Quito, October 30, 2007.-  Yesterday, companies associated with the mining sector reacted well when the President Rafael Correa, said in his speech that mining companies would be able to carry out their activities in the country, as long as they comply with adequate controls.

During his last radio program on Saturday, Correa said that mining activities can be carried out “as long as they comply with adequate controls and with the previous consultations made with the communities regarding the benefits this mining exploitation brings with it.”  Read the Presidential Press Release (Only Spanish)
 
“Yes to mining, but with the adequate controls, with the adequate community consultations, respecting the community, the environment and the state,” stated the president, indicating that if these four points are fulfilled, mining will be welcomed in Ecuador.

According to Cesar Espinosa, president of the National Mining Chamber, mining companies that are established in the country are already fulfilling those parameters.  Therefore he didn’t see any difficulties in the president’s proposal.

“We can see that the president is trying to encourage us,” he added.

Leonardo Elizalde, Ecuacorriente CEO, affirmed that the president’s message “is highly positive,” and he considered it as “responding to a global mining reality.”

Elizalde, whose company has the Mirador project concession, affirmed that large-scale mining is positive and it assimilates the demand of society and the protection of the environment.

Consultations

“According to the constitution, in order for this kind of activity to take place a ‘consultation in advance’ is needed.  This means, the communities have to be asked whether they want this or not,” said the president last Saturday, referring to mining.

On the president’s web page it states that he also said: “… to inform the community that with the particular mining company several things will be done and benefits will be received.  And it will be the community who will decide whether mining is wanted in that place or not.”

Espinosa disagrees with the statement concerning community approval.  “Everything is good, except for the fact that a community decides if the activity is going to benefit the whole country,” he said.

“The government is making the decision to encourage [mining], but if he wants to leave this matter in the hands of the public, this doesn’t seem right,” he expressed.

According to Correa, mining companies should offer a better treatment to the workers, pay taxes and respect the environment.  “If these points are observed then there will be no problems because there are mining companies in all parts of the world, but only if the environment and communities are respected.”

Espinosa and Elizalde were both certain that the companies do comply with those requisites.  “We are open to make the consultations that are necessary,” they affirmed.