REPĂšBLICA DEL ECUADOR
Investment catalogue in strategic sectors
2015 - 2017
Investing in Ecuador is investing for the future.
INVESTMENT CATALOGUE IN STRATEGIC SECTORS 2015-2017 Rafael Poveda Bonilla Minister Coordinator of Strategic Sectors Pedro Merizalde Minister of Non-Renewable Natural Resources Esteban Albornoz Minister of Electricity and Renewable Energy Augusto Espín Minister of Telecommunications and Information Society Walter Solís National Secretary for Water Research and Production Ministry Coordinator of Strategic Sectors Editing and proofreading: Andrea Zumárraga V. Translation: Sara Herrera C. Graphic Design: Diego Corrales D. Printing: Impresora Flores 2015
REPĂšBLICA DEL ECUADOR
Investment catalogue in strategic sectors
2015 - 2017
INVESTMENT CATALOGUE IN STRATEGIC SECTORS 2015-2017 1. INDEX
2
2. MESSAGE OF RAFAEL POVEDA, MINISTER COORDINATOR OF STRATEGIC SECTORS
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3. EXECUTIVE SUMMARY
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4. MINISTRY COORDINATOR OF STRATEGIC SECTORS a. About us b. Strategic Objectives
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5. INVEST IN ECUADOR a. Growing economy b. Safe and transparent country. c. Qualified human talent d. Consolidated infrastructure networks
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6. SECURITY FOR FOREIGN INVESTMENT
8
7. INCENTIVES FOR PUBLIC AND PRIVATE FOREIGN INVESTMENT
9
8. OPPORTUNITY TO FINANCE PROJECTS IN ECUADOR
10
9. MODALITIES OF INVESTMENT 11 10. CONTACT
12
11. BASIC INDUSTRIES PROJECTS
13
12. MINING PROJECTS
25
13. PRIVATE MINING SECTOR PROJECTS
61
14. OIL SECTOR PROJECTS
74
15. BIOENERGETIC SECTOR PROJECTS
97
16. ELECTRIC PROJECTS
101
17. WATER SECTOR PROJECTS
116
18. TELECOMMUNICATION SECTOR PROJECTS
121
19. TECHNICAL DEFINITIONS 123 20. ABBREVIATIONS AND ACRONYMS
124
21. SYMBOLS AND MEASURES 125
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Investment catalogue in Strategic Sectors 2015-2017
MESSAGE OF THE MINISTER COORDINATOR OF STRATEGIC SECTORS The Government of the Republic of Ecuador has promoted public policies focused on the responsible governance of our natural resources. With this judicious vision, the Ministry Coordinator of Strategic Sectors was created with the mission of directing the policies and actions of the institutions that make up hydrocarbons, mining, electricity, telecommunications, water, and environment sectors. In these eight years, the government of President Rafael Correa Delgado has reached a significant growth in GDP of 4.3% compared to 3.15% of Latin American average. Based on the effectiveness of public policies, investment in strategic projects and their implementation, we have focused on transforming our energy matrix as a means to change the production matrix. These investments are intended to generate a dynamic economy focused on knowledge and innovation, diversified, inclusive and environmentally sustainable, producing 93% of energy generated from renewable sources by 2017. This is low-cost pure energy that will benefit production processes, enabling the good governance of our natural resources. In our policy to change the production matrix, a fundamental pillar for the cross-sectional development of the country is the creation of basic industries to enable that our economy makes a quantitative leap, thus enhancing the use of our natural resources, adding value and improving the competitiveness of Ecuador. This will generate in the short, medium and long term, high potential for exports, imports substitution, and productive chaining. With this background we present the updated edition of the 2015-2017 Investment Catalogue in Strategic Sectors, which includes investment opportunities, strategic alliances and other contracting modalities totaling more than 37,000 million dollars. This document could not have been prepared without the valuable cooperation of all the Ministries and affiliated institutions that rule the Strategic Sectors and, especially, without the passion and drive of our employees. Based on proper strategic planning, efficient management of our resources, and decisive commitment to transform the country, we invite you to join us in the near future. We are sure that, together, we are making true the dream that we started in 2007.
Rafael Poveda Bonilla Minister Coordinator of Strategic Sectors
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EXECUTIVE SUMMARY The Investment Catalogue in Strategic Sectors 2015-2017 is an essential guide for national and international investors and financial institutions about the opportunities for public and private investments the country offers. Projects are divided according to the sector they belong to: basic industries, mining, oil, bionergetic, electric, water and telecommunications. In total, this cataloge includes 94 projects, both public and private, of which 83 are of the Ecuadorian state and require an investment of 37,153 million dollars.
