Latin America is a global mining powerhouse. We need to keep it that way.

Latin America is a global mining powerhouse.

According to the OECD, Latin America's strategic importance to the world's mining industry is gaining rapid traction.

As the world races toward a Net Zero future, the region's capacity to supply essential materials for low-carbon technologies puts it at the forefront of the global mining industry.

But commentators have questioned whether it can maintain this momentum.

Some companies in Latin America and the Caribbean are already rising to the occasion, offering examples of what sustainable, forward-thinking mining can look like.

Environmental issues and challenges still lie at the heart of the sector. When creating and building the infrastructure for Latin America to compete with some of its biggest market rivals, important considerations remain.

Environmental demands are increasing, and mining companies must ensure they have the capabilities to deal with them.

In the Dominican Republic, the mining company DOCALSA is keeping up with environmental demands. For example, building sustainable infrastructure has enabled it to consume 51% less energy, while also wasting fewer primary materials. Furthermore, for each production line, DOCALSA states it uses 100% of its extracted materials, ensuring they do not generate waste.

Meanwhile, a little further afield in Chile, the state-owned mining company CODELCO is ensuring it implements what it calls a circular economy. This includes recycling 65% of its industrial waste, recycling 100% of mine truck tires, and ramping up the recycling efforts for primary, non-hazardous solid industrial waste from its operations. This showcases the critical role that sustainability objectives play within wider business strategies.

But sustainability is not the only driving force keeping the region at the forefront of the sector—advancements in governance are also making significant strides.

The creation of core governing bodies, including the likes of SERNAGEOMIN in Chile, will enable the industry to be properly regulated, allowing sustainable and profitable businesses to grow. Its vital role in ensuring safety, regulatory compliance, and geological mapping and research contributes directly to creating a more secure mining environment.

In the Dominican Republic, the Mining-Petroleum Chamber of the Dominican Republic (CAMIPE) focuses on a variety of topics, including ensuring companies uphold environmental standards, optimising FDI, and compliance promotion. The commitment of companies like DOCALSA to membership in such organisations reflects the momentum building toward more companies aligning with bureaucracy and regulation.

Improved governance is not solely a bureaucratic exercise—it is a tool to provide the region with a competitive advantage. Clear, predictable regulations attract responsible investors and FDI, reduce social conflict, and ensure that mining projects benefit both companies and local populations.

Latin America must also call on its companies to improve, and policymakers must also demand transparency in regional supply chains.

Ensuring companies can source and use reliable data is vital if the industry is to maintain its role in the Latin American economy. Real-time, verifiable data on emissions, waste, and supply chain traceability must become the norm.

The OECD highlighted that reliable data is essential for informed decision-making and for building trust among stakeholders. However, this requires investments in digital infrastructure and a commitment to transparency within the supply chain.

Right now, Latin America sits at a juncture in mining.

It can either become a global model for sustainable, inclusive operations or risk deepening inequality and environmental degradation. The examples of DOCALSA and CODELCO show what is possible when industry aligns with sustainability goals.

Yet true change will stem from more sustainable initiatives, more transparent governance, and reliable data, to ensure that mining not only powers the green transition but also keeps Latin America ahead of the curve when it comes to leading the mining sector.

Now is the time to prove Latin America is not just rich in resources, but rich in vision too.