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EcoLur: SOS Response connected with Amulsar received

Economy
042730151264

SOS Amulsar initiative received response from IFC CAO office The CAO (Office of the Compliance Advisor Ombudsman) produced a compliance appraisal report on the complaint on Amulsar open pit mining project and the construction of a heal peach facility implemented by Lydian International Company. IFC holds a 7.9% equity share in Lydian. The report combines two complaints: one complaint was lodged to the CAO in April 2014 on behalf of  the representatives of 9 NGOs and 'green' civic initiatives. It raised issues including alleged violations of IFC’s Performance Standards and national regulations, as the project bears high risks for the strategic resources of Armenia and Caucasian Region – the drainage basin of Lake Sevan, Arpa and Vorotan Rivers, Kechout and Spandaryan reservoirs, Jermuk resort, specially protected areas, biodiversity, cultural and historical heritage, agricultural land areas, as well as for the local communities. The reason is the contamination of the environment with toxic metals and wastes of the heap leach facility, which will occupy an area of 144 ha and will spread the contamination further through the washout from the mine and industrial wastes into the river, through dust and penetration into the soil, food chain etc. The public representatives demanded from the CAO to conduct an investigation on IFC standard compliance with the further recommendation to classify the project as A category with significant adverse impact from Category B and to suspend its activities as Lydian's shareholder as prescribed for Category A projects. The other complaint was lodged by Gndevaz villagers with 210 signatures. The villagers are exposed to high risks because of the construction of a heap leach facility in the area of their village on the spot of their orchards. The complaint says that the villagers are already experiencing problems with the realization of their products, as the image of ecologically clean products they produce has fallen down, as the village is turning into a mining area. The villagers are drastically demanding from the company and the IFC to get out of the village and to stop the project. More on the source website