Nยบ. Projects Mumber of projects 1 Basic industries 10 2 Mining 8 3 Mining blocks for bidding 25 4 Private mining 11 5 Oil 21 6 Bioenergy 2 7 Electric 13 8 Water 3 9 Telecommunications 1 TOTAL
58
Investment amount (Millions of USD) 11,955 133 17,034 1,155 5,786 727 363 37,153
Prepared by: Ministry Coordinator of Strategic Sectors
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Investment catalogue in Strategic Sectors 2015-2017
MINISTRY COORDINATOR OF STRATEGIC SECTORS ABOUT US The Constitution of the Republic of Ecuador considers that energy in all its forms, telecommunications, non-renewable natural resources, hydrocarbons, biodiversity, genetic heritage, the radio electric spectrum and water, among others, constitute the strategic resources of the country. We are the agency responsible for leading the policies and actions of the institutions that make up the Strategic Sectors; Ministries of Non-Renewable Natural Resources, Electricity and Renewable Energy, Telecommunications, Environment, and the National Secretariat for Water in order foster, through the coordinated, structured and efficient implementation of plans, programs and sectoral and intersectoral projects, and through international financing, compliance with the National Plan for Development, improving the quality of life of citizens, and fostering efficiency in the institutions.
STRATEGIC OBJECTIVES 1. BE SOVEREIGN, with self-sufficiency in electric generation, refining of derivatives, access to Information and Communication Technologies, and management of water resources. 2. BE PRODUCTIVE, providing quality in electric and telecommunications services, in the exploitation of hydrocarbons and minerals, and in the management of water resources. 3. BE INCLUSIVE, in the provision of public services accessible to all the population, and in the access to resources exploitation to the revenue produced by them.
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INVEST IN ECUADOR GROWING ECONOMY Ecuador has become one of the most dynamic economies in Latin America. Since 2007 has maintained an average growth rate of 4.3%1 and currently is the country with the highest public investment, which reaches 11% of the GDP2. Moreover, Ecuador is in the position 71 of the Global Competitiveness Index, the best position since 20073. These successes have been achieved thanks to the political stability of the country that has made it possible to make proper decisions during the Government of the Citizen’s Revolution. Ecuadorian currency is the USD dollar, which has contributed to make our country attractive for foreign investment. Inflation is of only one digit, lower than the Latin American average. For more information, please visit: www.bce.fin.ec
SAFE AND TRANSPARENT COUNTRY In order to strengthen a culture of honesty, ethics and quality in public administration, Ecuador has enacted laws that promote transparency in all contracting processes, which are carried out by the National Service for Public Acquisition (SERCOP in Spanish), through agile, efficient and technologically updated procedures which facilitate the control of both contracting entities and suppliers, and of the general public. For more information, please visit: www.compraspublicas.gob.ec
Similarly, public companies can carry out contracting procedures through a special regime determined by their specific line of business and, in case they have subscribed strategic alliances, alliances or others documents of similar nature, such processes shall be determined by the agreement.
1 Source: Economic Commission for Latin America and the Caribbean, ECLAC, Preliminary Overview of the Economies of Latin America and the Caribbean 2014, updated at December 2014. 2 Central Bank of Ecuador, Economic Commission for Latin America and the Caribbean, ECLAC, based on official figures. 2014 data for Ecuador corresponds to the projection made by ECLAC, published in the Preliminary Overview of the Economies of Latin America and the Caribbean (updated at December 2014). 3 Source: World Economic Forum. The Global Competitiveness Index Historical Dataset Š 2005 - 2014.
