nearly all of whom produce gold illegally and with no regard whatsoever to environmental regulations.

Main feature page of the El Comercio page today,
complete with photos of the disaster zone
(click to enlarge)

Here follows my translation of the full report, entitled "Brutal Deforestation of Madre De Dios", and watch out right at the end for a revealing interview with the Mining Ministry Flunkey, who knows what is happening, knows it's illegal and knows that around 50 metric tonnes of mercury legally imported into Peru ends up being illegally sold in the disaster area but doesn't want to do a thing to stop it. His arguments are laughable and clearly just wants to protect the status quo, not giving a damn about the enormous damage that current policies are causing. Viva investment grade.

Who will halt this criminal attack against nature?

Brutal Deforestation of Madre de Dios

Forests are converted into deserts due to the advance of informal mining that illegally extracts gold. Regular buying and selling of mercury is demanded by locals, who use it for the extraction of the precious metal.

An overflight of the jungle between Madre de Dios and Puno offers a panoramic portrait of the devastation; thousands of tonnes of earth removed and forests disappeared or buried beneath the tailings left by years of intense and illegal exploitation of gold in the Amazon. It is possible to make out improvised mining camps, heavy machinery turning over the red soil, flows of rivers cut off and enormous pools of water that hold an un-noticed poison that keeps on accumulating: mercury.

This element is as necessary in the exploitation of gold as kerosene is in the production of cocaine. Because of this, mining engineers and environmentalists argue that if the sale of mercury is regulated, in the same way as chemical supplies are to combat narcotrafficking, a large part of the problem of illegal mining and the destruction of the forests. But this doesn't happen; mercury is sold without any sort of control among the population that is found around the mining zones of Puno and Madre de Dios.

Supply and Demand
According to Customs information, in just the last four years the importation of mercury has nearly doubled, from 75,000kg imported in 2006 to 132,000kg last year. And so far this year, only up to September, there have been legal imports of 131,876kg of mercury. The Ministry of Energy and Mines (MEM) says that all these imports are basically used in artisanal mining, where levels of informality (no mining or land titles held or environmental impact studies approved) reach 90%.

For every gram of gold produced, two or three times as much mercury is needed. A recent study by Cáritas estimated that more than 50 tonnes of mercury is used in the Madre de Dios region per year- Despite the large scale of the mining exploitation, tax evasion due to the informality of the industry is enormous; this region receives only S/15,000 (U$5,200) in mining royalties from the state.

Up to March 2009, the Institute of Geology, Mining and Metallurgy (Ingemmet) and the MEM had authorized 1,592 mining concessions in Madre de Dios and only 19 have approved environmental impact studies, with another 1,089 in process. There are also 87 mining concessions that overlap the Peru State Nature Reserve of Tambopata. According the the MEM, the control of current illegal mining is the responsibility of the regional governments.

"The mining concessions have been authorized without taking into account other existing rights such as agricultural properties, forestry concessions, conservation concessions and protected areas" according to the diagnosis of the Ministry of the Environment. With this disorder of concessions and a lack of controls, mercury is feeding into waters, lands and even in fishes. In improvised stores located around the mining zones such as Huepetuhe or Inambari, where the taxman never appears, one kilo of mercury sells for between S/150 and S/180 (U$52 to U$63) in jars with the ticket names American Mercury or El Español.

No Clear Rules
National rules establish that all companies that use mercury must have mechanisms that allow for the recapture and re-use of mercury, but nothing more. There is no rule that regulates the adequate final disposal or the metal. Experts say that the ideal situation would be to take it to safe depositories overseas (Peru does not have any). Without clear rules, each year more and more tonnages of this dangerous element arrives to stay (or evaporate) in some part of the country.

It is worth mentioning that 83% of mercury imported by Peruvian companies comes from the United States or Spain. Mercantil SA, Triveño Mercury Corporation, JH Minerals, Aldo Orlando Torres Rojas and M&M Trading S.R.L. are the main importers. The quantities that arrive are mainly destined for the mining industry, with lesser percentages for the production of chlorine and dental curation work.

