After the War of Reform and the French intervention, mines were again flooded, labor had dispersed, and investors were lacking. As late as 1884, mining remained at a virtual standstill. American companies were working only forty mining concessions. The British had become so disillusioned that they had largely withdrawn from mining.59
By 1904, miners were working 13,696 active concessions that covered 552,534 acres. Silver exports, a third of all exports, increased from 607,000 kilograms in 1877—1878 to 2.3 million in 1910—1911. Gold, a sixth of exports, rose from 1,000 to 37,100 kilograms during the same period. In 1911, Mexican mines produced 32 percent of the world’s silver, 11 percent of its lead, and 7 percent of its copper.60
This boom in mining combined all the elements that led to rapid economic growth in other sectors. Before 1884, all mineral wealth belonged to the nation. Those wishing to begin mining
Were required to obtain government permission. Government control over minerals represented a continuation of the colonial tradition. The national government simply claimed ownership of the mineral wealth that had belonged to the Crown in colonial times.61
The Mining Law of 1884 law allowed private ownership of subsoil wealth—ownership rights that were separate from those of the surface owner. An 1892 law allowed miners to claim as much land as they could pay taxes on and to open or close mines as they saw fit. As a result of these laws, which followed the U. S. model, not only was the right to exploit mineral wealth granted to private individuals but it could also be sold on the open market independently of the ownership of the surface property.62
British investors returned to Mexico, drawn by this legislation, as well as political stability and favorable publicity in England. Americans invested even more, especially in the north. By 1902, Sonora had become Mexico’s most prosperous state and received more U. S. mining investment— $27.8 million—than any other state. By 1910, U. S. mine investment totaled $200 million, while the British had $50 million invested.63
The introduction of electricity into the mines produced huge savings in hoisting, drilling, and illumination. Electricity permitted the use of winches, hoists, electric locomotives, and pneumatic drills. As historian Marvin Bernstein noted, “Peons no longer had to carry 200-pound loads up ladders in suffocating temperatures; hoists did the lifting and ventilating fans could make the mines more livable.”64
The use of cyanide revolutionized the refining of silver ore. To extract the silver, ore was crushed to a powder and then mixed with water and cyanide. The silver bonded with the cyanide. Then zinc was added to the mixture, causing the silver to precipitate out. The use of cyanide permitted the recovery of as much as 92 percent of the silver contained in the ore, compared to 60 percent with the patio process. It also made it economically feasible to mine ores with a lower silver content and to rework previously accumulated mine tailings that still contained substantial amounts of silver. This new refining technique, which almost entirely replaced the patio process, reduced costs and processing time.65
Although cyanide did not last long in the environment, its short-term impact could be disastrous. Mining journals frequently discussed cyanide poisoning of miners. The American-owned El Rey del Oro Mining Company discharged waste near the town of Mulatos, Sonora, causing the death of cattle that drank the water. The village mayor filed a complaint with the superintendent of the mine. When the superintendent failed to respond to the complaint, the mayor ordered the company to either shut down or build a pipeline so the poison would at least be discharged downstream from the town. In response, the mine owners visited Sonora’s governor, who overruled the mayor and allowed the mine to continue operating and discharging waste in the same way as before.66
As the world industrialized, a shift occurred in the metals mined in Mexico. Electrification worldwide produced a tremendous increase in the demand for copper. Between 1891 and 1905, Mexican copper production increased more than eleven-fold, not only providing increased exports but also copper for Mexican electrification. Industrialization also increased the demand for lead, whose production more than tripled during this same period.67
In 1910, mining produced 8.4 percent of the GDP, roughly what it had produced at the end of the colonial period. At its peak, the industry employed 126,900 miners.68
Mines increased demand for domestically produced lumber, leather, food, explosives, tools, and structural iron and steel. However, several factors limited the impact of mining on the rest of the economy. Much of the machinery and other mine inputs was imported, especially in the states adjoining the U. S. border, where 75 percent of mining occurred. At the Cananea mine, technology, capital, and daily supplies came from the United States, and the entire product was exported there. Foreign mine owners often sent profits out of Mexico rather than reinvesting them locally. Since most of the minerals were exported, no further jobs were created in processing and converting minerals into manufactured items. Finally, due to decreased world demand and increased production, the price of silver steadily declined during the Porfiriato. As a result, miners had to produce ever-increasing amounts of silver just to maintain the same income.69
Increased mining led to increased deforestation. In 1865, a member of the scientific commission of Pachuca, Hidalgo, commented that “the axe of the woodcutter has become a terrible enemy of these forests.” He noted that the Real del Monte Mining Company caused the most deforestation and that, as a result, springs were drying up. Later, the mining boom in Sonora produced wholesale deforestation, which led to desertification. Sonoran mining also left the countryside dotted with mountains of mine waste and allowed the toxic chemicals used to process ores to seep into aquifers.70