Cubans Turn to Illegal Gold Mining as Economic Crisis Deepens

Cubans are turning to illegal gold mining to make a living as U.S. economic sanctions and a chronic economic crisis take hold.

Spanish-language outlet Infobae and other foreign media reported on the 10th that unauthorized gold mining is spreading rapidly across rural areas of eastern Cuba, including Camaguey, Las Tunas and Ciego de Avila.

Gold is classified as a strategic national resource in Cuba, and only state-run companies and foreign firms with government licenses are allowed to mine it. But a growing number of residents who have lost their livelihoods are breaking the rules and moving into mining sites. Years of economic blockade and shortages of goods have made it difficult to find regular jobs, which is cited as the backdrop.

The reason people turn to mining is profitability. One gram of refined gold trades for about 60,000 Cuban pesos, or roughly 110,000 won, on the local market. Even on days with poor yields, miners can walk away with about 3,000 pesos, exceeding the average income of a Cuban worker. According to Cuba’s National Statistics Office, the official average monthly wage last year was 6,930 pesos. By simple arithmetic, two days of mining income surpasses a month’s salary.

Jesus, a local miner, said there is no need to find a large nugget, as rocks containing traces of gold or even low-grade placer gold can generate income. Because of this profit structure, even young people in the area who worked in livestock farming are abandoning their jobs and heading to mining sites.

Side effects are emerging as illegal mining grows. In areas that police find hard to reach, disputes over the spoils have brought in armed private security, and reports of violence and crime have increased. Because the activity itself is illegal, miners are in no position to report harm they suffer. With thefts and robberies mounting, residents have begun taking turns guarding the mines.

Eloisa Rivero, a resident of Guaimaro, said the influx of outsiders has changed the atmosphere in her village and that those with cash in hand increasingly cause disturbances after drinking. Motorcycles race through the area and fights break out repeatedly, but enforcement is lacking, she said.

Concerns about environmental pollution have also been raised. The mining process involves washing gold-bearing soil and rocks with water and then using mercury to separate the gold. Mercury is highly toxic and can cause contamination if it seeps into soil and drinking water sources.

Cuban authorities have arrested hundreds of people and seized mining equipment in crackdowns, but the spread of illegal mining shows no sign of slowing.