The investment agreement includes a number of incentives for the miners, which are valid for about 10 years, until March 2033.
These include a 5% reduction in the income tax rate to 20% and a full exemption on capital outflow tax (ISD) on all imports of capital goods and raw materials.
The deal also grants Adventus Mining and Salazar Resources full exemption from import duties on capital goods and raw materials, including on all equipment related to mines and mills.
It incorporates as well the approval of a special article on dispute resolution, including international arbitration protection.
The Ecuadorian government has committed to guarantee fiscal and legal stability to the companies. This means that all applicable laws related to the mining industry will be frozen during the term of the contract, unless there are new regulations that benefit the miners.
“We are thrilled to have completed this significant approval…
