Bolivian energy minister alleges deception by Jindal Steel in big iron ore mining deal
By Associated Press
LA PAZ, Bolivia — A senior Bolivian official is threatening to end the government's contract with India's Jindal Steel & Power Ltd. over its alleged failure to meet investment commitments in a huge iron ore mine.
Energy Minister Jose Luis Gutierrez says Jindal deceived Bolivia in failing to honor its end of the biggest mining investment of President Evo Morales' nearly six-year tenure.Jindal signed a 2007 contract promising a $2.1 billion investment over eight years to mine and smelt some 40 billion tons of iron at Mutun on Bolivia's border with Brazil.
Jindal's local spokesman had no comment following Friday's announcement.
Morales' leftist government has struggled to secure serious foreign investment in mining and natural gas.