The concept of sovereignty accompanied the nationalization of the gold supply, whose decree "the State reserves the exploration, exploitation and marketing of metal" with the exception of China, which manages its financial strength with the granting of the richest gold deposit.

Natalie Garcia

The most important deposit of Latin America was awarded to a Chinese company, shattering the hopes of the local miners. William Urdaneta Photo / File

The decision took some by surprise, in part because in 2011 it issued the controversial Decree 8413 - "nationalization of gold" - which excluded private enterprise and small-scale mining.

The legal instrument "the State reserves the exploration, exploitation and marketing of metal" and provides for the possibility of joint ventures as long as 55 percent of the shares are capital. The formation of such alliances must be approved first by the National Assembly by a simple majority.

However, has not yet been revealed the nature of the agreement between China and Venezuela signed allowing the exploitation of the deposit located in the municipality of Bolivar state Sifontes,

Las Cristinas, which includes the award was granted Crystallex and Brisas del Cuyuni, has proven gold reserves of at least 31 million ounces, according to official data.

Uncertainty mining
Since 2002 many of the concession areas are populated by illegal miners. The president of the Miners' Federation of Bolivar State, Abelardo Diaz believes there may be some 8000 people working at the site, a situation which in his opinion will hinder installation of Asians.

Diaz argues that the agreement with the Chinese is fully revealed, but prefers to wait for a hypothetical change of government.

"We have faith that there is a change in the presidency. The mining sector has been badly beaten, and there is great discontent, much. The miners are not going to be fooled, "he added.

Diaz believes that the compromise between the Asian giant and Venezuela contrary Decree 8413, which established the annulment of private companies in the field, except for accepting the conditions with the government, as seems the case Citic Group.

For his part, Carlos Chancellor, candidate for mayor of Sifontes and who was jailed seven years for supporting the miners who protested against Crystallex, was surprised by the government's announcement.

"There is misinformation, the government again handles concessions and wants and this time choose a Chinese company, with the exception that will give you all the power while the mining town remains the question. I estimate that at least 3000 people are working there, only in that area. "

For Chancellor, the new government's decision to Hugo Chavez threatens mining, forgetting that the sector could benefit many people in the region, if well managed with new technologies friendly to the environment.