Raffi ElliottApril 17, 2019Last Updated: April 18, 2019
13 4 minutes read
Construction to widen the mine haul road, May 2018 (Photo: Lydian International)
YEREVAN— The Administrative Court of the Republic of Armenia passed a ruling last week declaring the blockade of the Amulsar mining site by environmental protesters an illegal act of trespassing on private property.
This judgement comes almost six months after Lydian Armenia CJSC, the fully-owned subsidiary of Lydian International Inc. filed an injunction ag
Raffi Elliott is a Canadian-Armenian political risk analyst and journalist based in Yerevan, Armenia. A former correspondent and columnist for the Armenian Weekly, his focus is socioeconomic, political, business and diplomatic issues in Armenia.
13 Comments
So will the court change its mind when everything gets polluted?
The Administrative Court of the Republic of Armenia is tasked with upholding the law of the RA, not make judgements on whether or not mining is a moral activity.
Good article. The environmentalists should meet with the company to iron out issues. Without Capital Investment and contract that are honored between Armenia and companies, there can be no progress, no jobs, and no improvement of standard of living.
I wish reporting in Armenian Weekly was more objective, instead it is sprinkled with biases to make readers sympathize with Lydian. Why, for example, the article puts in bold letters how much money Lydian brought into Armenia last year, and that Lydian was the largest taxpayer?
Surely, this data is correct, but it is what is not mentioned that makes this a piece of propaganda. For example, why article doesn’t mention that 90% of local citizens are opposed to the mining, or that because of pollution in the long-run the mining will cost more money to Armenia than it is going to bring. Why it doesn’t mention extremely weak environmental protection laws in the country, legacy from the old regime, and hence people taking charge of the situation because they don’t want to lose their livelihood.
The consequences from Lydian’s activities will be so devastating that I don’t understand how anyone who cares one drop for Armenia would allow the gold mine to function. It includes acid drainage which may cause nearby waters to become unfit for irritation and drinking, and remember Amulsar is located in close proximity to a number of strategically important water resources for the country: Arpa, Vorotan and Darb rivers, Kechut and Spandiarian water reservoirs, Vorotan-Arpa-Sevan water tunnel, Jermuk mineral waters; dozens of freshwater sources start near the mountain. Think about it! Not even our worst enemies would come up with the idea of polluting the core of country’s water resources! Another problem: moving 1000 ton of deadly cyanide a year across the country; another, Lydian letting its industrial waters filled with heavy metals get mixed with irrigation waters , the primary source of irrigation water for more than five large villages that produce a substantial portion of Armenia’s wine and agricultural products. And what is going to happen to Jermuk? Already tourists don’t want to go there.
But Armenian Weekly and its reporter, Mr. Raffi Elliot, don’t seem to care about these aspects. All Raffi Elliot seems to care is quoting Lydian executives and showing numbers taken out of context. It is truly sad. The readers deserve better, much, much better!
Thanks Hasmik for your valued input. Mining and specially gold mining leaves a long term toxic and devastating effects on the local environment. An open-cut mining will leave a forever scar in the region that no amount of money can replace. we have a tiny country, we should cherish every square meter of it.
I’m ashamed as a Canadian-Armenian of the tone of this article citing criminal codes and blaming the protesters for breaking the law, as if it’s sponsored by Lydian!!! well Raffi Elliott what do you want them to do if a foreign company (who presumably bought out local politicians) is out here to destroy your town’s fields and mountains?
journalism Mr. Elliot!
However, it is not the Armenian Weekly which declared the protesters to be engaged in criminal activity. The Administrative Court of the Republic of Armenia passed a ruling that the protesters broke the law. AW just reported it. You’re free to your opinion on whether the mine is immoral or not.
Hasmik, judging from your comment, I will assume that you didn’t bother to read the article before skipping to the comments section. A lot of the points you raise have been specifically mentioned in the article.
Having read the whole thing, the article is clearly discussing the legal proceedings over the protest and isn’t passing any judgement (either positive or negative) over the mine itself. It looks like you simply inserted a lot of your own biases over the matter in the article.
