Fellow Investors,

this is a very practicle regulation that most countries like Canada for instance have in some form.

It is to encourage investment and to discourage those who would sit on there claims in effect becoming absentee land owners.

Ecuador will end up having a simular law also eventually and that will only be to the benefit of the mining industry in the country.

From Peru's mining stats presented in this article, the number of new claims being staked in Peru, it is obvious to me that Ecuador will have to come out with a favourable mining policy if they want a piece of the action.

If they do not, then companies will explore in neighboring countries that have very favourable mining policies already in place. This is why there will be no windfall tax placed on mining in my opinion. The mining policy will be slightly more favourable then the surrounding countries in order to compete with them for investment.

F.F.