Nicaragua keeps granting mining areas to Chinese firms despite U.S. sanctions

Nicaragua’s government has granted another open-pit mining concession to a Chinese company, even after the United States imposed sanctions on the country’s mining sector.

The official gazette reported that the Directorate General of Mines, part of the Attorney General’s Office, awarded the concession in the area known as Jade to Linze Excelente Minería S.A. The company is represented in Managua by Shiliang Yang, a Chinese citizen who resides in Nicaragua.

The concession covers 26,205.75 hectares in the municipality of Bonanza, in the North Caribbean Coast Autonomous Region. It brings to 21 the number of areas granted to Asian firms after the U.S. sanctions, according to the report.

Fundación del Río, an environmental organization, said Nicaragua’s government granted concessions in 84 areas to 22 Chinese companies between 2021 and June 2026. Together, those areas cover 1,277,389.38 hectares, equivalent to 10% of Nicaragua’s territory, including protected areas and Indigenous and Afro-descendant territories.

The organization said the government changed Nicaragua’s legal framework to benefit Chinese mining investments and bypass sanctions imposed by the U.S. Treasury Department. In April, the United States sanctioned two sons of Daniel Ortega and Rosario Murillo, who serve as co-presidents, along with a deputy minister, four other citizens and seven mining companies linked to gold extraction and sales.

Mining exports reached $2.0092 billion in 2025, up 44.4% from 2024, according to official data. Raw gold accounted for $1.971 billion, or 22.7% of total exports, with production reaching 19.9 metric tons, an official record.