Colombia’s new mining law poses regulatory risks

Significance The government proposes banning new contracts for thermal coal exploitation, shortening timeframes for mining exploration and introducing new environmental regulations that could increase operational costs. It also aims to formalise small-scale artisanal mining through the creation of a state-owned enterprise. Impacts Petro’s push for a publicly owned mining firm will reinforce a perceived anti-business stance. The war in Ukraine will boost European demand for coal from elsewhere, potentially seeing Colombia become a prime source. Ecominerales may not replicate the high governance and transparency standards that Ecopetrol has to meet.