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BOLIVIA activists and others "associated with artisanal mining are acting against the stated wishes and best interests of local indigenous communities." Although Morales met with groups on both sides, he ultimately sided against the company. "These resources belong to the state, and therefore to the Bolivian people," Morales said. "We have to remember our history and Mother Earth, which is natural resources." Morales further blamed company officials for instigating violence between indigenous clans. "These companies pit brothers, in-laws, cousins, neighbors, brothers against one another," he said. "We cannot understand why some people use and confuse others." Two months later, Supreme Decree No. 1308 was issued and company officials, after retaining two law firms and financial advisers under a U.K.-Bolivia treaty, declared a six-month "cooling off" period. They are now offering negotiations for the mine in which they planned to invest $50 million by 2015. But negotiations have yet to begin. Barring a resolution by April, South American Silver has said it will pursue arbitration under 102 E&MJ; • APRIL 2013 the UN Commission on International Trade Law for full compensation. Current CEO Philip Brodie-Hall has expressed optimism in recovering losses, citing "substantial" technological investments in the mine's exploration. "We are confident the international arbitration process gives us means to recover the full value of our project," he said in a statement. July witnessed additional discord after India's Jindal Steel and Power abandoned its El Mutun project near the border with Brazil with $2.1 billion in announced investments since work first began in 1989. The government claimed Jindal ignored part of its 40-year contract obligations signed in 2007—to the tune of $600 million—while the company invoked lax legal securities and production schedules; both sides disputed provision of operational gas supplies. Regardless, six Jindal employees were arrested, equipment was confiscated, and production at one of the world's largest iron ore deposits was brought to a standstill. Company officials decried Bolivia's "criminal proceedings" and "intent to victimize" the business and its workers. Immediately after relations began deteriorating, Bolivia confiscated $36 billion in financial guarantees from Jindal; the seized assets remain under international arbitration. Irregular Regulation The San Cristobal zinc, silver and lead mine owned by Japan's Sumitomo Corp.— Bolivia's largest foreign investor—has also been menaced by protesters. One of the country's biggest mines, the southwest Potosi operation produces 1,300 mt of zinc-silver ore daily, according to company officials. During the 2010 unrest in which rioters threatened to cut the mine's power supply, Mining Minister Jose Pimentel told local radio daily losses were $2 million. Nonetheless, work continues; Tokyo-based company officials said the site also produces 300 mt of lead-silver ore per day. But U.S. gold and silver company Coeur d'Alene Mines, which also continues production near Potosi through subsidiary Empresa Minera Manquiri, offers an even more striking contrast to competitors. The San Bartolome silver mine www.e-mj.com