A threat to the marine ecosystem of BCS resurfaces: a company seeks to reactivate an underwater phosphate mine.

Conflicto Minero Don Diego

Despite environmental and social rejection, the "Don Diego" project is attempting to revive with the support of an international ruling and new private investment.

The American company Odyssey Marine Exploration insists on extracting phosphate from the seabed in the Gulf of Ulloa, Baja California Sur, through the controversial Don Diego project , rejected on multiple occasions due to its ecological risks.

Activists, academics, and environmental organizations have reiterated their opposition to the possible reactivation of the project, after an international tribunal ordered the Mexican government to pay $37.1 million in compensation to the company for denying it environmental permits. The ruling opened the door to further attempts at operation.

Promoted by the subsidiary Exploraciones Oceánicas , Don Diego was rejected by the Ministry of the Environment (Semarnat) due to a lack of scientific studies proving its viability, as well as the high risks to protected species such as the loggerhead turtle and the gray whale. The Gulf of Ulloa also accounts for 42% of the state's fishing production.

Court ruled in favor of the company, despite environmental warnings

In September 2024, the International Centre for Settlement of Investment Disputes (ICSID) determined that Mexico acted discriminatorily in denying the permits, resulting in the award of compensation.

The Mexican government defended its position based on technical and ecological arguments: "Marine dredging would have severe and irreversible effects on biodiversity and fishing communities," warns a statement signed by more than 15 organizations, including CEMDA and the Center for Biological Diversity.

The project is still alive: they await a new ruling and add investors.

Odyssey is now awaiting a ruling from the Federal Administrative Court of Justice (TFJA) to reinstate its environmental impact authorization. If granted, the project could be reactivated, reopening a conflict between economic interests and the protection of the marine ecosystem.

In parallel, in December 2024, the company announced an alliance with Capital Latinoamericano SA de CV , linked to businessman Juan Cortina Gallardo, to develop a fertilizer project in the Exclusive Economic Zone (EEZ), with an initial investment of 25 million dollars.

Underwater mining: prohibited, but ongoing

During the "Cities + Humans" forum held at UABCS, researcher Violeta Núñez, an expert in mining and extractive policies, warned that the project remains active, despite the fact that the Mining Law prohibits these activities in areas at risk to biodiversity.

"Although the law is on our side, we cannot be complacent. It is our responsibility as citizens and academics to stop it," he said.

The project's Environmental Impact Statement (EIS) contemplates extracting up to seven million tons of phosphate sand per year for five decades through dredging, which would generate sediments that block sunlight, affect marine photosynthesis, and disrupt entire food chains.

The Inter-American Association for Environmental Defense (AIDA) has added its voice to the rejection, emphasizing that this is a project without global precedent, the consequences of which could be irreversible. Cases such as those in Namibia and New Zealand—where similar projects were halted—reinforce these fears.