OFAC: Former Guatemalan Mining Minister Sanctioned

Treasury’s Office of Foreign Assets Control (OFAC) sanctioned Alberto Pimentel Mata for his role in exploiting the Guatemalan mining sector through widespread bribery schemes, including schemes related to government contracts and mining licenses. The January 17, 2024 action follows the Department of State’s October 2023 announcement of visa restriction on Pimentel and other individuals for their involvement in significant corruption.

According to Under Secretary of the Treasury for Terrorism and Financial Intelligence Brian E. Nelson. “We stand in solidarity with the Guatemalan people as they strive to foster greater transparency, accountability, and government integrity within their system.”

"Corrupt and anti-democratic acts undermine Guatemala’s public institutions and threaten the stability of Guatemala and the region as a whole," according to a Treasury statement. "Today’s action demonstrates the U.S. government’s continued commitment to promote accountability for corrupt and undemocratic actors in Guatemala and expands upon the Administration’s efforts to address corruption as a root cause of irregular migration through the northern Central America region.

Mr. Pimentel became the Minister of Energy and Mines in January 2020 and resigned from this position in July 2023. As Minister, he engaged in numerous corruption schemes related to government contracts and licenses.

Additionally, he reportedly accepted large monthly payments to facilitate the acquisition of necessary permits and licenses for a private company operating in the energy and mining sector of Guatemala.  

Minister Pimentel, and his predecessor Luis Chang Navarro, have been accused of allowing the Fénix mine to extract nickel against Guatemala’s top court ruling that extractive operations were not allowed to continue.  Fénix mine is owned by the Estonian Oligarch Alexander Bronstein's Solway Investment Group and the Guatemalan Nickel Company (CGN).

OCCRP Reports that During the administration of former President Jimmy Morales in mid-2019, Guatemala’s Constitutional Court had ordered the suspension of the Fénix operations to protect the rights of the Mayan Q’eqchi’ indigenous people who claimed the mine’s extraction license was illegal because it was issued without proper consultations with them.

However, the mine had never stoppedwith the complicity of first Chang Navarro and later Pimental Mata under the Alejandro Giammattei administration.