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July 28, 2025



** “Every day we find more legal and technical irregularities”
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MARN to file new criminal complaints against
Central America Nickel in Guatemala
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MARN will file new complaints against mining companies in Izabal for irregularities in projects that could put the water of more than 50 communities at risk
Prensa Libre, by Glenda Burrión, 21 July 2025
(Translation by Rights Action)
[link removed]

On July 21, 2025, the Minister of Environment, Patricia Orantes, indicated that the Ministry of Environment and Natural Resources (MARN) will file new criminal complaints against mining companies before the Public Prosecutor's Office (MP) for irregularities detected in the Santa Anita and Santa Anita II projects, both in the process of obtaining mining licenses.

"Every day that passes we find more legal and technical irregularities. This July 21 we will be filing new complaints for these anomalies, but we want to handle the process in a very responsible manner", said Patricia Orantes.

Complaints for illegal explorations

The conflict over the granting of mining licenses in Sierra Santa Cruz, department of Izabal, has escalated in recent weeks, after MARN filed on June 10, 2025 two criminal complaints before the Public Prosecutor's Office (MP) against the Santa Anita and Santa Anita II projects, for alleged irregularities detected during an environmental inspection.

The Minister of Environment acknowledged that the communities expressed concerns since April 2025 for the existence of 10 environmental licenses granted in November 2023, during the previous government. She pointed out that MARN is reviewing whether the process was adequate and that on July 30 the resolution of the administrative procedure will be delivered.

"The communities want us to annul the licenses, but we must follow due legal process. We cannot act outside the legal framework," Orantes said in a radio interview in June. She added that the environmental studies submitted by the companies “are neither conclusive nor sufficient” to guarantee the protection of water resources.

According to documents provided by local authorities in Izabal, two trial pits (exploratory excavations in the ground) were detected at the Santa Anita project, while four more were located at Santa Anita II. These activities were reportedly carried out without mining permits, which could constitute an environmental crime.

Both projects are part of the six license applications submitted by the company Río Nickel S. A. [subsidiary of Central America Nickel, of Canada], which is also promoting the Bongo, Santa Anita III, Santa Cruz Caledonia and Coatepeque I projects. The other four projects (Tzultaka I, II, III and IV) belong to Producciones del Atlántico, S.A.

Concern about water

In April and June, communities of Livingston carried out blockades on the CA-13 highway, demanding the cancellation of mining licenses for fear that these would affect water sources, essential for consumption, agriculture and subsistence. One of the most sensitive points, Cerro 1019, located in the Sierra Santa Cruz, has been identified as a strategic point for the supply of drinking water, irrigation and subsistence for at least 54 communities.

According to a technical report by the Authority for the Sustainable Management of the Lake Izabal and Río Dulce Basin (Amasurli), the area is highly biodiverse and was declared a Biosphere Reserve in 2009 by the National Council of Protected Areas (Conap). The document warns of possible serious environmental impacts, such as heavy metal contamination, toxic waste, and the drying up of water sources, which could endanger health, agriculture, and wildlife.

Protests and social tension in the region

The conflict has triggered social tension in Izabal. In June, confrontations and one injured person were reported during demonstrations. According to Minister Orantes, there were aggressions against official vehicles, including that of the Vice-Minister of Environment.

Members of the communities Creek Maya, San Juan, Chocón Machacas, Río Dulce and urban neighborhoods of Livingston have expressed their opposition to the licensing process. Community leaders have documented their objections in community minutes, arguing that the process violated their right to free, prior and informed consultation, as established in ILO Convention 169.

Companies assure that they have not started operations

In a telephone interview with Prensa Libre in June, Mark Billings, CEO of Central American Nickel (CAN), the company that owns Rio Nickel S.A., denied having carried out illegal activities. "The projects are in the pipeline. We have not been officially notified of the allegations and we will present the evidence," said Billings.

Regarding the excavations, he explained that they are exploratory procedures that, according to MARN's categorization, belong to category C plus Environmental Management Plan (EMP), corresponding to low impact projects. The two exploitation projects, he added, are classified as category B, since they are formal metallic mining projects.

Billings also stated, on that occasion, that there are historical antecedents of mining in the area, including since the 1960s, when the company INCO operated in the area. Between 2004 and 2014, the Ministry of Energy and Mines (MEM) also granted licenses to other companies, which could have left structures such as the trial pits identified in the inspection.

MEM: “No exploration or exploitation licenses have been granted”

For its part, MEM clarified that, to date, it has not granted exploration or mining licenses to any of the companies mentioned. It also explained that the process begins with an environmental license approved by the MARN, followed by a technical review and finally a consultation with indigenous peoples, in accordance with ILO Convention 169.

Due to the fact that the process is still under investigation, MEM reserved the right to issue further statements, but assured that it will provide support in accordance with the law.

[...]

Sierra Santa Cruz: a conflict between development and sustainability

The case puts the use of territory, environmental licensing mechanisms and respect for the collective rights of indigenous peoples at the center of the debate. While the companies assure that they will comply with the requirements and that they can operate in a sustainable manner, the communities claim that mining development in this region would irremediably affect their livelihoods.

