November 07, 2008

Chavez Nationalizes Mining Industry

Chavez Fist.jpg(Caracas, Venezuela) On the heels of congratulating President-elect Obama, Venezuelan President Hugo Chavez celebrated by nationalizing one of the world's largest gold deposits, the Las Cristinas project.

Las Cristinas, operated by Crystallex International Ltd. of Canada, is believed to contain more than 16 million ounces of gold.

Therefore, along with the oil, electricity, steel, cement and the telecom industries, Hugo Chavez now has government-run mining.

And in other news, we learn that Venezuela will sign a memorandum of understanding with Russian-owned Rusoro to operate its mines.

Frankly, nobody should be surprised by this latest news from Venezuela. Any self-respecting police-state socialist knows that mines are needed for reeducating the more difficult members of the population. The Soviets used salt mines but gold mines work just as well. (more)

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