Ecuador’s mining opportunity: What will it take to turn potential into development?

Experts from Ecuador, Chile, Peru and Panama examined the legal, economic and social conditions that could unlock—or constrain—the country’s mining potential.

Ecuador has exceptional geological potential. It lies within the Andean porphyry belt, one of the world’s most mineral-rich regions for copper and other resources, and much of its territory remains underexplored. Studies indicate that Ecuador’s geological potential is not significantly different from that of Peru and Chile, two countries that have developed world-class mining industries. Yet turning that natural wealth into economic, social and environmental progress requires far more than minerals in the ground. It calls for investment, exploration, clear rules, strong institutions and trust among all stakeholders.

This was one of the central conclusions of Mining: Opportunities and Obstacles, a two-city forum hosted by Coronel & Pérez and the Ecuadorian Chamber of Mining. The first session took place on August 4 in Quito, followed by a second on August 5 in Guayaquil. Together, the events drew more than 200 attendees and brought key industry stakeholders together with Ecuadorian and international experts to assess the sector’s current outlook, the conditions needed for growth and the lessons emerging from elsewhere in the region.

The discussion began with a fact already reflected in Ecuador’s economy: with only two large-scale mines in operation, mining has become the country’s third-largest export sector. According to César Coronel Ortega, partner at Coronel & Pérez and head of the Quito office, these results show that mining can become a powerful driver of economic, community and environmental progress, even though Ecuador’s industry remains at a relatively early stage.

Mining requires trust and a long-term vision

Legal certainty was a recurring theme throughout the forum. Mining projects require substantial capital, processes that can span many years and decisions that depend on a stable regulatory environment. Predictable rules and respect for existing commitments are therefore essential to attracting investment and sustaining responsible projects over the long term.

Hernán Pérez Loose, partner at Coronel & Pérez, noted that the sector’s development will depend on broader public recognition of its importance and on sustained dialogue among government, companies and communities. He also emphasized that contractual certainty must work both ways: commitments cannot bind only one side.

Exploration and copper: building the mines of the future

Exploration was another central focus. Long before a mine becomes operational, developers must undertake technical studies, drilling and analysis—work that carries significant risk because many prospects will never reach production. Creating the conditions to attract early-stage investment is therefore critical: today’s exploration identifies the mines that could generate jobs, infrastructure, tax revenue and opportunities for communities in the future.

The global outlook for copper adds urgency to this challenge. Electrification, grid expansion, infrastructure, electric vehicles and the energy transition will require significantly greater volumes of the metal. Ecuador’s opportunity lies not simply in possessing copper resources, but in being able to explore and develop them responsibly as global demand grows.

Lessons from Chile, Peru and Panama

Regional experience offered contrasting perspectives on the benefits of a mature mining industry and the risks that arise when public trust erodes. Drawing on Chile’s experience, Jerónimo Carcelén Partner at Philippi Prietocarrizosa Ferrero DU & Uria in Santiago) argued that mining’s true value should not be measured solely in investment or economic growth, but also in its ability to create jobs, build human capital, reduce poverty and transform the regions where it operates.

From Peru, Diego Pachas Partner at Rodrigo in Lima focused on the role of the State, stressing that legal certainty becomes meaningful when governments honor their commitments. Zorel Morales Excecutive Director CAMIPA in Panama, examined Panama’s experience and the Cobre Panamá case, which illustrates how even a project of major economic importance can be disrupted when social, environmental, political and legal tensions converge.

All three experiences pointed to the same conclusion: trust depends on capable oversight institutions, public authorities that uphold the rules, companies that operate responsibly and communities with access to reliable information and meaningful channels for participation.

Responsible performance and clear communication

The forum also underscored that technical and regulatory compliance alone is not enough. The industry must explain what it does, how it operates and what impact it has. Misinformation and limited public understanding can undermine a project’s legitimacy, making transparent communication, education and genuine engagement with communities essential to the sector’s development.

Mining and environmental protection should not automatically be treated as opposing goals. The challenge is to develop projects subject to effective oversight that generate economic and social value while responding responsibly to the needs of the regions in which they operate.

Key takeaways

• Exploration and investment: without a pipeline of early-stage projects, there will be no new mines in the future.
• Legal certainty: clear rules and enforceable contracts are essential to long-term decision-making.
• Institutions and dialogue: the sector needs coordination, effective oversight, reliable information and meaningful participation.
• Responsibility and communication: legitimacy depends both on how companies operate and on their ability to explain, listen and remain accountable.

An opportunity shaped by today’s decisions

Geology is only the starting point. Whether Ecuador can turn its mining potential into lasting development will depend on the decisions made today on exploration, investment, legal certainty, institutional strength, environmental responsibility and social dialogue. Mining: Opportunities and Obstacles was designed to advance that conversation and bring a regional perspective to the task of building a responsible, competitive and sustainable industry.

Discuss the sector’s legal challenges with our team

Coronel & Pérez advises domestic and international companies on the regulatory, contractual, investment and dispute-resolution matters that arise in mining and other strategic sectors.

Team:

• Hernán Pérez Loose - Partner - [email protected] 

• César Coronel Ortega - Partner - [email protected]

• Félix Reyes Chévez- Partner - [email protected]