Almaden pursues arbitration against Mexico
The explorer’s Ixtaca project has been facing hurdles for years
Canadian explorer Almaden Minerals said it submitted a US$200 million arbitration claim against Mexico under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) following an investment dispute over its Ixtaca gold-silver project.
Almaden is seeking damages of at least US$200 million. The explorer said it decided to pursue arbitration after a consultation meeting with Mexican officials failed to resolve Almaden's investments dispute.
The Ixtaca project has been facing permitting hurdles for years. In 2022, Mexico's supreme court ruled that the government should have undertaken consultation before issuing mineral titles to Almaden, effectively cancelling the company's titles for Ixtaca and ordering Indigenous consultation before the re-issuing of the titles.
Almaden said that Mexico violated its right to amend or supplement the mineral title applications and additionally, that the refusal to issue Ixtaca's environmental permit is in breach of investment protection obligations.
To submit the international arbitration, the company dropped the Mexican lawsuits it had already filed.
According to a 2018 feasibility study, the Ixtaca project has proven and probable reserves of 85.2Moz of silver and 1.4Moz of gold.
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