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Investment catalogue in Strategic Sectors 2015-2017
QUALIFIED HUMAN TALENT We are the country that has made the highest investment in post-secondary education in the entire region, reaching 2.12% of the GDP4. From 2007 to 2014, young Ecuadorians are studying in the best universities of the world thanks to the delivery of 10, 482 scholarships5. To progress towards a social economy of knowledge, more than 1,000 million dollars will be invested in new universities, including Yachay, thus enhancing the capacity for innovation and research in the country. The experience that Ecuadorian labor has on megaprojects of the strategic sectors makes it highly productive and with great capacity learning. Salaries of Ecuadorian workers are competitive in relation to other countries. Ecuador has one of the lowest unemployment rates in South America which is of about 4.5%. Ecuadorian population is 15,492,2646 and more than 44% of them belong to the economically active population affiliated to social security7, which reflects social cohesion and access to public services that ensure a better quality of life. For more information, please visit: www.ecuadorencifras.gob.ec
CONSOLIDATED INFRASTRUCTURE NETWORKS Ecuador is strategically positioned in terms of infrastructure and logistics. According to the Ministry of Transport and Public Works, Ecuador has a transportation infrastructure of 43,197 km of roads, this being the main means of communication in the country. Thanks to major public investment, two new airports have been built and the existing ones have been modernized. The port system of Ecuador consists of seven public ports and ten private docks, specialized in general cargo and oil. On the other hand, river transport is consolidated through several navigable rivers, such as Guayas, Napo and Morona, some of which are part of to the Manta-Manaus inter-oceanic corridor. In technological terms, Ecuador has installed 37,418 km of fiber optic8, representing an annual growth rate of Internet access of 32.8%9, which is reflected in sophisticated telecommunications services.
4 Source: National Secretariat of Higher Education, Science, Technology and Innovation (SENESCYT), based on information from the Ministry of Economy and Finance 2014, UIS-UNESCO and OECD 2011. 5 Source: Senescyt, 2007-2014. For 2014, the cutoff date is December 31st. 6 Source: National Institute of Statistics and Censuses 7 Source: National Institute of Statistics and Censuses, National Survey on Urban and Rural Employment, Unemployment and Underemployment, conducted in December. 8 Source: Ministry of Telecommunications and Information Society 9 Source: Ministry of Telecommunications and Information Society
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SECURITY FOR FOREIGN INVESTMENT (Organic Code of Production) • Equality: of conditions and protection for national and foreign investments and investors. • Property: protection of investors’ property (prohibition of all forms of forfeiture). • Rights: liberty of production, marketing, import and export of goods and services, subject to the provisions of the Constitution, laws and regulations established by the current legislation. • Taxation: national and foreign investments are subject to the same tax regime. • Resolution of conflict: investment contracts with foreign investors may include arbitration clauses to solve disputes that arise between government and investors. The dispute may be subject to international arbitration in accordance with the treaties signed by Ecuador. • Investment contracts: provide stability on tax incentives and those stated in the Organic Code of Production. They may include contractual commitments that are necessary for the development of the new investment. Also, for investments above 100 million Dollars, investors can benefit from tax stability incentives over the rates charged to income tax, tax on funds sent abroad, and other national direct taxes. • Other: Free transfer of profits abroad and investment (upon completion of tax obligations and other responsibilities, as stated in legal regulations). For more information, please visit: www.produccion.gob.ec
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Investment catalogue in Strategic Sectors 2015-2017
INCENTIVES FOR FOREIGN PUBLIC AND PRIVATE INVESTMENT (Organic Code of Production) • Complementary nature: Foreign investments shall have a role of direct complementarity in Strategic sectors and those prioritized in the economy that require investment and financing. • Development and promotion of Strategic Sectors: - Delegate to private initiatives the investment in Strategic Sectors in those cases established by the law for each sector. - New projects of private companies for the generation of electricity, under an equal treatment in terms of mechanisms and conditions of guarantee and/or payment in the purchase of energy, than those applied to international transactions. • Sectoral incentive: Total exemption of Income Tax for five years for new investments, as of the operation phase in the sectors that contribute to the change of the energy matrix; strategic substitution of imports, promotion of exports and rural development. Their implementation in strategic sectors is limited to electric generation projects of renewable energies. - In the specific case of Basic Industries, Income Tax exemption is for 10 years as of the operation of the industry. For more information, please visit: www.produccion.gob.ec
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OPPORTUNITY TO FINANCE PROJECTS IN ECUADOR (Organic Code of Public Planning and Finances) • Financial Agreement: Financing may establish provisions related to the participation of national companies that provide the loans for the implementation of projects, under the condition that funds are granted in profitable, advantageous or concessional terms for Ecuador. • Guidelines for bidding:
¿What do we observe when evaluating an offer? - Companies with internationally recognized trajectory. - An economic offer within market parameters. - Quality of materials, equipment and service. - Percentage of national aggregate.
