Some things change only to remain the same. It’s no coincidence that gold mining is a colonial legacy that runs through the history of the Amazon, carrying its old harms into the present. Although mining has been regulated by the Mining Code since 1989 and is legally classified as a high-impact socio-environmental activity, it operates under an outdated legal framework that fuels cycles of exploitation and sustains impunity. That’s because the current regulatory structure was designed for small-scale operations, far removed from today’s reality, in which large-scale enterprises operate under the guise of artisanal mining. This obsolete regulation, combined with unjustified relaxations in environmental licensing and a lack of transparency in implementing safeguards, allows so-called “legal” mining to cause the same damaging effects as illegal mining – such as deforestation, mercury contamination, conflicts with traditional communities, and slave labor. Therefore, real structural change requires more than simply changing laws – it requires keeping pace with the times.
In Brazil, gold is the main driver of mining activity, spurred by its high value in global markets and ease of trade. Currently, 85% of mining operations in the country focus on gold extraction, and over 90% of all mined areas – legal and illegal – are concentrated in the Legal Amazon region. Between 2016 and 2023 alone, more than 80% of gold mining permits issued in the country were granted for this region, covering a total of 630,000 hectares – an area four times the size of the city of São Paulo.
The states of Pará and Mato Grosso hold most of these permits. In the case of Pará, the situation is even more critical: environmental licensing is decentralized to municipalities and occurs through a simplified process, with little transparency and minimal oversight. Pará, nationally and regionally significant, combines extensive forest cover with a high number of mining sites eligible for legalization, conditions that could position it as a leader in responsible mining management. However, poor governance in the licensing process has contributed not to the strengthening of public policy but to a collapse in the region.
These findings come from the study Legal Gold Mining in the Amazon: Recommendations for Proper Socio-environmental Impact Control, published by the Climate Policy Initiative (CPI/PUC-Rio) and the Amazon 2030 project. In the study, the authors analyzed the environmental regulations applied to mining and concluded that even when conducted legally, mining lacks effective mechanisms to prevent or mitigate its socio-environmental impacts in the Amazon. Thus, the State’s negligence, embodied in regulatory and enforcement failures, creates fertile ground for the uncontrolled expansion of legal mining, which increasingly adopts a corporate business model.
Mining cooperatives operate in areas 178% larger than those exploited by individuals and small firms combined, and more than double the average for private companies. The numbers confirm that mining has ceased to be a small-scale, artisanal activity and has become a corporate, industrial enterprise, without the corresponding evolution in environmental standards and oversight. To prevent further regression, it is crucial to update regulations to reflect the current reality, both at the federal and state levels – before the consequences become irreversible.
Researchers argue that the first – and most important – step is to require mandatory preliminary research for all mining activities, especially those carried out by cooperatives. Currently, this requirement applies only to industrial mining. Such a step would ensure greater environmental oversight and help combat gold laundering, which still occurs even in legal operations.
Further loosening of mining regulations is not an option in the face of the alarming situation we face. That’s why researchers recommend shelving bills currently under consideration in Congress that aim to do just that. States have a decisive role in this process, especially Pará, which could lead public initiatives to strengthen environmental licensing through greater technical rigor, transparency, and institutional capacity. Without profound reforms, gold mining in the Amazon will remain an unchecked vector of destruction—with the State’s stamp of approval.
*This opinion piece is the responsibility of its authors and does not necessarily reflect the views of ((o))eco.