Today at 15:30, the president of the National Assembly, the ruling party member Gabriela Rivadeneira, summoned the Plenary for the second debate on the mining reform project, which was sent on an urgent nature by the Executive and will have to be approved or returned.
The Commission of Economic and Tax Issues, which is formed by ten assemblymen of Alianza Pais (AP), one of the Partido Social Cristiano (PSC) and one of the SUMA movement, reviewed the 33 articles included in the report of which 21 passed as proposed by President Correa, 5 had superficial changes (a word or paragraph) and 7 introduced relevant changes.
The mining reform had its inception in December 2010, when Canadian mining company Kinross and China mining company Ecuacorriente started business processes for exploitation contracts of gold and copper respectively with the state.
It continues in December 2011 when Kinross announces an agreement with the State to sign its contract for the exploitation of the gold deposit Fruta del Norte. Royalties to the State amounted to 8%.
In March 2012 the Government signed the first contract for large-scale mining with Ecuacorriente to exploit cooper in the Mirador project. Kinross does not sign its agreement.
Five months later, the Kinross matrix does not approve negotiations in Ecuador. They requested the Government for a reform on Extraordinary Income Tax.
Finally in May 2013 the Executive presents an urgent reform of the Mining Law for the Extraordinary Income Tax to be charged after the companies recover their investment.