The Ecuadorian Congress adopted a new mining law in 2013 that will advance the development of small- and medium-scale mines in Ecuador. Mining is a relatively undeveloped sector in Ecuador, with huge potential for exploitation of copper, gold, and silver deposits.
Approved by a 105 to 14 vote in Congress the new law will help grow the economy by stimulating mining. As inducements to miners, the legislation sets ceilings on mining royalties, postpones payment of windfall taxes, and eliminates red tape that would slow the process of investment and development.
Zoloto has acquired a 49% interest in a mill project located in Ecuador, South America. Zoloto has contributed $150,000 to upgrade the mill, which will be capable of processing gold, silver and copper ore, with a capacity of 100 tons of ore per day. The mill, which holds contracts to process ore for nine mines, is anticipated to be fully operational in 2014, and is projected to earn gross revenue of $500,000 per month.