It is unfortunate and most disturbing that Mr. Elliott takes an “Us against Them” attitude in this article. He makes it seems as if Lydian is an injured party, and the defenders are just a bunch of activists going against big business. No one is against business; the 3,000 Jermuk residents who signed a petition to immediately stop the Amulsar Mining Project did so to protect themselves, the environment, and future generations of people, animals, and agriculture. There are already studies that have proven the devastation of the use of toxic cyanide in the extraction of the gold, and the resulting pollution of heavy metals into the rivers which feed into Lake Sevan. There are devastating health and environmental consequences of these actions that far exceed the amount of money Mr. Elliott says Lydian will be providing to the Armenian government “coffers”. Please read the following Amulsar background information sheet distributed by Zoravik activist collective, in conjunction with a petition drive to save Amulsar.
Background Information on the Amulsar Gold Mining Project – January 2019
Starting from 2006, Lydian, an off-shore company registered in Jersey, Channel Islands, has acquired permits from previous Armenian governments to mine gold in Amulsar, a mountain located in the Vayots Dzor region of Armenia. It is worth mentioning that Lydian was a newly created entity with no prior mining experience. Additionally, the former governments of Armenia violated a number of laws by approving the Amulsar gold project, including provisions of The Law on Environmental Impact Assessment and Expertise, The Law on Lake Sevan, The Water Code, The Mining Code, The Law on Flora, and The Law on Fauna.
From the very beginning, environmental groups and independent scientists were strongly opposed to the project. The local community, once educated on the grave risks the mining entailed, became adamantly against it as well. However, the outcry of the public fell on deaf ears. In fact, Jermuk, the largest community in the area and only 10 km away from Amulsar, had not been included as an affected community up until 2016. Even after inclusion, no public discussions have been organized in Jermuk, although it is required by law.
The mine at Amulsar has not opened yet; however, construction of the mining sight has been partially done. From June 22, 2018, the local population took the matter into its own hands and has been blockading the mining roads, preventing further activity on the mine.
Here are some key environmental, socio-economic and human health reasons to support why gold-mining in Amulsar must not be allowed:
1. Acid drainage, an outflow of acidic water from mining, is one the gravest and unmanageable risks of the project. Amulsar is located in close proximity to a number of strategically important water resources for the country: Arpa, Vorotan and Darb rivers, Kechut and Spandiarian water reservoirs, Vorotan-Arpa-Sevan water tunnel, Jermuk mineral waters; dozens of freshwater sources start near the mountain. Acid drainage will lead to pollution of these waters, making them unfit to use for irrigation or drinking. Internationally famous experts after studying Lydian’s documents concluded that “Lydian and its consultants have made simplistic and inaccurate statements about the potential of the mine to pollute waters.”
2. Gold will be extracted using cyanide, a highly poisonous substance. Cyanide gold extraction is banned by many countries due to the devastation it causes in the event of accidents. Trucks carrying 1000 tons of cyanide annually will pass hundreds of kilometers through dozens of towns and villages of Armenia. Meanwhile, no expert assessments have been carried out for ensuring technical safety of transportation, routes, sustenance and the use of cyanide.
3. After collecting the industrial water for 5 years, Lydian plans to release it into the Arpa River, cleaning it only from cyanide. Heavy metals such as arsenic, zinc, lead present in highly toxic levels will flow into the Arpa River, the primary source of irrigation water for more than five large villages that produce a substantial portion of Armenia’s wine and agricultural products. The inhabitants of these areas were never informed about potential large-scale contamination to their agricultural lands and the devastating impact it will have on their lives.
4. The Jermuk population has been employed in the world renowned spa, tourism, healthcare and related fields for decades. Jermuk mineral water is exported to many countries. What will happen to these jobs if the town and its mineral waters are contaminated? These risks were not even assessed. This is also stated in the World Bank CAO report. Neither Lydian, nor the state bare responsibility for the potential social-economic losses of the residents and businesses located in the area. While mining will bring 700 temporary mining jobs for 10 years, several thousand long-term jobs are at the risk of being permanently lost.
5. The territory of Armenia, including the area of Amulsar, has important hotspots of biodiversity for the region and for the entire Planet. Birds, reptiles, mammals, insects and plants listed in the Red List of Threatened Species inhabit in the area of Amulsar; in addition, migration routes of Red List species (Armenian mouflon, leopard, bezoar goat, etc) run through this area.
6. According to explorations carried out back in 1955, large quantities of uranium and thorium are present in the Amulsar area. This can have enormous consequences on human health, ecology and the economy, while not a word on these deposits is mentioned in the Amulsar gold mining project.
