Romanian PM agrees Rosia Montana draft law needs to be improved by Parliament

The draft law permitting the Rosia Montanta gold mining project needs to be improved, the Romanian Prime Minister Victor Ponta has stated.

The PM made the comments while appearing on public television station TVR.

When the TV show moderator pointed out the bill is said to have several problems, the Prime Minister said: “Then let’s make it right in the Parliament,” reported local news agency Mediafax. In terms of modifying the law, Ponta agreed with a suggestion that the only provisions that should be retained were those regarding the state’s royalty increasing to 6 percent and the environmental guarantee. “It’s okay, so let only this remain or let’s reject it,” said Ponta. The Rosia Montana gold mining project has created much controversy in Romania since Gabriel Resources acquired a mining licence for the central Romanian site 15 years ago. It has been blocked in the past, predominantly because of environmental issues, however the Romanian government recently approved a draft law permitting the extraction. The draft law has been sent to the Romanian Parliament for a final vote. The government’s approval of the bill triggered ongoing protests across the country, both pro and against. While people in Bucharest, Iasi, Brasov, Oradea, Timisoara and other cities across the country rallied against the mining project, which would use cyanide-mining techniques requiring thousands of tonnes of the dangerous chemical, people living in Rosia Montana village staged protests in support of the project. They say the mining project would create jobs, much needed in the area. Canadian gold mining company Gabriel Resources owns 80.7 percent of Rosia Montana Gold Corporation. The Romanian state owns the rest of the shares. Irina Popescu, irina.popescu@romania-insider.com