Introduction to Chihuahua’s Mining Sector
Chihuahua, a border state in Mexico, holds immense significance as one of the country’s top mining territories. Ranked fourth nationally in mineral production value, Chihuahua’s mining sector is a crucial contributor to the state and national economy.
Stalled Investments: The Current Scenario
The state is grappling with a staggering $3.5 billion worth of stalled mining investments due to the absence of environmental permits and regulatory uncertainty stemming from the new mining law. Among the halted projects are Cordero, valued at $1.5 billion near Parral, and Orisybo, estimated between $1.1 to $1.2 billion near Guachochi. Additionally, smaller projects totaling $3.5 billion in investment are also on hold.
Project Details and Potential Impact
The Cordero project, operated by Canadian company Discovery Silver through its subsidiary Minera Titán, stands out as the most advanced and economically significant among the currently stalled projects. This polymetallic mine, primarily producing silver alongside gold and other metals, aims to start with a daily production capacity of 25,000 tons, later doubling to 50,000 tons per day.
Cordero has completed its exploration phase, a 15-year endeavor with the necessary mining concessions. However, its progress is currently halted in the federal administrative phase.
The critical hurdle is obtaining the Environmental Impact Statement (EIA) from the Secretariat of Environment and Natural Resources (SEMARNAT). Although the permit was requested in 2023, initial expectations were for a decision by late 2025. Now, the revised outlook anticipates approval in the first quarter of 2026.
The project’s commencement is eagerly anticipated in the region, promising substantial benefits for mining-oriented communities. The mine’s estimated 20-year lifespan, backed by the validity of authorized concessions from over 13 to 15 years of prior exploration, further underscores its potential.
Once all environmental, water, and operational permits are secured, the mining project will transition into a one-year construction phase, as explained by Rocío Flores.
Challenges and Regulatory Uncertainty
Virginia Mena, president of the Association of Mining, Metallurgical, and Geological Engineers of Mexico (AIMMGM) in Chihuahua, highlighted the primary obstacle as environmental permits. The new mining law of 2023, lacking regulations, has exacerbated the situation, creating legal uncertainty and deterring investment.
Efforts to Accelerate Progress
State authorities are striving to expedite dialogue with SEMARNAT. Flores mentioned that meetings are being arranged this month to identify any missing links and explore ways to expedite the Cordero project’s permit release.
Should these projects remain stalled, Mexico risks missing opportunities to bolster its role in the energy transition and regional development, especially when metal prices like silver, gold, and copper are favorable.
Chihuahua’s Mining Significance
As one of Mexico’s most vital mining states, Chihuahua ranks fourth nationally in mineral production value. It holds third place for silver and zinc, second for lead, and fourth for gold and copper production.
The mining industry contributes over 1% to Chihuahua’s GDP, generating more than $45 billion in production value within the first ten months of 2025. It sustains 10,819 formal direct jobs.
Key Questions and Answers
- What is the total value of stalled mining investments in Chihuahua? The total is $3.5 billion.
- Which projects are among the stalled investments? Notable projects include Cordero ($1.5 billion) and Orisybo (between $1.1 to $1.2 billion).
- What is the primary obstacle for these projects? The main hurdle is securing environmental permits, specifically the Environmental Impact Statement (EIA) from SEMARNAT.
- What is Chihuahua’s ranking in Mexico’s mining sector? Chihuahua ranks fourth nationally in mineral production value and holds significant positions in silver, zinc, lead, gold, and copper production.
- How does the mining sector contribute to Chihuahua’s economy? The mining sector contributes over 1% to Chihuahua’s GDP and sustains more than 10,000 formal direct jobs.
