Chile orders Lundin to shut small copper mine after causing massive sinkhole
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Chile Orders Closure of Small Copper Mine Over Sinkhole
Above: Aerial view taken on Aug. 1, 2022, showing a large sinkhole that appeared over the weekend in Tierra Amarilla, Copiapo Province, in the Atacama Desert in Chile, near the Alcaparrosa mine operated by Canadian firm Lundin Mining. Image copyright: Johan Godoy/Contributor/AFP via Getty Images
The Facts
Chile's environmental regulator, Superintendencia de Medio Ambiente (SMA), ordered on Thursday the complete and definitive closure of the Alcaparrosa copper mine following a years-long investigation over a massive sinkhole that opened nearby in 2022.
Lundin Mining, whose local unit Compañia Contractual Ojos del Salado operates the mine, has also been hit with a total fine exceeding 3B Chilean pesos ($3M). The company has 10 days to pay the fine and 15 days to appeal the ruling, with Lundin yet to determine its next steps.
The sinkhole, which measures 36 meters (118 feet) in diameter and over 60 meters (200 feet) deep, drew global attention after cracking open in the Tierra Amarilla village in northern Chile, leading to charges against the Toronto-based firm over environmental damage.
The Spin
Narrative A
After a rigorous examination, Chilean regulators have found serious breaches of operational protocols and permits that led to irreversible damage to the Copiapó River aquifer. The closure of the Alcaparrosa mine must serve as a reminder to any mining company that environmental compliance in non-negotiable.
Narrative B
Lundin Mining has maintained a cooperative stance throughout the investigation, providing monitoring technology, studies, and expert guidance to assist the process. Now, the company will review the decision to determine appropriate next steps regarding the alleged environmental permit breaches.