Nicaragua awards gold mining rights to firm tied to sanctioned Chinese company
Nicaragua granted a 25-year concession to Linze Excelente Mineria, a company linked to Xinxin Linze Mineria, which was blacklisted by the US Treasury in April. The concession covers 262 square kilometres of rainforest. Corporate filings show shared legal representation between the two firms.
The Jade concession spans 262 square kilometres, roughly a quarter of Hong Kong's area, and lies in a region where gold was first discovered in 1880. Linze Excelente Mineria only entered Nicaragua's mining registry last year, yet secured the 25-year extraction rights.
Corporate records reveal Lijun Dong serves as legal representative for both the concession holder and the sanctioned Xinxin Linze Mineria Group. Shiliang Yang, who signed the Jade title, also acts as counsel for the blacklisted firm, which the US Treasury penalized in April for receiving vast acreage and exporting over $25 million in gold to America during early 2025.
This concession could further entrench Nicaragua's economic dependence on Chinese investment, potentially altering local land use and environmental conditions in the rainforest block. For the Ortega government, it may provide a crucial source of hard currency amid ongoing US sanctions. Local communities could face displacement or ecological harm, while Washington may view the move as a direct challenge to its sanctions regime, potentially escalating diplomatic tensions.