In addition, several local organizations have reminded that the Sierra Santa Cruz is a protected area, so any intervention must consider its ecological value and the laws that guarantee its conservation.

Meanwhile, the legal process continues. MARN authorities continue to analyze the files and evidence gathered during the inspections, while the communities demand the total cancellation of the licenses and respect for their right to water, territory, and a healthy environment.

Recent background
Legal investigation into mining licenses of Montreal-based Central America Nickel
Rights Action, June 26, 2025, [link removed]

Rights Action commentary

U.S. and Canadian support for previous corrupt government of President Giammattei
The Q’eqchi’ people of this region and Rio Dulce community members find it incredible that yet another mining company arrives in the Q’eqchi region – this time Central America Nickel – claims to have mining licenses. They are aware that these alleged licenses (now being investigated legally) were granted during the government of president Alejandro Giammattei who is directly implicated in corruption schemes with mining companies in this region and allegedly received financial benefits from drug traffickers.

Hypocrisy in U.S. and Canada
President Giammattei is now barred from entering the U.S. ([link removed]) and Canada ([link removed]) due to this alleged corruption. The hypocrisy obviously is that the U.S. and Canada imposed sanctions on Giammattei after he left office in January 2024. During his entire time in office, the U.S. and Canada referred to the Guatemalan government as a “democratic ally”, maintaining and pushing for expanded North American investments and business interests in the country.

60-year nightmare of mining in Q’eqchi’ territories
* 1964-2004: INCO (Canadian owner) and EXMIBAL (subsidiary in Guatemala)
* 2004-2008: Skye Resources (Canadian, incorporated by former INCO directors) and CGN (new name of EXMIBAL)
* 2008-2011: Hudbay Minerals (Canadian), bought Fenix mine and CGN mine from Skye
* 2011-Present: Solway Investment Group (Swiss) and CGN/ PRONICO (a second subsidiary)
* 2024-Present: Fenix Nickel Company (USA), new subsidiary of Solway Investment Group, and CGN/ PRONICO
* 2024-Present: Central America Nickel (Canada), and Rio Niquel and NICHROMET (subsidiaries)

Occurring in waves over this entire time, mining in the Q’eqchi’ territories of eastern Guatemala has been characterized by corruption, forced evictions and land theft, human rights violations including killings, rapes, lawfare (criminalizing community defenders), environmental and health harms and, for the most part, complete impunity in Guatemala and in the home countries of the companies (mainly Canada, also Switzerland and most recently the U.S.).

Find extensive information in our 60 year Fenix mine archive ([link removed]) .

The recently resolved landmark Hudbay Minerals lawsuits ([link removed]) are an important exception to Canada’s almost iron clad wall of impunity and immunity from liability.

TESTIMONIO–Canadian Mining in the Aftermath of Genocides in Guatemala
Edited by Catherine Nolin & Grahame Russell (Between The Lines, 2021)
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Call by Q’eqchi’ people
Rights Action supports this 2024 call of Q’eqchi’ people ([link removed]) for:
* Suspension: Immediate suspension of all mining operations in Q'eqchi' region of El Estor, Panzos, Livingston.
* Investigatory commission: Formation of a commission to investigate violences and harms of mining against Q’eqchi’ people and the environment between 2004-2025.
* Reparations: Preparation of a compensation plan for people and communities that suffered the violences and harms.
* Consultation process: Then, implementation of a consultation process, based on prior and complete information in the Q'eqchi' language to decide if mining operations might continue in the future.

Rights Action calls on organizations and people - particularly in Canada, Switzerland and the U.S., home to the mining companies – to initiate, or continue with your education and activism work to pressure our governments, and our mining companies to stop all mining, and to comply with these demands of the Q’eqchi’ people.

Canadian Embassy in Guatemala
Ambassador Olivier Jacques
13 Calle 8-44 Zone 10, Edificio Edyma Plaza, Guatemala
[email protected] (mailto:[email protected]) / [link removed]
+(502) 2363-4348
[link removed]
[link removed]

Central America Nickel Inc.
1010 Sherbrooke W., Suite 2200
Montreal QC, H3A 2R7
Mark Billings, CEO, [email protected] (mailto:[email protected]) , [email protected] (mailto:[email protected])
Dan Hrushewsky, Chairman of the Board
[link removed]

Tax-Deductible Donations (Canada & U.S.)

To support land and environmental defenders, and human rights, justice and democracy defense struggles in Honduras and Guatemala, make check to "Rights Action" and mail to:
* U.S.: Box 50887, Washington DC, 20091-0887
* Canada: Box 82858, RPO Cabbagetown Toronto, ON, M5A 3Y2

Credit-Card Donations: [link removed]
Direct deposits, write to: [email protected] (mailto:[email protected])
Donations of securities, write to: [email protected] (mailto:[email protected])

Resolution of landmark Hudbay Minerals lawsuits
[link removed]

TESTIMONIO–Canadian Mining in the Aftermath of Genocides in Guatemala
Edited by Catherine Nolin & Grahame Russell (Between The Lines, 2021)
[link removed]

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