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ECUADOR GOLD AND COPPER CORP V.EGX

"Ecuador Gold and Copper Corp is a mineral exploration, mining and development company. The Company acquires and explores gold mineral rights located in Ecuador."


TSXV:EGX - Post by User

Post by BrendanCon Sep 03, 2014 2:31pm
405 Views
Post# 22902361

Here is the reason why I say that the mining law should be

Here is the reason why I say that the mining law should be

included here......

Correa has to change the "Constitution articles" in order to change any laws in place. Their "Constitution" isnt exactly like ours...  These 3 number "articles" that they are changing are the same as the ones changing for mining laws... Those are...

Article 408 of the Constitution states that “the State will participate in the benefits of exploiting these resources, in an amount not less than those of the company that exploits them.”
 
and

Article 93 of this act states that the mining concessionaire shall pay a royalty “not less than 5 percent of sales, in addition to payment of 25 percent for income tax, 12 percent of net income determined in this act, 70 percent tax on extraordinary income, and 12 percent of value added tax (VAT).” Consequently, the State ensures that more than 50 percent of the mining profit will go to its coffers as taxes and royalties.

Correa has changed 53 or the propsed 56. Of the 53, I am saying that I believe the mining laws are among them changed. Yes??? I know we don't know but I wanted to explain the method to my madness.


 

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