OPIC agrees to review Bolivian community's mining project complaint

(ECA Watch, 17 June 2008) On May 30, 2008, the Overseas Private Investment Corporation (OPIC), agreed to investigate a compliance review request and a problem solving request presented by the Ayllu Machaca People over the San Bartolome Mining project in Potosí, Bolivia.

The indigenous people's complaint includes both problem resolving and policies complaint. OPIC is accountable to IFC World Bank safeguards standards. The Coeur d’Alene Mines Corporation San Bartolome mine is risky to several Andean ecosystems in the indigenous territories, which are very important for the livelihoods of communities in the highlands altiplano:

• Loss of grazing lands and swamps used for raising llamas.
• Risk of contamination in three fresh water sources.
• Risk of contamination in six lagoons.
• Involuntary resettlement of four families.
• Disruption of communities' ties and weakening of traditional organizations.

OPIC provided US$54.25 million in insurance support to the mine in 2005.