Brazil Supreme Court Halts Major Amazon Gold Mine Project

Brazil's Supreme Court has suspended an environmental permit for a significant gold mining project in the Amazon rainforest, a decision that obstructs the plans of Canadian company Belo Sun Mining Corp. to develop an open-pit mine. The proposed Volta Grande project in Para state faces opposition from Indigenous communities concerned about its potential environmental repercussions.

Supreme Court Chief Justice Edson Fachin issued the ruling, citing the company's failure to fully demonstrate compliance with environmental requirements and protections for Indigenous populations. The decision highlighted insufficient studies assessing the project's impacts and the right of affected communities to be consulted.

The mine is slated for development along the Xingu River, a major Amazon tributary already impacted by the Belo Monte hydroelectric dam. This dam has significantly altered the river's natural flow, affecting fish populations and the communities reliant on the waterway.

Environmental organizations caution that the addition of a large-scale gold mine could exacerbate these impacts, placing additional strain on ecosystems and Indigenous livelihoods. Sol Juruna, a representative of the Middle Xingu Indigenous Women’s Movement, noted that communities downstream from the Belo Monte dam are already experiencing reduced river flows and declining fish catches, fearing further threats to their way of life from a proposed mining waste dam near the Xingu River.

According to a 2015 feasibility study, Belo Sun intended to extract 3.52 million ounces of gold over 17 years, excavating over 600 million tons of material. An independent assessment in 2021 raised concerns about a proposed dam designed to contain approximately 35 million cubic meters of mining waste and water, warning of potential toxic substance releases including arsenic and mercury that could affect Indigenous communities downstream.

This ruling marks a new development in a protracted legal dispute over the project. Belo Sun had recently regained its installation license through a lower court decision, but Brazil's Indigenous affairs agency, FUNAI, has identified deficiencies in impact studies concerning Indigenous communities, including those not within formally demarcated territories. The agency also questioned whether the cumulative effects of the mine and the Belo Monte dam were adequately addressed.

The Alliance for the Volta Grande do Xingu, a coalition opposing the mine, has welcomed the ruling. However, the suspension is provisional and subject to further legal proceedings. For Indigenous women like Juruna who have been campaigning against the mine, the decision offers temporary relief but underscores the ongoing struggle to protect their lands and livelihoods.