Business will continue as usual for Canadian mines based in Chile — at least for now
Chileans on Sunday overwhelmingly voted against President Gabriel Boric’s proposed constitution, which sought to implement environmental regulations that may have impacted Canadian mining operations in the region. Sixty-two per cent of Chileans voted to reject the constitution, and 38 per cent voted to accept it, with 99 per cent of ballots counted.
The proposal prioritized human rights and the environment in stark contrast to its market-focused predecessor that was written during the reign of Augusto Pinochet. Had the document been approved, it could have put Canadian mining interests in the region at risk, according to the 2022 Latin America Mining Risk Index by Americas Market Intelligence (AMI).
Chile hosts 55 Canadian mining companies, making it home to 11 per cent of Canada’s international mining assets, according to the federal Department of Natural Resources. Chile is Canada’s second-most important mining market after the United States.
Article 145 of the proposed constitution would have established the state’s domain over mines and deposits, and regulated their use according to “their finite, non-renewable nature, intergenerational public interest and environmental protection.”