Haiti: Mining law due in 6 months – PM Lamothe

A drill worker listens for the bit, hundreds of feet underground, during exploratory drilling for minerals and metals Haiti. PHOTO/Dieu Nalio Chery/AP

Haiti’s prime minister says the government hopes to introduce a new mining law within six months that could set royalties rates of between 9 and 12 percent on companies drilling for precious metals.

Haiti is seeking to update nearly 40-year-old mining laws in an effort to reap benefits from the newly emerging industry. Two mining companies have begun drilling for gold, copper and silver in Haiti’s northeastern mountains. They say testing indicates the metals could be worth US$20 billion.

Prime Minister Laurent Lamothe says current mining legislation sets minimum royalty rates of 2 percent. He says Haiti is seeking advice from several countries, including South Africa, Chile and Peru, on mining policies that would both encourage foreign investment and secure fair profits for the people of Haiti.

Copyright 2012 The Associated Press