The execution of mining projects often entails a range of complex challenges.
These include the impacts of climate change, environmental protection obligations,
engagement with local communities, the need to secure numerous permits from
competent authorities, and, most notably, difficulties in mutual understanding and
communication between contracting parties.
The lack of clear definitions from the outset of negotiations on these matters is a common
source of serious issues. At the launch of any project, the parties must be prepared to
assess the challenges ahead and engage in open, transparent dialogue to establish a
sound and workable negotiation framework.
Addressing these scenarios effectively demands an interdisciplinary approach—one that
encompasses not only the technical and engineering dimensions intrinsic to each project,
but also the legal components needed to clearly define the rights and obligations of each
party, and to ensure an equitable and well-balanced contractual relationship.
Prevailing legal standards uphold that a balanced contract exists when the obligation
assumed by one party—to deliver or perform—is commensurate with the reciprocal
obligation undertaken by the other. Whenever either party perceives that this balance
has been disrupted during the contract’s implementation, conflict is likely to arise.
Moreover, changes in the ownership structure of the contracting parties may introduce
new perspectives and interpretations, potentially giving rise to further disputes.
In recent years, litigation related to mining and energy projects has become increasingly
common. Cases have involved overlapping concessions, environmental concerns, and
tensions with local communities.
Additionally, as project execution unfolds, companies typically enter into multiple
contracts with suppliers throughout their value chains—each of which may become a
source of conflict.
To avoid costly delays resulting from external factors, it is essential that parties seek
interdisciplinary professional guidance from the earliest stages of the contractual
relationship.
International practice increasingly recommends such early-stage advisory services, as
they tend to accelerate timelines and prevent the loss of valuable time and resources.
Thus, early interdisciplinary legal counsel should be regarded as an investment that
enhances the value and viability of the project.
Professionals engaged in these processes—tasked with preventing disputes—must be
experts in their respective disciplines, whether mining or legal, and must also possess the
communication skills necessary to foster constructive, efficient interaction between the
parties.
This is no small matter: it affects not only the project’s investors but also delivers tangible
benefits to local communities, job creation, and the broader productive ecosystem linked
to each initiative.
Resolving disputes early—whether among companies, communities, or regulatory
bodies—is the most effective means of avoiding delays and ensuring successful project
completion.