You can learn more information about the issue from the following sources: http://www.saveamulsar.com
Armenian Environmental Front’s website: http://www.armecofront.net/en/ and its Facebook page https://www.facebook.com/armecofront/
Additionally, you can watch the video on YouTube called “Amulsar: State of Indifference” that gives thorough background information on the issue.
I knew the author in his university days and he is simply a conservative/republican that believe the government should play no role in growing the economy. Let the industry do as it will, is his philosophy and it is quite evident in this article.
This is not objective news, this is biased. At least do the respectable thing and state your biases Raffi.
I remember that when I was writing for this media, pretty much one sided, presenting social issues, civil society’s perspectives in Armenia, I was blamed by the editors for being one sided, maybe even socialist. Now seeing this liberal one sided author promoted in this newspaper, I wonder if the editors understand that the problem was not one sided-ness of the reporters, but pretty much the editors’ own liberal views? Good luck in going further into neoliberalism :)
Everyone knows that the judicial system in Armenia is filled with previous systems “dogs” and needs major reforms!! A ruling like this is devastating for our country. There are people who value the millions of dollars invested from Lydian into Armenia more than the fact that mining projects like this will be the cause for Armenia’s dissapearance after thousands of years of survival, even in the hands of Turks, Persians, Russians, etc. But articles like this prove we are our own worst enemy, we survived everything, but there is little to no hope in surviving our own greed, ignorance and lack of humility
!
No one doubts that industrial and mining activities have a negative effect on the environment.
Does anyone remember the Soviet-Armenian youth protesting (in 1988-89) against our nuclear power station in Medsamor; how they succeeded in having it shut-down. Perhaps the people now protesting against this Amulsar project have forgotten how much the Armenian people have suffered as a result of these well-intentioned young environmental purists action. It took us years of efforts to try and re-open the NPP, but we were only able to re-instate only one of the two nuclear reactors.
Our Medsamor NPP presents a much higher risk (of damage to our environment) than the Amulsar project. Often, we have to make difficult choices.
It’s not a legal opinion but just as Lydian and the Court upheld
private property rights, couldn’t local communities legislate
strict environmental laws prohibiting the sale, usage
and transport of deadly chemicals like cyanide and mercury?
Other laws prohibiting run-off from the mine and any damage
to the environment could be established with severe fines
and prison time for violators.
Do local communities have any power to
legislate these type of laws or is my suggestion
laughable?
Sometimes you have to fight fire with fire.
So will the court change its mind when everything gets polluted?
The Administrative Court of the Republic of Armenia is tasked with upholding the law of the RA, not make judgements on whether or not mining is a moral activity.
Good article. The environmentalists should meet with the company to iron out issues. Without Capital Investment and contract that are honored between Armenia and companies, there can be no progress, no jobs, and no improvement of standard of living.
I wish reporting in Armenian Weekly was more objective, instead it is sprinkled with biases to make readers sympathize with Lydian. Why, for example, the article puts in bold letters how much money Lydian brought into Armenia last year, and that Lydian was the largest taxpayer?
Surely, this data is correct, but it is what is not mentioned that makes this a piece of propaganda. For example, why article doesn’t mention that 90% of local citizens are opposed to the mining, or that because of pollution in the long-run the mining will cost more money to Armenia than it is going to bring. Why it doesn’t mention extremely weak environmental protection laws in the country, legacy from the old regime, and hence people taking charge of the situation because they don’t want to lose their livelihood.
The consequences from Lydian’s activities will be so devastating that I don’t understand how anyone who cares one drop for Armenia would allow the gold mine to function. It includes acid drainage which may cause nearby waters to become unfit for irritation and drinking, and remember Amulsar is located in close proximity to a number of strategically important water resources for the country: Arpa, Vorotan and Darb rivers, Kechut and Spandiarian water reservoirs, Vorotan-Arpa-Sevan water tunnel, Jermuk mineral waters; dozens of freshwater sources start near the mountain. Think about it! Not even our worst enemies would come up with the idea of polluting the core of country’s water resources! Another problem: moving 1000 ton of deadly cyanide a year across the country; another, Lydian letting its industrial waters filled with heavy metals get mixed with irrigation waters , the primary source of irrigation water for more than five large villages that produce a substantial portion of Armenia’s wine and agricultural products. And what is going to happen to Jermuk? Already tourists don’t want to go there.
