Brazil Struggles to Stop Illegal Amazon Gold Mining as Gold Prices Surge

Brazil continues to face major challenges in its fight against illegal gold mining in the Amazon rainforest, despite increased enforcement efforts under President Luiz Inacio Lula da Silva. A new study by environmental watchdog Greenpeace reveals that billions of dollars worth of gold are still being extracted and sold through fraudulent schemes, highlighting ongoing weaknesses in the country's mining oversight system.

After taking office in 2023, Lula promised to eliminate illegal gold mining on Indigenous territories and protected environmental areas. His administration intensified enforcement operations, leading Brazil’s Federal Police to seize a record 447 kilograms of illegally mined gold in 2025. However, soaring global gold prices, driven by geopolitical uncertainty and strong investor demand, have continued to fuel illegal mining activities across the Amazon.

According to Greenpeace, illegal miners have increasingly relied on so-called “ghost permits” to disguise the origin of unlawfully extracted gold. Researchers examined 187 forest areas with mining permits issued by Brazil’s National Mining Agency (ANM) near Indigenous lands and conservation zones. The investigation found that 98 of those permitted sites showed no evidence of actual mining operations.

Despite the lack of activity, permits linked to these inactive locations were reportedly used to legitimize the sale of approximately 26.8 metric tons of gold between 2018 and March 2026. Greenpeace estimates the value of this gold at around $3.88 billion. The organization argues that these permits are being exploited to launder gold sourced from illegal mining operations in protected regions of the Amazon.

Reuters journalists conducted aerial inspections of two permitted sites included in the study and found no visible mining activity, despite records indicating significant gold production. Nearby, however, an active illegal mining operation was observed within a protected area.

Indigenous leaders continue to express concern over the environmental and social impacts of illegal mining. Kayapo chief Megaron Txucarramae warned that mining activities contaminate rivers, damage ecosystems, and expose Indigenous communities to mercury pollution through contaminated fish.

The ANM stated that it is reviewing the permits highlighted in the Greenpeace report but acknowledged that monitoring thousands of mining licenses across the vast Amazon region presents significant logistical challenges. Environmental advocates argue that unless loopholes allowing gold laundering through mining permits are closed, illegal gold mining in the Brazilian Amazon will remain a growing threat.