Title: A resolution expressing concern about the rise in illicit mining and trafficking of gold in Latin America and the pervasive problem that such mining poses for the security, stability, and environment of the region.
Policy area: International Affairs

Summary:
This resolution expresses concern about the threat of illicit gold mining to the security, stability, and environment of Latin America, with a particular focus on Venezuela under the regime of Nicolás Maduro.

[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. Res. 391 Introduced in Senate (IS)]

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117th CONGRESS
  1st Session
S. RES. 391

Expressing concern about the rise in illicit mining and trafficking of 
gold in Latin America and the pervasive problem that such mining poses 
      for the security, stability, and environment of the region.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           September 28, 2021

   Mr. Menendez (for himself, Mr. Rubio, Mr. Cardin, and Mr. Kaine) 
submitted the following resolution; which was referred to the Committee 
                          on Foreign Relations

_______________________________________________________________________

                               RESOLUTION


 
Expressing concern about the rise in illicit mining and trafficking of 
gold in Latin America and the pervasive problem that such mining poses 
      for the security, stability, and environment of the region.

Whereas during the 10-year period immediately preceding the date of enactment of 
        this Resolution, Latin America has witnessed an alarming increase in the 
        illicit mining and trafficking of gold and other valuable minerals;
Whereas illicit gold mining is a significant challenge across Latin America, 
        specifically in the Andean and Amazonian regions, where, according to 
        the internationally recognized nongovernmental organization Global 
        Initiative against Transnational Organized Crime--

    (1) Venezuela leads the region with approximately 90 percent of the 
gold extracted in that country being mined illicitly;

    (2) Colombia and Ecuador closely follow with approximately 80 percent 
of the gold extracted in those countries being mined illicitly; and

    (3) nearly 30 percent of the gold extracted in Bolivia and Peru is 
mined illicitly;

Whereas illicit gold mining involves the extraction of gold in violation of the 
        laws of the country in which the activity occurs and mostly takes place 
        in remote geographic areas with limited government presence, leaving 
        opportunities for transnational criminal organizations to exploit this 
        practice to generate billions of dollars in illicit profits to bolster 
        their strength and long-term viability;
Whereas the profits derived from illicit gold mining have become a leading 
        source of the illicit financial activities in the region, surpassing the 
        profits generated by coca and cocaine production in recent years;
Whereas transnational criminal organizations use illicit gold trafficking as a 
        mechanism to launder profits from other illicit activities, which 
        frequently threatens the national security of the United States and 
        undermines legal international trade by compromising the lawful gold 
        supply chain and exploiting the United States financial system for 
        illegal gain;
Whereas the presence of transnational criminal organizations in mining and 
        trading chains of gold and other valuable minerals profoundly threatens 
        the safety, security, and cultural integrity of indigenous communities 
        across Latin America;
Whereas illicit gold mining often devastates the environment and is destructive 
        to rural and indigenous communities since it violates legal standards 
        and safety requirements and often involves the illegal use of mercury, a 
        potent toxin that, when used improperly, contaminates water supplies in 
        the areas surrounding illicit mining sites, and can result in acute and 
        long-term poisoning in people;
Whereas the recent activities associated with illicit gold mining include 
        cutting down rainforests and creating pools of stagnant water, which 
        contribute to the spread of mosquitoes and insect-borne disease, 
        inciting an epidemic of malaria in Venezuela at levels not seen in the 
        past 75 years;
Whereas in May 2016, former President of Peru, Ollanta Humala, declared a 60-day 
        emergency in the Madre de Dios region near Peru's southeastern border 
        with Brazil in an attempt to curb high levels of mercury poisoning of 
        residents due to the impacts of illicit gold mining;
Whereas, on February 24, 2016, the authoritarian government of Nicolas Maduro in 
        Venezuela enacted a decree that announced a new legal framework for open 
        mining under the name of ``Orinoco Mining Arc'' as a means to diversify 
        the regime's cash flow, an action done without the approval of the 
        democratically elected National Assembly, as required by Venezuela's 
        Constitution;
Whereas the Orinoco Mining Arc decree can impact the mercury content in waters 
        in southern Venezuela and devastate the unique ecosystems of the Amazon, 
        including World Heritage Site Canaima National Park, which is the 
        ancestral land of the Pemon indigenous people and where at least 59 
        mining sites have been detected;
Whereas corruption and the weak rule of law in Venezuela has allowed 
        transnational criminal organizations, drug trafficking organizations, 
        insurgent groups, and other armed groups to control and financially 
        benefit from illicit mining operations, many of which have exerted 
        control over different parts of the Orinoco Mining Arc region and 
        beyond, such as Yapacana National Park and the Alto Orinoco-Casiquiare 
        Biosphere Reserve, home to indigenous communities of 17 ethnic groups, 
        including the Yanomami and Ye'kuana tribes;
Whereas, according to the Center for Strategic and International Studies, more 
        than 500,000 workers are involved in mining operations in Venezuela, of 
        whom--

    (1) approximately 45 percent are underage; and

    (2) the majority are from indigenous communities who were coerced into 
working through threats of violence;

Whereas the Organization for Economic Co-operation and Development, in a 
        September 2021 report, expressed concern that the flow of all the gold 
        produced within Venezuela, which is estimated to total as much as 75 
        tons per year, with a market value of more than $4,400,000,000, has a 
        high risk of contributing to serious human rights abuses, direct or 
        indirect support for non-state armed groups, corruption, money 
        laundering, and tax evasion;
Whereas Executive Order 13850, which was issued on November 1, 2018, sanctioned 
        individuals involved in illicit gold operations that propped up the 
        illegitimate regime of Nicolas Maduro;
Whereas the United States signed Memorandums of Understanding with the 
        governments of Peru and Colombia in 2017 and 2018, respectively, in an 
        effort to combat illicit mining and minimize its negative impacts: Now, 
        therefore, be it
    Resolved, That the Senate--
            (1) expresses deep concern about the threat that illicit 
        gold mining in Latin America poses for the security, stability, 
        and environment of the region;
            (2) recognizes the threat that illicit gold mining in Latin 
        America poses for the national security of the United States;
            (3) supports the rights of the rural and indigenous 
        populations that have been deeply affected by illicit gold 
        mining practices in the region;
            (4) supports the efforts of the United States Government to 
        expand bilateral cooperation with the governments of Colombia, 
        Ecuador, and Peru to combat illicit gold mining;
            (5) condemns the Maduro regime for directly and indirectly 
        facilitating illicit mining of gold and other minerals in 
        Venezuela;
            (6) denounces the Maduro regime's involvement in illicit 
        mining practices in the Amazonas and Bolivar states, which have 
        led to human rights abuses, destruction of indigenous social 
        fabric, deforestation, habitat loss, environmental degradation, 
        and a rise in cases of malaria and other related diseases in 
        Venezuela;
            (7) calls for better regional and international 
        coordination among government and industry actors to monitor 
        and mitigate the environmental, human rights, and security 
        risks posed by gold flows out of Venezuela; and
            (8) encourages efforts to promote legal, regulated, and 
        sustainable mining practices in Bolivia, Colombia, Ecuador, 
        Peru, and Venezuela after democratic order is restored.
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