But Armenian Weekly and its reporter, Mr. Raffi Elliot, don’t seem to care about these aspects. All Raffi Elliot seems to care is quoting Lydian executives and showing numbers taken out of context. It is truly sad. The readers deserve better, much, much better!
Thanks Hasmik for your valued input. Mining and specially gold mining leaves a long term toxic and devastating effects on the local environment. An open-cut mining will leave a forever scar in the region that no amount of money can replace. we have a tiny country, we should cherish every square meter of it.
I’m ashamed as a Canadian-Armenian of the tone of this article citing criminal codes and blaming the protesters for breaking the law, as if it’s sponsored by Lydian!!! well Raffi Elliott what do you want them to do if a foreign company (who presumably bought out local politicians) is out here to destroy your town’s fields and mountains?
journalism Mr. Elliot!
Thank you for the comment @Garo,
However, it is not the Armenian Weekly which declared the protesters to be engaged in criminal activity. The Administrative Court of the Republic of Armenia passed a ruling that the protesters broke the law. AW just reported it. You’re free to your opinion on whether the mine is immoral or not.
Hasmik, judging from your comment, I will assume that you didn’t bother to read the article before skipping to the comments section. A lot of the points you raise have been specifically mentioned in the article.
Having read the whole thing, the article is clearly discussing the legal proceedings over the protest and isn’t passing any judgement (either positive or negative) over the mine itself. It looks like you simply inserted a lot of your own biases over the matter in the article.
It is unfortunate and most disturbing that Mr. Elliott takes an “Us against Them” attitude in this article. He makes it seems as if Lydian is an injured party, and the defenders are just a bunch of activists going against big business. No one is against business; the 3,000 Jermuk residents who signed a petition to immediately stop the Amulsar Mining Project did so to protect themselves, the environment, and future generations of people, animals, and agriculture. There are already studies that have proven the devastation of the use of toxic cyanide in the extraction of the gold, and the resulting pollution of heavy metals into the rivers which feed into Lake Sevan. There are devastating health and environmental consequences of these actions that far exceed the amount of money Mr. Elliott says Lydian will be providing to the Armenian government “coffers”. Please read the following Amulsar background information sheet distributed by Zoravik activist collective, in conjunction with a petition drive to save Amulsar.
Background Information on the Amulsar Gold Mining Project – January 2019
Starting from 2006, Lydian, an off-shore company registered in Jersey, Channel Islands, has acquired permits from previous Armenian governments to mine gold in Amulsar, a mountain located in the Vayots Dzor region of Armenia. It is worth mentioning that Lydian was a newly created entity with no prior mining experience. Additionally, the former governments of Armenia violated a number of laws by approving the Amulsar gold project, including provisions of The Law on Environmental Impact Assessment and Expertise, The Law on Lake Sevan, The Water Code, The Mining Code, The Law on Flora, and The Law on Fauna.
From the very beginning, environmental groups and independent scientists were strongly opposed to the project. The local community, once educated on the grave risks the mining entailed, became adamantly against it as well. However, the outcry of the public fell on deaf ears. In fact, Jermuk, the largest community in the area and only 10 km away from Amulsar, had not been included as an affected community up until 2016. Even after inclusion, no public discussions have been organized in Jermuk, although it is required by law.
The mine at Amulsar has not opened yet; however, construction of the mining sight has been partially done. From June 22, 2018, the local population took the matter into its own hands and has been blockading the mining roads, preventing further activity on the mine.
Here are some key environmental, socio-economic and human health reasons to support why gold-mining in Amulsar must not be allowed:
1. Acid drainage, an outflow of acidic water from mining, is one the gravest and unmanageable risks of the project. Amulsar is located in close proximity to a number of strategically important water resources for the country: Arpa, Vorotan and Darb rivers, Kechut and Spandiarian water reservoirs, Vorotan-Arpa-Sevan water tunnel, Jermuk mineral waters; dozens of freshwater sources start near the mountain. Acid drainage will lead to pollution of these waters, making them unfit to use for irrigation or drinking. Internationally famous experts after studying Lydian’s documents concluded that “Lydian and its consultants have made simplistic and inaccurate statements about the potential of the mine to pollute waters.”