But mercury is not the only element used in illegal mining in the Puno and Madre de Dios regions. Every day, front load diggers arrive that cost half a million dollars apiece along with lorries, trucks, excavators and drags. The economic investment is very large, nothing to do with small mining. The Ministry of the Environment estimates that 50 truckloads of fuel arrives to the zone every day, 175,000 gallons of diesel and gas is used and approximately 1,500 litres of oil is spilled by the machinery and boats. Who will put a stop to this situation?

Interview with Víctor Vargas Vargas, Director General of Mining, MEM
"Prohibiting sales could generate contraband"

"If the commercialization of mercury is regulated, wouldn't it reduce illegal mining?

Mercury is freely traded. There are formal companies that import and sell it in a legal manner. If it were prohibited, it may generate contraband in this material.

Imports have nearly doubled in the last four years.

This is connected with the rise in price of gold, which causes a greater demand for mercury in the marketplace. What's more, 98% of informal mining activity in the country is dedicated to gold mining and the basic ingredient is mercury. What we would like is that the technical requirements of the recovery of this element are complied with.

Therefore, mercury that arrives legally to the country finishes as being sold to illegal mining.

Indeed. Anybody can buy mercury, just like they can buy gold. There are no restrictions. What is needed is to formalize these people and teach them to correctly handle this resource. Large mining companies do not use mercury, but cyanide. Mercury is only used in artisanal mining. However, there are mines that during the exploitation process obtain mercury as a byproduct, for example in Yanacocha, that is then exported.

Is there a regulation, as there is for cyanide, that locates the final destination that the mercury must have?

There is no rule about its control, but there is perhaps thought of creating one, without aggravating the already existing problems. Blocking its comemrcialization would stimulate a black market and a rise in the price of this material.

Winchumayo, Peru: Adding more death to the shame of corrupt politico Tomas Cenzano

Tomas knows absolutely nothing.

We've had the misfortune of mentioning twice on this blog the social trainwreck known as the Winchumayo mine in the Itaupa region of Puno, Peru. Today comes episode three of the saga.

• First, this post in March chronicled the landslide and resulting multiple deaths at the site.

• Next, this post on September 22nd explained how, contrary to several pieces of legislation, APRA party member of congress Tomás Cenzano just happens to be an owner of the mine. Not only that, but the scumball hasn't paid taxes for gawdknows how long and according the Peru's SUNAT tax office his company owes the state over U$34m in unpaid tributes.

• Now the latest from the Winchumayo mine is how, on Saturday, locals held a meeting to discuss the true owenrship of the mine, how it would move forward etc. While the meeting was happening, a gang of masked men attacked the assembled group and left (according to reports) between three and ten dead and many people injured.

If one day you find yourself in a jeweller's shop in Peru buying gold, have a think about what kind of people you're supporting with your potential purchase. The whole episode is still shrouded in some mystery, with obfuscation aggregated by an idiot of an Interior Minister (APRA party surprise surprise) Octavio Salazar who acted too hasily on erroneous police information and declared to the country that there had been no deaths whatsoever and only five injured, which is clearly untrue according to multiple local reports and hospital stats. What's certainly true is that there was a meeting of locals and then an organized band of hoods moved in with firearms and blades to add their point of view to the discussions taking place.

The question, as always, is 'cui bono?' and the answer comes in Latin, too; status quo.

Meanwhile, the scumball Cenzano is trying his hardest to wash his hands. This morning he stated to local newspaper Los Andes that "I no longer have anything to do with the mine, I have already transferred everything", which translated into LatAm realspeak likely means "I've signed all my ownership rights to this social, environmental and political deathtrap to some friend or other until this all blows over and then he'll sign it all back to me later".

cocaine: the peru/bolivia route

An excellent report in Bolivia's La Prensa today that goes into great detail about the routes of narcotraficking between Peru, Bolivia and the rest of the continent. It's in Spanish and it's long but it's well worth readin. Once done you'll know a lot more about the subject.

Swine Flu: A little perspective

My best pal in Argentina wrote today and told me his wife's pregnant with their second child. This is great and I'm really happy for them, but he then told me how worried they are about the swine flu outbreak down there, what with pregnancy being a vulnerable moment for two souls, not just one. Then I saw this report today and wow!, look at the coverage all those pro-Peru journalists and commentators give this story.

Perhaps one day this might change; y'know if somebody with a voice loud enough to be heard cared enough to whip up a bit of hysteria about the fact that a country that boasts and brags about its GDP growth rate can't be bothered to look after its poorest citizens.

