Venezuela’s National Assembly, dominated by the ruling Socialist party, has advanced a new mining law intended to open the nation’s mineral sector to private and international investors. The draft law received its first approval on March 9, 2026, and signals a rare policy realignment as the government seeks outside capital despite ongoing international sanctions. These moves have unfolded under the leadership of Acting President Delcy Rodriguez, who has promoted economic reforms since January 2026.
US Coordination Strengthens Amid Sanctions
Recent developments reflect a changing dynamic between Venezuela and the United States. Washington, under President Donald Trump, has publicly recognized Rodriguez’s economic agenda and offered direct support for her reforms. The US Secretary of the Interior, Doug Burgum, visited Caracas shortly before the mining bill passed its initial vote, highlighting growing bilateral coordination. Burgum backed Venezuela’s legislative initiative and discussed future opportunities for foreign companies entering the country’s resource sector.
Soon after Burgum’s visit, the US announced a special license permitting certain gold operations involving Venezuela’s state-controlled miner, Minerven. This license allows transactions with Minerven and its subsidiaries under strict legal conditions governed by US law. The move represents a shift in American sanctions enforcement—selectively permitting trade involving strategic resources while maintaining broader restrictions.
Legislation Opens Opportunities for Foreign Firms
The new mining legislation overturns regulations that have been in place since 1999, extending mineral concessions to a maximum of 30 years and explicitly enabling participation by private and foreign businesses. Under the bill’s terms, domestic and international miners gain access to Venezuela’s gold, diamond, and rare earth resources, though mineral assets remain state property. For potential investors, contracts will be governed by international arbitration, and updated tax provisions are also included.
While the law is designed to attract global mining companies, questions remain due to Venezuela’s unresolved debts to foreign firms, including Crystallex, Gold Reserve, and Rusoro Mining, following past expropriations.
The bill passed its first reading with backing from the ruling party, which controls the legislature. However, at least one opposition faction abstained, arguing that lawmakers were not given adequate time to study the proposal. National Assembly President Jorge Rodriguez dismissed such concerns, maintaining that the review process was fair and uniform for all members. Two more debates are necessary before the law’s final approval, but the outcome is anticipated to favor the government coalition.
A notable inclusion in the legislative update is the provision for international arbitration, which could boost investor confidence in a market previously marked by legal uncertainty and high sovereign risk. The draft also accounts for new fiscal policies targeting mining projects, further aligning Venezuela’s model with frameworks familiar to foreign stakeholders.
Although Venezuela has yet to verify the existence of rare earth reserves within its borders, these metals have grown vital for industries such as renewable energy and advanced computing. Official statements indicate that the legal overhaul is a preemptive step to facilitate exploration and foreign interest, should significant deposits be discovered in the future.
