BRAZIL Trends and Developments Contributed by: Tiago de Mattos Silva and Bruno Costa, William Freire Advogados Associados
William Freire Advogados Associados Av. Angélica, 2.491 Conj. 161 Higienópolis, 01227-200 São Paulo/SP Brazil Tel: +55 3199 2231 951 Email: tiago@williamfreire.com.br Web: www.williamfreire.com.br
Overview of the Brazilian Mining Industry The mining industry represents roughly 4% of Brazil’s GPD. Mining was responsible for rev - enues on the order of BRL86 billion from taxes and royalties in 2023. In 2023, the balance of trade from mining – almost USD32 billion – was equal to 32% of Brazil’s trade surplus. Brazil features considerable geological diversity and is home to some world-class mining pro - jects. The country is a major player and is ranked globally in terms of production of niobium, iron, manganese, graphite and bauxite. In recent years Brazil has become the home of important projects associated with the critical and strategic minerals needed for the green energy transition, especially nickel, copper, rare earth minerals and lithium. Minas Gerais and Pará are the states with the highest production levels, and are therefore also the states with the highest mining industry tax takes and royalty payments. Bahia, Goiás and Mato Grosso are also rapidly evolving in terms of rare earth, gold, and nickel projects.
The Regulatory System for the Brazilian Mining Industry is Stable and Consistent The regulatory system for mining in Brazil is con - sistent and relatively stable. The Mining Code, which originally dates to 1967, has undergone changes over the decades, though most struc - tural issues associated with the acquisition, maintenance and loss of mining titles have been preserved. The mining legislation has advanced through related laws, such as Law 13.575/2017, which created the Brazilian Mining Agency (ANM) and Law 12,334/2010, later amended in 2020, which addresses the National Dam Safety Policy (PNSB). Legal and Regulatory Advances In recent years, Brazil has seen some impor - tant regulatory changes, especially those that occurred after the creation of the ANM in 2018. The ANM replaced the National Department of Mineral Production (DNPM). The ANM consti - tutes a new format for public governance that is focused primarily on joint decision-making and permanent dialogue with stakeholders. The work culture inside the ANM is in the process of changing, although there are still many obsta -
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