Beyond bauxite: Jamaica looks to unlock its wider mineral wealth

Jamaica is preparing for a major shift in its mining industry, with the Government looking to expand mineral exploration beyond bauxite and alumina, develop higher-value products and reduce taxpayers' exposure to financially troubled state investments. The newly established Ministry of Mining and Geology is spearheading the initiative, with a broader agenda covering mineral diversification, fiscal reform, geological assessment and environmental accountability.

Minister of Mining and Geology Floyd Green has begun implementing the new direction following a directive from Prime Minister Andrew Holness. The strategy, outlined during a high-level meeting of the Ministry, aims to reposition mining as a wider driver of economic growth, investment and national development.

Limestone and critical minerals targeted for expansion

A central priority of the Government's strategy is to explore Jamaica's mineral resources beyond its traditional bauxite and alumina industry. The Ministry intends to give greater attention to limestone and industrial mineral deposits, alongside the commercial potential of gold, copper, rare earth elements and other critical minerals.

"Bauxite and alumina remain extremely important, but Jamaica's mineral wealth extends well beyond those traditional areas," Green said, highlighting the need for increased exploration, stronger technical capacity and a more deliberate approach to extracting economic value from the country's resources.

One of the immediate initiatives will be a Limestone Value-Addition Programme, designed to move the industry beyond the extraction and sale of raw materials towards higher-value products. The programme will identify deposits suitable for producing high-purity limestone, calcium carbonate, pharmaceutical- and food-grade products, industrial fillers, agricultural lime and construction materials. It will also examine opportunities to supply inputs for the glass and ceramics industries.

Alongside diversification, the Ministry will work with the Ministry of Finance and the Public Service to examine royalty, taxation and incentive arrangements suited to the economic characteristics of individual minerals. The proposed fiscal framework aims to encourage exploration and investment while ensuring the country receives a fairer share of the profits generated from its natural resources.

Explore the production, demand and consumption forecasts of bauxite and alumina in our report: "Global Bauxite & Alumina Market Forecast to 2036: Supply–Demand, Trade Flows & Price Outlook"

Jamaica Minerals Institute proposed

Another significant part of the strategy is the proposed transformation of the Jamaica Bauxite Institute into a Jamaica Minerals Institute. The expanded institution would extend its technical expertise, laboratory capabilities and geological data beyond the bauxite industry to support the wider minerals sector.

A national mineral resource assessment is also planned, beginning with limestone and aggregates before examining the prospects for gold, copper, rare earth elements and other minerals where geological evidence supports further exploration. The assessment will combine existing geological records with modern mapping, geochemical and geophysical surveys, laboratory testing and targeted exploration to develop a clearer understanding of Jamaica's mineral potential.

The expanded geological mandate will also support decisions beyond mining and investment. The national geological survey is expected to play a greater advisory role in proposed housing developments, critical infrastructure and road construction, particularly in areas where unstable slopes and potential ground collapse in limestone terrain could threaten communities and infrastructure.

Greater scrutiny of mined-out lands

Environmental protection and community safety will remain important elements of the new mining agenda, with the Government planning stronger regulation and enforcement, particularly concerning land rehabilitation after mining activities end.

The Ministry intends to implement recommendations from the Auditor General and strengthen oversight through a public digital licensing system linked to a mineral cadastre and a national rehabilitation register. The proposed register will provide information on mined-out areas, outstanding rehabilitation obligations, responsible operators, completion deadlines and the financial security available to meet those obligations.

Unlock key insights from leading companies and experts across the aluminium ecosystem with our e-Magazine - Mine to Market: Aluminium Producers & Manufacturers 2026

Government plans to reduce exposure to CAP and Jamalco

One of the most consequential elements of the Prime Minister's directive is the proposed divestment of the Government's interest in Clarendon Alumina Production Limited (CAP) and its participation in Jamalco.

The Government intends to end or substantially reduce taxpayers' exposure to operating losses, capital calls and contingent liabilities associated with these investments. The Ministry will work with the Ministry of Finance and the Public Service and the Attorney General's Chambers to develop a transaction strategy for submission to Cabinet. The process is expected to include independent valuations and legal due diligence, while considering employment, the continuity of viable operations, community commitments and outstanding environmental rehabilitation and closure obligations.

Meanwhile, the traditional bauxite and alumina industry will remain a priority. The Ministry will continue engaging with Alpart, Jamalco, Windalco and Discovery Bauxite Partners on issues including the protection of viable mining reserves, energy costs, logistics, residue management, technological advancement and downstream production.

30-day deadline for implementation plan

The new Ministry's mandate comes with specific timelines and accountability requirements, signalling the Government's intention to move from policy discussions towards measurable implementation.

Green convened the meeting alongside Permanent Secretary Darlene Morrison, Permanent Secretary in the Ministry of Agriculture and Fisheries Dermon Spence, senior officials and agency heads. Morrison was formally welcomed to the Ministry, with Green highlighting her experience in fiscal policy, economic management and public service as valuable to executing the new agenda.

The Prime Minister has directed the Ministry to submit an implementation plan within 30 days. The plan must identify the officials and agencies responsible for each strategic priority, key decision-making deadlines and reconstruction projects requiring geological advice as a matter of priority.

The Ministry will also be required to provide a progress report at the 90-day mark, followed by quarterly updates and an annual sector performance and investment report.

"This cannot simply be a change in name or administrative structure. The Prime Minister has given us clear deliverables and timelines," Green said.

For Jamaica, the success of the new direction will depend on whether its mineral resources can translate into greater investment, stronger industrial activity, improved environmental management and more sustainable economic returns. The Government's ambition is to build a mining sector that extends beyond its traditional dependence on bauxite and alumina, making greater use of the island's wider geological resources while delivering more tangible benefits to the national economy.

Looking for alumina refinery raw materials? Compare grades, explore sourcing options, and connect with global suppliers on AL Biz.