For the AN contract with Crystallex Las Cristinas was a right
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November 1, 2010, 2:14 a.m. | In 2002, Rangel Gómez said $ 550 million is needed to develop Las Cristinas After eight years of the departure of then President of the CVG to the NA, as usual Cancellation

Speaking at the National Assembly, General Rangel Gomez said that earnings for the Venezuelan government are as follows:



1 Canceling the Min-Power 3% of the severance tax, according to Article 90 section two of the Mining Act.

2 Cancellation of between 1% and 3% royalty to the CVG for the production of gold.

3 Payment of Income Tax of 34% of revenues.

4 Crystallex assume production costs and the payment of interest on financing.

5 CVG does not disburse money for the project. Recruitment Among the relevant aspects considered by the board of the CVG for the recruitment of this operator were: 1 The plight of the communities surrounding the reservoir.

2 The request of the CVG communities to expedite the selection of the operating company.

3 The threat of invasion to the site.

4 The formal presentation of the proposal to reactivate the site by a single company.

5 The implementation of a social plan.

Besides these aspects, Crystallex said "his confidence in the country, proposing to meet the investments required to develop the site," said General Rangel Gomez, on that occasion, on 20 November 2002.

Thus said, the CVG proceed to select the company Crystallex de Venezuela CA to develop exploration and exploitation of gold award Las Cristinas 4, 5, 6 and 7, considering that it meets all requirements.

The CVG president then went to the City Council Sifontes in regular session number 35, agreed to support Crystallex as operating company.

Again one might ask, why was required City Council approval but not the NA and the Office of a contract that was in the public interest? Carmen Carrillo

Special World

On November 20, 2002, Francisco Rangel Gomez, then president of the Corporacion Venezolana de Guayana, appeared before the Standing Committee on Energy and Mines of the National Assembly to present the results of the CVG in the companies under his tutelage.

Was mentioned in a separate chapter to Las Cristinas and stated that it needed $ 550 million to develop the area. "The potential of gold is 299,963 kilograms, with an average tenor of 12 grams per ton," says a report which had access Emen.

He also highlighted the potential of copper and noted that this and the gold could generate 12,000 jobs in the construction phase, and that the operation would be a great boost for the economy in southern Bolivar state.

The official recalled that the CVG had signed with Placer Dome in 1992, a contract for exploration and exploitation, but in 2001 there had been some of the mineral exploitation.

He explained that the Canadian company sought a new investor, Vanessa Venture, despite the Venezuelan government waited for the activation of the mine there was no gold mine.

In the end, the general explained to Members that the contract was terminated for breach of Placer Dome.

So you come to decree 1757, April 2009, published in the Official Gazette of May 7, 2001, and that arises from the statement of President Hugo Chávez to the Ministry of Energy and Mines of hiring the CVG or other unique entities property of the Republic for which work started in Las Cristinas.

At that time the Venezuelan Guayana Corporation conducts the transaction with Crystallex, a company that is not the exclusive property of the state, so that any lawyer to defend the interests of the nation could invoke that decree based on the invalidity of that contract between CVG and Crystallex.

After eight years of Rangel Gómez's assistance to the National Assembly and the Standing Committee of Foreign Policy has learned the reality in the area, has not stopped the misery in communities across the southern state of Bolivar and Crystallex did not begin operations .

Francisco Rangel Gomez explained to legislators that after receiving instructions from the Ministry of Energy and Mines has received contributions of Gold Reserve, Gold Fields, Barrick Gold, Anglo Gold, Gammon Lake Resources, Golden Corp. and Crystallex and the only company that submitted a mining recovery proposal for the area was Crystallex.

The Venezuelan government revenue for the project were calculated in $ 530,542,745, not including the cost of social plan.

Some argue that by law any company to undertake a contract with the Venezuelan state must meet all requirements.

It was approved as part of the CVG report submitted to the Permanent Commission of Energy and Mines, which was signed by Mr Luis Salas, president, Carlos Santa Fe, vice president; Calixto Ortega Rios, Omar Fuentes and Luis Padilla.

Appear as part of the commission, Adel El Zabay Samara, the late Luis Tascon, Oscar Perez and José Ramón Medina, but none signed the report.