Viva investment grade. Viva, viva, viva.

the 4th Summit of the Indigenous Peoples of the Americas

This week, Puno in Peru has been hosting the 4th Continental Summit of Indigenous Peoples of the Abya Yala. Indigenous peoples and community representatives from all over the Americas, from the First Nations of Canada all the way down to the southern tip of Chile/Argentina, have gathered to express their opinions on the development of their lands and peoples.

Evo Morales was invited to speak but had to apologize due to previous commitments (for one thing he's travelling to the inauguration of Mauricio Funes in El Salvador). But he did write a letter to the conference that was read out by his representative there. The whole thing (Spanish language) can be read here, but I want to translate a part because it really captures what is happening in many parts of South America in relation to business and investments. There's a lesson for all those who are considering making money in the Americas, but as mining is often the leading edge in capital investments the lesson is particulary acute for that sector.

The lesson is; either make a fair deal for all or don't bother coming. Don't think you can shake hands with the national government and ignore the locals. What's happening with oil exploration in the Amazon Basin of Peru is a topical example of a trend that is not going to suddenly disappear; on the contrary, it's going to grow stronger and stronger. (Side note; the speech is already being interpreted as some sort of call to arms for a fight for independence (Spanish language link). Such ridiculous analysis cannot be for lack of understanding by qualified journalists so it can only be deliberate spin from those who fear).

Back to Evo; Here we go with the translated section and truly I say unto you, if you can fully understand the first sentence of the translation below you'll understand more about the continent than 99.9% of gringos. You guys get fed a line about Evo and never get to hear about how intelligent the guy really is. Maybe not that educated, but oh my the guy is smart. Here we see him railing against capitalism once again. Personally I support capitalism in its best aspect but you have to be aware of the downsides, too. The wise will listen and react to the complaints from the have-nots about the effects of the rampant and uncaring side of capitalism that we all know exists (but perhaps prefer not to visit too much). The blind will ignore them and finish as the ones complaining. Here's Evo:

"For thousands of years we lived with nature, in constant balance with her and inside her. Today we feel the devastating effects of the neoliberal, transnational capitalist system that is quickly destroying our planet.

"From outside and above, they still try to impose upon us economic policies that attack our rights as people, the rights of other living creatures and the rights of planet earth. They still try to sell us trinkets for gold. They told us there was a discovery when there was in fact an invasion. They told us there was a conquest when there was a genocide. And now they say that they want integration and to include us in the world economy when all they really want is to steal our riches, keep the profits and ignore solidarity."

What to fear, swine flu or an uncaring government?

Juan Sheput at his blog Mate Pastor made an excellent point today. The confirmation of 16 cases of swine flu (or AH1N1 if you insist) in Peru has caused consternation in Lima and headlines in all news media. The majority of cases are in a bunch of students who recently came back from their end of studies joint vacation to Punta Cana in the Dominican Republic.

However, even though it's only early in the Andean winter season there have been 42 children killed by pneumonia in the poor and high altitude Puno and Cusco regions of Peru. Here's what Sheput had to say (translated) and for the record I agree 100%;

UPDATE: Make that 86 children dead

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

Swine flu or AH1N1 has arrived in Peru and its spread is exponential. There are 16 cases at the moment, the majority of those students that ame back from their college "promo" trip to the Dominican Republic. They are therefore children from middle class backgrounds. We hope they recover quickly.

But at the same time 42 children have died of pneumonia in Puno and Cusco. They are not mentioned or worried about by Health Minister Oscar Ugarte. They are children aged between five and ten years. Is it true that the lives of the poor don't matter? It's fine that resources are earmarked to fight swine flu (around 60 million Soles), but the children of Puno and Cusco also deserve the same treatment, and not even a million has been set aside for them. They don't have antibiotics, vaccinations, heating or the thoughts of the authorities.

The figures for (Peruvian) children that die due to lack of opportune care in health centres and medical posts is extremely high. It is also unpardonable because the reasons for the deaths are totally predictable. Peru has never had the amount of economic resoruces that it has at the moment and it is therefore injust that children die due to this lack of care. Inequality in treatment is more than evident.

