Cemex Nicaragua secured a 25-year extension to explore and mine limestone across 909 hectares in San Rafael del Sur, Managua. The concession, named “Exploración de Calizas de Cementera,” ensures the company can keep supplying the key raw material for cement production. The term began on October 30, 2026, the date the Dirección General de Minas of the Procuraduría General de Justicia certified the title. Halminthon Espinoza, director general of Mines, signed the authorization on October 15, and the company formally accepted it on October 29. The area is bounded by an 18-vertex polygon and grants exclusive rights to explore, exploit and eventually install mineral processing plants within its perimeter.
- Fees and royalties: The company must pay USD 12 per hectare as surface or validity fees, in two annual installments each January and July. It will also pay a 3% royalty on the value of extracted substances and submit monthly production reports within the first 15 days of the following month.
- Conditions for the extension: The extension was granted after Cemex Nicaragua demonstrated compliance with its tax obligations, submission of reports and work plans, and acquisition of an environmental permit. The Procuraduría General de Justicia stated that the company has the technical and financial capacity to continue its mining activities.
- Title obligations: The title requires facilitating inspections by the Dirección General de Minas, complying with occupational safety and environmental protection rules, and registering the concession with the Registro Público de la Propiedad. Failure to comply may lead to cancellation of the permit.
- Restrictions and third-party rights: Before working on private properties within the concession area, Cemex must request authorization from owners and agree on land-use conditions and compensation. It also may not explore or exploit within 100 meters of towns, fenced properties, religious buildings, wells, roads, aqueducts, pipelines or public works without approval from the mining authority.
Artisanal miners and local background
The resolution also allows artisanal miners already working in the area to continue during exploration activities. For new workers in that sector, the authorized surface may not exceed 1% of the concession, subject to prior agreement with the company.
Cemex arrived in San Rafael del Sur in 2001, when it took over operations of the former Compañía Nacional Productora de Cemento after receiving a 25-year lease on its facilities from the Nicaraguan State. The plant is located about 45 kilometers southwest of Managua and has access to limestone deposits.
The cement company’s activities have generated environmental complaints from residents of the municipality. In 2003, La Prensa reported that an analysis by the Universidad Centroamericana laboratory found silica and calcium silicate in samples collected at various points in San Rafael del Sur, following complaints about dust emissions from smokestacks. The complaints led to protests over respiratory problems and damage to homes and belongings. More than 3,000 people marched in August of that year in front of the facilities to demand action against the emissions.
The company installed electrostatic filters on its kilns. An inspection by the Ministry of Environment in April 2004 estimated that the measure would reduce dust emissions by up to 80%, and in 2005 the installation of a second filter valued at more than USD 2 million was reported.
In 2008, Cemex received recognition from the Centro de Producción Más Limpia for its restoration and reforestation work at quarries. The company said at the time that it had recovered more than 30 manzanas of mining areas by filling in intervened areas after extraction.
The firm inaugurated a pre-mixed concrete plant with automated technology in 2005. In December 2024 it reported annual production of 600,000 tons of cement and 474 jobs; currently, its website indicates it generates more than 500 jobs.
Analysis
The 25-year extension solidifies Cemex’s presence in San Rafael del Sur and guarantees limestone supply for its cement production. The title incorporates environmental and labor safeguards, as well as rules for artisanal miner participation, in a setting where the company remains a central player in Nicaragua’s construction industry. Respect for the conditions set by the Dirección General de Minas will be crucial to maintaining the concession and to coexistence with neighboring communities, which have expressed environmental concerns in the past.