If the offer includes financing: - Firm offer for financing with an internationally recognized lending entity. - Percentage of financing over the amount of investment. - Term of the credit. - Period of grace for payment of capital (at least equal to the period of time for the implementation of the project). - Interest rate (all in cost). For more information, please visit: www.finanzas.gob.ec
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Investment catalogue in Strategic Sectors 2015-2017
INVESTMENT MODALITIES Projects in this catalogue, in accordance with each sector and Government policies, may be implemented through different modalities, namely: PRIVATE • DIRECT INVESTMENT: Refers to those modalities in which public or private institutions, different from Ecuadorian public entities, agree to develop in a direct manner, under their sole responsibility and risk, a specific project. In this mechanism are included alternatives such as concessions (electricity, mining, telecommunications), or contracts for the provision of specific services (hydrocarbons), BOT. • STRATEGIC ALLIANCES: Includes several associative modalities between public or mixed Ecuadorian companies with national or foreign public or private companies for the implementation of projects. This modality includes alternatives such as partnership agreements, joint ventures, creation of subsidiaries, and other analogous forms. The selection of partners or allies may be done on a direct basis for national or foreign public companies and, in the case of national or foreign private companies, a special selection process should be conducted. PUBLIC • CONTRACTING WITH INTERNATIONAL PUBLIC COMPANIES: Ecuadorian laws permit direct contracting (commercial and for projects development) with public or subsidiary companies of the International Community. • BIDDINGS WITH FINANCING: Selection processes in which several interested parties are invited to present their technical and economic offers to develop a project, attaching also the financing offer duly supported with a letter of intent or other analogous documents issued by internationally recognized financial institutions.
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CONTACT Ministry Coordinator of Strategic Sectors investments@sectoresestrategicos.gob.ec Telephone: (593-2)2260670
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BASIC INDUSTRIES
Investment catalogue in Strategic Sectors 2015-2017
Basic industries projects
13
Basic industries Basic industries are based on the responsible exploitation of natural resources (raw materials) that are transformed into intermediate products that constitute the chaining source to generate growth and added value in intermediate and final industries.
Basic industries will be located in development poles that are leveraged through the optimization of logistics, transport and services infrastructure, already existing and/or being implemented. These industries have the following incentives:
They constitute one of the pillars of the strategy to change the production matrix. Their implementation shall generate acceleration of the economic growth and shall be of support to overcome the major social challenges of the country.
• Stability through an investment contract
Ecuador is seeking strategic partners to participate actively in the development of Ecuadorian industries. This development will take place under an investment modality that prioritizes foreign and/or local private partners, with potential involvement of the Government. Participation or ownership structures are open. Regarding basic industries, two ways to participate in these projects have been considered:
• Exemption of Income Tax (22%) for the first 10 years of industry operation • Special Development Zone, ZEDE (Zona Especial de Desarrollo) with the following incentives: · Exemption of Value Added Tax (12%) for the import of goods for 20 years. · Exemption of Customs Duties and Taxes for the import of goods for 20 years. · Exemption of Tax on Funds sent Abroad (5%) for goods and services for 20 years.
1. Direct investment 2. Strategic public-private alliances
PROJECTS OF THE BASIC INDUSTRIES SECTOR Nº. Project name Location Type
Investment amount (millions of USD)
1
Linear alkyl benzene (LAB) petrochemical plant
Manabí
industrial
2
Polyethylene terephthalate (pet) petrochemical plant
Manabí
industrial
3
Flat steel plant - direct reduced iron (DRI)
Manabí industrial
4
Flat steel plant - ferrous-titaniferous sand
Manabí
industrial
675
5
Repair shipyard
Guayas
industrial
180
6
Shipyard for Offshore Support Vessel (OSV)
Guayas
industrial
100
7
Large vessels shipyard
Guayas
industrial
700
8
Aluminum smelting plant
Manabí
industrial
2,500
9
Copper smelting and refining plant
10 Pulp plant
500
1,400 1,100
Manabí
industrial
2,000
Manabí
industrial
2,800
TOTAL
11 955
Source: Ministry Coordinator of Strategic Sectors
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Investment catalogue in Strategic Sectors 2015-2017
BASIC INDUSTRIES
Linear Alkyl Benzene (LAB) petrochemical plant benzene produced in the “Refinería del Pacífico” refinery, and imported paraffin. Production shall supply local and regional markets.
