Romania needs a grant scheme for the non-ferrous mining sector to supply the industry, which has not been doing well recently, with much-needed raw materials such as copper, finance minister Marcel Bolos argued, unveiling the draft of such a scheme, Bursa.ro reported.

The gold mining would be among recipients, minister Bolos stressed – a striking remark at a time when Romania is waiting officially for the outcome of the litigation with Gabriel Resources on the blocked gold mining project Rosia Montana. Unofficially, the negotiations for an amicable solution continue, according to rumors.

Minister Bolos made during a short time a series of comments on the Rosia Montana project, the subject of political attacks among main political parties that were all, at different times, involved in the case. 

Firstly, the government circulated a high value of the compensations (up to USD 6.7 billion) required by Gabriel Resources. Such data is confidential, though, and can not be confirmed with documents. Secondly, minister Bolos stated that Gabriel Resources had already invested USD 1 billion, although it needs to be clarified for what.

Finally, Marcel Bolos stated that "non-financial settlement" of the litigation is possible, implying that this would mean the continuation of the project and would be more favorable to Romania as the country can't afford to pay billions of dollars at this time.

Romania Curata, an NGO that advocated constantly against the gold mining project, adds more details that put the comments made by minister Bolos in context. Gabriel Resources holds a valid license (as confirmed by minister Bolos) and can continue the Rosia Montana gold mining project, Romania Curata argues – but the investor wants the Rosia Montana region out of the list of UNESCO-protected sites for ESG reasons. 

Romania Curata claims that the Romanian government and Gabriel Resources have already agreed to go ahead with the project, but the government needs to sell the story to its voters as a "ruling" coming from the World Bank's ICSID court – and not as an amicable agreement that may have attached hidden elements of corruption. Ideally, such a "ruling" would recommend Romania keep Rosia Montana off the list of UNESCO-protected sites. The NGO argues that the billions of dollars Romania risks paying would increase the acceptance of such a story.

iulian@romania-insider.com

(Photo source: Inquam Photos/Sabin Cirstoveanu)