Looks like things are heating up - posted an article below that I came across that gives a very different picture of the mining industry in Ecuador.
"In principle we want to avoid it, but if there are more than $100 billion in revenues we will have to allow open pit mining," Correa said in his weekly radio address. "I'm talking about a real example, I'm talking about the mines of Ecuacorriente in Zamora Chinchipe."
The leftist president said the country's lush precious metal potential could help the government finance needed social projects for the poor.
Canada's Corriente Resources (CTQ.TO: Quote, Profile, Research) (ETQ.A: Quote, Profile, Research) is waiting on the government to approve an environmental impact assessment amendment to start work at its Mirador mine in Zamora Chinchipe province, a company executive said.
Last year, Ecuador suspended the start of work at the Mirador copper-gold project due to clashes between communities in favor and against mining.
Correa has promised sweeping reforms to the country's nascent mining sector to establish new contracts and royalties for companies exploring for gold and copper.
Alberto Acosta, the head of the assembly rewriting the constitution and close ally to Correa, has repeatedly said a new charter will ban open pit mining to safeguard the country's environment.
The assembly, which last week closed down Congress and took over its powers, is expected to decide on a series of reforms to the mining law to increase state participation in the industry.
Some other firms exploring in Ecuador include Aurelian Resources (ARU.TO: Quote, Profile, Research) and Iamgold Corporation (IMG.TO: Quote, Profile, Research).
(Reporting by Alonso Soto; editing by Eric Beech)
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Tuesday, July 03, 2007
Ecuador: Mining Reduces Poverty
Open letter from Jose Aviles from the Ecuador Amazon Indigenous Nationalities Confederation to Joan Kuyek of MiningWatch Canada.
Dear Ms. Kuyek,
As President of CONFENIAE, representing over 200,000 indigenous peoples of the Amazonian Region of Ecuador, I am deeply offended, appalled and outraged that your organization raises funds in Canada to support violence, illegal activities and the continuation of poverty for indigenous people in Ecuador. On your website, I read many references about the evils of mining in Ecuador and its impacts [on] our communities, but your website fails to mention that these Canadian companies build schools, repair churches, build community halls, houses, improve our roads, support cultural/language programs, provide health care to our families and provide educational scholarships to our children. You also fail to mention that mining jobs pay very well (4 to 5 times the national minimum wage) and this industry is the single largest employer of indigenous (Shuar) people in the Zamora Chinchipe Province.
As leader of CONFENIAE, I stand by our leaders (like Mr. Ruben Nachap, President of the Shuar Federation of Zamora Chinchipe) who want and pursue the means of creating a better quality of life for their people. This means that our organization is in full support of the Shuar Federation of Zamora Chinchipe in their work and progress towards resolving the issues of generational poverty through partnerships with responsible Canadian mining companies like EcuaCorriente, whom plan to invest in excess of $340 million ... and create over 1,000 construction jobs and 4,00 direct/indirect employment opportunities for the Shuar and Colono peoples of Zamora Chinchipe.
At this time, I invite you to an open forum with our leaders to discuss the rationale of MiningWtach Canada as to why your organization supports the continuation of poverty of indigenous peoples in Ecuador. During this forum we would like to know about your organization's economic alternatives to mining and to have your organization match or exceed the $340 million ... worth of investment that EcuaCorriente Resources plans to invest in the Zamora Chinchipe Province. We would also like a written and public promise from you that your organization will create 1,000 construction jobs (for a period of two years) [and] 4,000 additional jobs paying a minimum of $15.00 per day to the Shuar and Colono residents of Zamora Chinchipe Province 9for the next 20 years). I am also quite sure that our national, regional and local governments will also want guarantees from your organization that you will pay the tens of millions of dollars of lost tax revenues from [the] EcuaCorriente project.
In closing, I hope that you are able to meet with our leaders in Ecuador so you can see first hand the devastating impacts that poverty is having [on] our children, families, culture and our environment to ensure that in the future your organization does not support the cultural, economic and social genocide of indigenous peoples in Ecuador. Our organization is also very interested in hearing about and having your organization guarantee the replacement of billions of dollars worth of investment that the Canadian mining industry plans to invest in territories ...throughout Ecuador.
Your time and attention is appreciated and I look forward to the opportunity of meeting with you in the future.
Respectfully,
Jose Aviles,
President of CONFENIAE
EDITOR'S NOTE: The leadership of CONFENIAE is in dispute between two factions, including one led by Mr. Aviles. This column is based on an open letter sent to Joan Kuyek, national Coordinator of MiningWatch Canada, on June 27, 2007 and shared with the government of Canada, Canadian members of Parliament and the Canadian Senate as well as various NGOs, media and other foreign governments. Edited by Latin Business Chronicle for style and grammar.