Being a vast country with a strong economy, political stability, and an attractive financial market, Mexico weighs amongst the world’s biggest metal producers.
Mexico has vast mineral assets, for instance, Mexico has over 3.5% of gold, 15.4% of silver, and 2.7% of copper mining productions in the world, and this various variety is drawing in several investors consistently into the country.
Mexico has an open and impressive mining industry, drawing in investors from all corners of the globe making it one of the largest metals and minerals producers in the world.
Steps for Setting up your Mining Company in Mexico
The Mexican mining industry has huge potential and pulls in a variety of foreign investors. Be that as it may, putting resources into Mexico’s mining industry and setting up a mining company in Mexico can be a complex process. You have to complete a series of procedures and ask for approvals and authorizations from numerous authorities to set up a mining company. In legal terms, the incorporation of a Mexican mining company can be accomplished by a foreigner. However, it is highly recommended that the foreigner engage the services of a local company that understands the regulations and can guide him/her through the intricacies of setting up a mining company in Mexico.
Over this, setting up a mining company in Mexico compels a few procedures, approvals, and authorizations.
The main steps to establishing a mining company in Mexico are the following:
The first step in establishing your mining company in Mexico is asking the Secretariat of External Relations (Secretaría de Relaciones Exteriores – SER) for authorization to use your chosen name (razón o denominación social) and to incorporate your company. Next, you must attend a public notary to have the incorporation document registered.
Next are the following steps:
- Step 1: Registering the company as a taxpayer with the tax authorities (Servicio de Administración Tributaria – SAT) to acquire the RFC number (tax ID for the company).
- Step 2: Registering the company in the National Registry of Foreign Investment (RNIE) and registering it with the Ministry of Economy (SE) to acquire a mining concession.
- Step 3: Asking for a meeting with the Mexican Geological Service (Servicio Geológico Mexicano – SGM) to get all of the necessary information needed to complete the research studies with respect to the mining project the foreign investor is interested in.
- Step 4: Asking the Secretariat of Environment and Natural Resources (Secretaría del Medio Ambiente y Recursos Naturales – SEMARNAT) for an environmental impact study which must encompass studies about explicit activities such as exploitation, exploration, and advantages of minerals.
- Step 5: Mexican law gives the possibility to obtain water rights through a concession and extract the natural resource from available aquifers. So you must ask for authorization from the National Water Commission (Comisión Nacional del Agua – CONAGUA) to use water resources.
- Step 6: Inscription of the company as an employer company in the Mexican Social Security Institute (Instituto Mexicano del Seguro Social – IMSS) to handle all the authorized requirements of social security for the mining employees.
- Step 7: Obtaining approval and authorization from the Secretariat of Energy (Secretaría de Energía – SENER).
- Final Step: Obtaining approval from the Ministry of Defence (Secretaría de la Defensa Nacional – SEDENA) for the purchase, storage, and use of explosives in the mining project.
The mining industry in Mexico is thriving as various and significant investments, both domestic and foreign, have gushed into the industry over the last several years.
Setting up a Mexican mining company might be a complex process but with the right firm by your side, it will be considerably easy. In other words, let’s go ahead and contact your Damalion experts now for your mining company incorporation in Mexico.