Vena Resources (VEM.to) springs to mind

Name me the junior miner that has Cameco as its JV partner and is exploring for uranium in the Puno region? Yeah, that's VEM.to. Check this out:

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

13-03-2009 16:03

Peru likely to export uranium by 2011

Lima (ANDINA).- In the next two years, Peru may export uranium and be one of the four Latin American countries to have a nuclear reactor generating electricity in several remote areas of the country, the president of the Peruvian Institute of Nuclear Energy (IPEN) Conrado Seminario said Thursday.

He noted that IPEN currently promotes a bill encouraging private investment in the electric core field with the purpose of having an alternative electricity generation source to fossil fuel, hydro-electric and wind power.

In the future, given the oil, gas and water shortage caused by global warming, the atomic reactors would be the substitutes to generate electricity and avoid stagnation of industrial and human activities.

Seminario said that in the world there is a resurgence of nuclear power, driven by the high cost and scarcity of traditional fuels and in the Peru the nuclear activity has also resumed in the context of technical cooperation in Latin America which had remained stagnant.

"In 2008, a provision enabling the IPEN be part of the Energy Guide Plan Commission was issued. This committee will seek to modify the energy matrix which has remained unchanged for years. Its amendment will provide access to other energy sources including nuclear," he said.

The scientist said that the work is going well and state that there are projects to export uranium by 2011 after checking the prospecting works which mining companies are currently conducting in the region of Puno.

Peru counts its mining dead again

At around 7:30am today, the continuous heavy rainfall in the mountainous region between Peru and bolivia resulted in a massive landslide which completely covered the mining camp belonging to the privately owned Winchomayo Mining Company situated in the district of Ituata, province of Carabaya in the Puno region of Peru.

According to eyewitness reports, there is not a single house left standing. Eight dead bodies have been recovered from the rocks and mud. At least 22 other miners are as yet unaccounted for.

Local media coverage of this terrible accident can be found here. Those miners and mining company employees that follow IKN out there might like to remember that phrase about the grace of God around about now.

UPDATE: English language coverage from Bloomberg and Reuters.

Evo relieved to find out that he is indigenous after all

Time to play: Spot the brown person!
FWIW, Juanes is pretty famous down this neck of the woods

As Borev noted just the other day, when it comes to Bolivia US arrogance knows no bounds. Not content with talking crap about the country (things like the 2008 coup attempt was "trouble caused by both sides" and similar baloney), the State Dep't 2008 Human Rights report has Doctor Morales as someone who "considers himself indigenous".

Fortunately, there are those more qualified to judge these things and subsequently boot this latent racist bullshit back to where it belongs. Today the organizers of the 4th Continental Summit of Indigenous Peoples invited his Evoness along as guest of honour and illustrious representative of the Aymara people. The summit brings together peoples from Bolivia, Peru, Ecuador and Colombia amongst other places and is being held this year in the city of Puno, Peru (that'll piss Twobreakfasts off for sure...all those brown people talking with each other and hatching plans...can't have that, you know. Deny visas!) at the end of this month, merry March.

So in the end Evo is indigenous according to the indigenous of South America. That settles that, really. It just leaves IKN to announce that The US State Department wins our weekly award. Way to go, guys:

Peruvian soccer academy tales

This story is pretty difficult to take in, not only for the person at the centre of it but also the jaw-dropping attitude of Peruvian authorities.

In the year 2000, a certain Andrés Nevado Mera was working as the trainer of a boys' football club in the town of Pomalca in northern Peru. He was convicted of the rape and murder of one of the boys in the football academy and sent to jail. At this precise time nobody really knows how he got out of that prison, but leave he did. What we do know now is that he moved to the South of Peru and took a job as, believe it or not, the trainer of a boys' soccer team in the city of Puno.

Last night, after luring one of the boys back to his house, he tried and failed to rape the 12 year old and then slit his throat, cutting the jugular vein and cutting down as far as the thyroid gland. He then threw the boy out of his house and left him for dead in the street. Fortunately, the boy's life was saved by a passing motor-taxi that spotted him in the gutter and rushed him to a nearby hospital.

Andrés Nevado Mera is now on the run. Incredibly, it turns out that not only did the local Puno authorities know of his murderous background, but he was also facing charges for a similar pederast attack on a boy in Puno just a few months ago! Just the kind of person you'd allow to continue running a boys' football team in your town as well, no?