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Miners including China's Ganfeng launch arbitration case against Mexico over concession
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Miners including China's Ganfeng launch arbitration case against Mexico over concession
Jun 24, 2024 7:22 AM

MEXICO CITY, June 24 (Reuters) - British firms Bacanora

Lithium and Sonora Lithium, as well as China's Ganfeng

International Trading, registered an arbitration case against

the Mexican government over a mining concession, according to a

post from the World Bank's dispute settlement center.

The post, from the lender's International Centre for

Settlement of Investment Disputes (ICSID), is dated June 21 and

lists the case as pending.

The case centers on Mexico's most advanced lithium mining

project, located in northern Sonora state, and follows

legislation championed by Mexican President Andres Manuel Lopez

Obrador that nationalized the country's nascent lithium sector.

To date, there is not any commercial production in

Mexico of the ultra-light white metal coveted by rechargeable

battery makers.

Last November, China's Ganfeng Lithium Group said Mexico's

economy ministry upheld the cancellations of certain mining

concessions of its subsidiaries.

The concessions would have allowed the company to

develop the Sonora lithium project, but were canceled by mining

officials in August, arguing that Ganfeng had failed to comply

with minimum investment requirements.

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