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Ecuador Lawmakers To Vote On Mining Law In January - Official
QUITO -(Dow Jones)- Ecuador's temporary legislature will vote on a controversial mining bill in early January, a lawmaker who helped oversee the proposal said Monday.
That bill calls for a minimum of 5% royalties on sales and not on production. It also limits mining concessions to 5,000 hectares apiece, and caps the contracts at 25 years.
Irina Cabezas, a member of the 76-member "Congresillo," a temporary legislature that will function until a new Congress is elected under the recently approved constitution next year, said the final debate and vote is scheduled for the first week of January.
A simple majority - 39 votes - is required for the bill to pass.
The bill passed in a first round of voting on Dec. 18, when it was met with calls for protest from Ecuador's powerful indigenous organization, CONAIE, whose members say the development of the country's nascent mining industry will cause significant environmental damage, especially water pollution.
On Monday, some 200 indigenous Ecuadorians marched in the capital against the bill, while in the southern Azuay province hundreds of indigenous protested with road blockades.
Last April, Ecuador's Constituent Assembly passed a law that froze mining sector activity by revoking around 80% of mining concessions and by suspending the other 20% for 180 days.
Local units of Corriente Resources (ETQ), Aurelian Resources Inc. (ARU.T), International Mineral Corp. (IMZ.T), Iamgold Corp. (IAG), Spirit Exploration Inc. (SPXP) and Mariana Resources (MARL.LN), among others, have mining concessions in Ecuador.
-By Katerine Erazo, Dow Jones Newswires; 5938-4638-528; mercedes.alvaro@dowjones.com
Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary: http://www.djnewsplus.com/access/al?rnd=eCdL%2BDi1IPgO6oG%2BUOtQBg%3D%3D. You can use this link on the day this article is published and the following day.

Publié le 22 Décembre 2008 Copyright © 2008 Dowjones


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