Impacts of mining in low density regions: a case study in Castro Verde

Abstract

Foreign direct investments are key elements in modern economies and many governments concentrate significant efforts in the attraction of capital to implement domestic projects. Mining activities are especially dependent on the interest of a few multinational corporations, which control the extracting industry around the world. In this particular case, the usual cycles of investment and disinvestment have a wide range of potential positive and negative effects that overlap the usual economic and social considerations, also comprising impacts upon the environment and landscape viability in areas surrounding the mines. This study assesses various impacts from a mining foreign direct investment project, implemented in a low density Portuguese region. Attention is focused on the main economic, social, cultural and environmental aspects, and the preparatory measures to prevent the adverse consequences from the closure of the mine are briefly analysed.