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Colombia extends ban on requests for mine permits
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Monday, 06 Feb 2012
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Colombia energy ministry said that Columbia has extended a suspension on receiving new requests for mining concessions for two months to handle a backlog of permits.

The world's No 4 coal exporter has been hit by a series of mine explosions that killed dozens of workers over the last couple of years, prompting calls for stricter oversight at a time when Colombia's mining sector is enjoying a mini boom.

The government halted requests for mining concessions and for legalizing traditional mining operations from 2011 until February this year. Regulators have in the past been accused of doling out permits without sufficient oversight.

In a resolution published on Friday, Mining and Energy Minister Mauricio Cardenas Santamaria said the suspension had been extended for two months.

Cesar Diaz head of the Colombian Mining Chamber said that "There are two sides - it's negative because we're still being restricted, but on the positive side the government is strengthening institutions.”

The government has said it needs more time to analyze requests due to the volume it receives. According to mining regulator Ingeominas, Colombia received 3,600 concession requests in 2010, 3,900 in 2009 and 7,800 in 2008.

Colombia has experienced a surge in oil and mining investment since a 2002 US backed crackdown against leftist rebels. A flood of new players has emerged to take advantage of government policies meant to attract investors.

(Sourced from colombiareports.com)

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