Untapped Geological Potential
- Ecuador is located between and shares geology with renowned mining countries of Peru and Colombia, but is only now beginning to establish its own modern mining sector.
- Spanning the Pacific coast to the high Andes, Ecuador is rich in natural resources but has been under-explored for metallic minerals – significant discoveries such as Fruta del Norte , Mirador and Sol Gold are an example.
Strong Government Support
- The Government of Ecuador is firmly committed to encouraging foreign investment for economic development and views a modern mining sector as a pillar of long term economic growth – evidenced by significant legal and fiscal reforms in recent years, which have included: elimination of the windfall tax, VAT rebates, reduction in royalty rates, and new allowances for exploration drilling on early exploration permit.
- Forward-thinking fiscal policies have included currency conversion to the US dollar (2000), significant foreign investments by, Australian, Canadian, Chinese and Mexican companies,formal trade agreement with the European Union (2016)
Modern Infrastructure to Support Growth
- Historically, tax and royalty revenues from the oil and gas sector, have been strategically reinvested in modern infrastructure projects throughout Ecuador – government and business leaders recognize the importance of infrastructure in ensuring Ecuador’s long term competitiveness in Latin America
- Pacific coastline, proximity to Panama Canal, and modernizing port and highway logistics are significant global advantages
Low Energy Costs
- Ecuador is an oil producer and member of OPEC, with some of the lowest cost domestic diesel and gasoline in the Americas.
- Recent investments in hydroelectric power plants provide abundant power supply to most regions at among the lowest electricity costs in the Americas.
- Historically, Ecuadorian professianals have had extensive in country exposure and technical training in engineering, construction, HSE and operational experience as a result of the oil & gas and major infrastructure projects. Many of these professionals have crossed over their skillsets as a result of the slow down in the Oil & Gas sector.
- Ecuador also due to its geographical location is attracting Ecuadorian nationals returning along with xpats from Peru, Chile. Columbia and Mexico.
- Strong academic and technical institutions throughout the country.