2. Gold will be extracted using cyanide, a highly poisonous substance. Cyanide gold extraction is banned by many countries due to the devastation it causes in the event of accidents. Trucks carrying 1000 tons of cyanide annually will pass hundreds of kilometers through dozens of towns and villages of Armenia. Meanwhile, no expert assessments have been carried out for ensuring technical safety of transportation, routes, sustenance and the use of cyanide.
3. After collecting the industrial water for 5 years, Lydian plans to release it into the Arpa River, cleaning it only from cyanide. Heavy metals such as arsenic, zinc, lead present in highly toxic levels will flow into the Arpa River, the primary source of irrigation water for more than five large villages that produce a substantial portion of Armenia’s wine and agricultural products. The inhabitants of these areas were never informed about potential large-scale contamination to their agricultural lands and the devastating impact it will have on their lives.
4. The Jermuk population has been employed in the world renowned spa, tourism, healthcare and related fields for decades. Jermuk mineral water is exported to many countries. What will happen to these jobs if the town and its mineral waters are contaminated? These risks were not even assessed. This is also stated in the World Bank CAO report. Neither Lydian, nor the state bare responsibility for the potential social-economic losses of the residents and businesses located in the area. While mining will bring 700 temporary mining jobs for 10 years, several thousand long-term jobs are at the risk of being permanently lost.
5. The territory of Armenia, including the area of Amulsar, has important hotspots of biodiversity for the region and for the entire Planet. Birds, reptiles, mammals, insects and plants listed in the Red List of Threatened Species inhabit in the area of Amulsar; in addition, migration routes of Red List species (Armenian mouflon, leopard, bezoar goat, etc) run through this area.
6. According to explorations carried out back in 1955, large quantities of uranium and thorium are present in the Amulsar area. This can have enormous consequences on human health, ecology and the economy, while not a word on these deposits is mentioned in the Amulsar gold mining project.
You can learn more information about the issue from the following sources:
http://www.saveamulsar.com
Armenian Environmental Front’s website: http://www.armecofront.net/en/ and its Facebook page https://www.facebook.com/armecofront/
Additionally, you can watch the video on YouTube called “Amulsar: State of Indifference” that gives thorough background information on the issue.
I knew the author in his university days and he is simply a conservative/republican that believe the government should play no role in growing the economy. Let the industry do as it will, is his philosophy and it is quite evident in this article.
This is not objective news, this is biased. At least do the respectable thing and state your biases Raffi.
I remember that when I was writing for this media, pretty much one sided, presenting social issues, civil society’s perspectives in Armenia, I was blamed by the editors for being one sided, maybe even socialist. Now seeing this liberal one sided author promoted in this newspaper, I wonder if the editors understand that the problem was not one sided-ness of the reporters, but pretty much the editors’ own liberal views? Good luck in going further into neoliberalism :)
Everyone knows that the judicial system in Armenia is filled with previous systems “dogs” and needs major reforms!! A ruling like this is devastating for our country. There are people who value the millions of dollars invested from Lydian into Armenia more than the fact that mining projects like this will be the cause for Armenia’s dissapearance after thousands of years of survival, even in the hands of Turks, Persians, Russians, etc. But articles like this prove we are our own worst enemy, we survived everything, but there is little to no hope in surviving our own greed, ignorance and lack of humility
!
No one doubts that industrial and mining activities have a negative effect on the environment.
Does anyone remember the Soviet-Armenian youth protesting (in 1988-89) against our nuclear power station in Medsamor; how they succeeded in having it shut-down. Perhaps the people now protesting against this Amulsar project have forgotten how much the Armenian people have suffered as a result of these well-intentioned young environmental purists action. It took us years of efforts to try and re-open the NPP, but we were only able to re-instate only one of the two nuclear reactors.
Our Medsamor NPP presents a much higher risk (of damage to our environment) than the Amulsar project. Often, we have to make difficult choices.
It’s not a legal opinion but just as Lydian and the Court upheld
private property rights, couldn’t local communities legislate
strict environmental laws prohibiting the sale, usage
and transport of deadly chemicals like cyanide and mercury?
Other laws prohibiting run-off from the mine and any damage
to the environment could be established with severe fines
and prison time for violators.
Do local communities have any power to
legislate these type of laws or is my suggestion
laughable?
Sometimes you have to fight fire with fire.