The ESM Gift
Recognising the Copper & Gold ‘Stars’
There is a Romanian folk tale (1) that tells the story of three sisters, the youngest of whom claims she would bear twin sons with golden stars on their foreheads if she married the emperor. The emperor overhears and marries her, but when the twins are born, his jealous older sisters replace the babies with animals and cast the real children into the river.
The twins are rescued and raised by a humble fisherman. As they grow, their golden stars reveal their royal heritage. Eventually, through a series of trials and magical quests—including obtaining the water of life and the speaking bird—they uncover the truth. The evil sisters are punished, and their mother is reinstated as empress, with the twins recognised as princes.
In many ways, this timeless story mirrors the journey of Euro Sun Mining (ESM)—a company whose true value and potential are now finally being recognised after years of perseverance. Like the golden-starred twins, the possible exploitation ESM’s copper and gold resources have endured long periods of neglect and opposition. Decades of mining dormancy in Romania, coupled with foreign-backed resistance to permitting, kept the company’s promise obscured. Yet through resilience, integrity, and a commitment to responsible development, ESM is beginning to shine.
The recent designation of the Rovina Valley Project as a Strategic Project under the European Union’s Critical Raw Materials Act (CRMA) has marked a significant turning point. This recognition not only highlights ESM’s importance to European energy security, but also affirms the company’s unique and responsible mining approach. It is a well-deserved moment of validation—and one driven not just by policy, but by shifting sentiment and a growing awareness of global realities.
As Europe pursues its net-zero ambitions and acknowledges the vital role of energy security in economic resilience, projects like Rovina Valley have moved into the spotlight. Governments are increasingly focused on vertical integration of critical raw material supply chains, seeking domestic solutions to reduce dependence on volatile foreign markets. While countries like those in Scandinavia have led the way with progressive mining policies, the rest of Europe is now aligning itself with this forward-thinking approach.
Legislation such as the CRMA is more than a regulatory tool—it is a symbol of Europe’s growing determination to be self-reliant in an unpredictable world. In this new era of strategic autonomy, Euro Sun Mining stands as a beacon of what is possible when perseverance, purpose, and national interest align.
The Gift of Employment
Hunedoara County currently faces one of the highest unemployment rates in Romania—a stark contrast to its legacy as the heart of Eastern European mining during the mid-20th century. Once a vibrant and prosperous industrial hub, the region’s decline began with the fall of the communist regime, as government support waned and environmental challenges mounted. Historical records housed in the Gold Museum of Brad bear witness to the county’s golden era—a time of progress, innovation, and economic vitality. Today, however, decades of underinvestment have left many villages scarred by derelict buildings, deteriorating infrastructure, and significant depopulation. With much of the working-age population having migrated to major cities or abroad in search of employment, many communities are left with aging residents and overstretched municipalities struggling to deliver basic services.
Romanian Unemployment Figures per County with Hunedoara representing one of the highest at 4% (2)
The Rovina Valley Project, led by ESM, represents a vital turning point. During the initial two-year building phase, the project is estimated to employ 2000 people. Once steady state production is achieved, the mine plan indicates 600 jobs will be created over a 35 year period. These figures exclude the wide array of indirect employment and entrepreneurial opportunities (estimated to be over 2000 people) that naturally arise alongside large-scale mining developments. From hospitality and food services to transport, real estate, logistics, and beyond, the project is poised to spark a revival of local enterprise.
In addition to driving business growth, mining royalties provide local authorities with an economic “gift” to support critical community needs—from infrastructure upgrades and social programs to improved service delivery. In Romania, a 5% royalty on copper and 6% on gold ensures that the benefits of natural resource development extend well beyond the mine site.
During Phase 1 of the Rovina Valley Project alone, ESM is projected to contribute over US$211 million in royalties across the first 17-year period. These funds will be distributed to benefit the people of Hunedoara County directly:
- 45% to local towns
- 35% to the county
- 20% to the state
These royalties will also support long-term economic diversification programs, helping ensure that local communities not only recover—but thrive—even after mining operations come to an end.
In total tax benefits, the Romanian State is set to gain more than 45% of the Rovina Valley mining product value, meaning over US$470 million during the first 17 years of mining. This figure will double during mining the underground deposit at Ciresata, bringing a further contribution to local and state taxes to over US$ 950 million
The Gift of Skills Development
The development of the Rovina Valley Project brings with it the invaluable gift of skills development. Mining operations demand a wide array of expertise—ranging from information technology, electrical and plumbing work, construction, and safety, to legal, environmental, communications, and financial disciplines. As the project advances, the need to source and cultivate this diverse talent pool will become a critical focus. Recognising this, ESM has already begun identifying local educational and training institutions that could be strengthened or expanded to support the development of these essential skills. Encouragingly, a number of Romanian mining professionals currently abroad have expressed a strong interest in returning home to contribute to the project, underscoring the potential for both local capacity building and talent repatriation.
The Gift of International Capital Investment
The Rovina Valley Project stands to benefit significantly from international capital investment through ESM, a publicly listed global company. ESM’s involvement ensures not only the infusion of essential funding to launch a project of this magnitude, but also a strong commitment to internationally recognised governance and operational standards. In today’s interconnected world, such backing is critical for ensuring transparency, efficiency, and long-term viability. The project is locally managed by SAMAX Romania SRL, ESM’s Romanian subsidiary, bridging global expertise with local execution.
Just as the twin princes in the Romanian folk tale ultimately restored justice and prosperity, Euro Sun Mining’s journey reflects the transformative power of resilience, vision, and rightful recognition. The Rovina Valley Project is more than a mining operation—it will come to represent a symbol of revival for Hunedoara County, a catalyst for skills development, and a beacon for international investment guided by responsible practices. With its designation as a Strategic Project under the CRMA and its potential to generate employment, stimulate local enterprise, and contribute nearly a billion dollars over time in royalties and taxes, ESM is poised to help Romania reclaim its legacy as a leader in European mining. In doing so, it is not only restoring lost potential but also writing a new chapter—one where community, country, and company rise together, under the shared light of opportunity.
References:
- The folk tale “The boys with the golden stars’, published in Convorbiri Literare In October 1874. https://en.wikipedia.org/wiki/The_Boys_with_the_Golden_Stars
- Unemployment Figures per County 31 July 2024, https://www.zf.ro/eveniment/harta-judetelor-dupa-somaj-rata-somajului-a-crescut-in-28-de-judete-22448046
Written by Richard Dolamore, in his personal capacity.