US sanctions force Antilles Gold out of Cuba
The United States government has intensified its economic pressure on Cuba by blacklisting a local mining joint venture, triggering an immediate operational halt by its international partner.
On June 4, the U.S. Treasury Department’s Office of Foreign Assets Control designated Minera La Victoria S.A. as a specially designated national.
The decision, enacted under Executive Order 14404, targets entities accused of engaging in subversive, anti-American activities.
Under the terms of the designation, US entities and individuals are strictly prohibited from transacting with MLV, while secondary sanctions loom for international parties in other jurisdictions.
Antilles Gold (ASX:AAU), which holds a 50% stake in the joint venture, announced an immediate suspension of its direct participation in the administration, management, and funding of MLV’s activities.
As an interim measure, Antilles Gold’s subsidiary, Antilles Gold Inc., has handed full operational control over to its Cuban joint venture partner, Gold Caribbean Mining S.A, while it navigates the legal fallout.
The sanctions deal a heavy blow to MLV’s flagship Nueva Sabana gold-copper project, which is currently in its early construction phase and not yet generating revenue.
Antilles Gold has engaged a specialised New York-based law firm to evaluate administrative remedies and potentially seek a formal reconsideration from OFAC.