Construction of a petrochemical plant for the production of Linear Alkyl Benzene (LAB) with capacity to produce 115 kton/year using locally sourced
C O L O M B I A
0
50
100 km
0º
Quito
MANTA
El Aromo RDP
P A C I F I C
O C E A N
Guayaquil
P E R U
PROJECT STATUS:
COMPETITIVENESS:
ESTIMATED INVESTMENT:
✓ Pre-feasibility study in process, prepared by Fluor. It is expected to be completed in March 2015
• The construction of the “Refinería del Pacífico” (RDP) refinery, is strategic for the country. • LAB petrochemistry enables to chain products to the detergents market. • Growing demand in the region. • Synergies thanks to the infrastructure developed for the Refinery (roads access, basic services, port, etc.).
500 MMUSD
✓ Estimated operation start date: 2019.
MODALITY OF INVESTMENT: • Direct Investment. • Strategic public-privat alliances.
15
Polyethylene terephthalate (PET) petrochemical plant locally sourced xylene produced in the “Refinería del Pacífico” refinery, and imported ethylene glycol. Production shall supply local and regional markets.
Construction of three petrochemical plants for the production of Polyethylene Terephthalate (PET) with capacity to produce 450 kton/year using
C O L O M B I A
0
50
100 km
0º
Quito
MANTA
El Aromo RDP
P A C I F I C
O C E A N
Guayaquil
PROJECT STATUS:
COMPETITIVENESS:
ESTIMATED INVESTMENT:
✓ Pre-feasibility study in process, prepared by Fluor. It is expected to be completed in March 2015.
• The construction of the “Refinería del Pacífico” (RDP) refinery is strategic for the country. • PET petrochemistry enables to chain products to the plastic bottles market. • Growing demand in the region. • Synergies thanks to the infrastructure developed for the Refinery (roads access, basic services, port, etc.).
1,400 MMUSD
✓ Estimated operation start date: 2019.
16
P E R U
MODALITY OF INVESTMENT: • Direct Investment. • Strategic public-private alliances.
Flat steel plant – Direct Reduced Iron (DRI) Construction of a plant for the production of flat steel with capacity to produce 1,000 kton/year using natural gas and imported iron ore. Market focuses on covering the local demand (substituting imports
BASIC INDUSTRIES
Investment catalogue in Strategic Sectors 2015-2017
of hot rolled coils - HRC - and scrap), and the demand of the regional markets of Colombia, Peru and Chile. Other potential uses are in associated industries of cold rolled coils - CRC - and galvanized coils.
C O L O M B I A
0
50
100 km
0º
P A C I F I C
O C E A N
Quito
P E R U
GUAYAS Shipyard
Iron
Posorja
PROJECT STATUS:
COMPETITIVENESS:
ESTIMATED INVESTMENT:
✓ Pre-feasibility study completed by Idom on January 2015.
• Domestic demand justifies local production. • Neighboring countries are net importers of flat steel. • Competitive cost to replace imports of HRC and scrap. • Potentiality of natural gas at competitive prices.
1,100 MMUSD
✓ Estimated operation start date: 2018.
MODALITY OF INVESTMENT: • Direct Investment. • Strategic public-private alliances.
17
Flat steel plant - ferrous - titaniferous sand
Construction of a plant for the production of flat steel with capacity to produce 500 kton/ year using locally sourced
ferrous-titaniferous sand and imported coal. The plant will be focused on the substitution of hot rolled coil (HRC) imports.
C O L O M B I A
0
50
100 km
0º
P A C I F I C
O C E A N
Quito
P E R U
GUAYAS Shipyard Flat steel
Posorja
PROJECT STATUS:
COMPETITIVENESS:
ESTIMATED INVESTMENT:
✓ Sand characterization study in process. It is expected to be completed in February 2015.
• Domestic demand justifies local production. • Neighboring countries are net importers of flat steel. • Competitive cost to replace HRC imports. • Projects for sand mining in Tola Norte and Mompiche under evaluation. • Export potential for titanium and other byproducts to generate additional income.
675 MMUSD
✓ Pre-feasibility study should start with the Hatch Company in March 2015. ✓ Estimated operation start date: 2019.
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MODALITY OF INVESTMENT: • Direct Investment. • Strategic public-private alliances.
Repair shipyard
Construction of a repair service shipyard with capacity for 80 repairs/year. This project leverages on the relocation of the Astinave shipyard, which is property of the Ecuadorian government. Market focuses on
BASIC INDUSTRIES
Investment catalogue in Strategic Sectors 2015-2017
covering the local demand and potentially serving other ships from the region. The shipyard will have additional potential to build 2 vessels/year of up to 120m length (e.g. fishing boats).
C O L O M B I A
0
50
100 km
0º
P A C I F I C
O C E A N
Quito
P E R U
GUAYAS Repair shipyard
Posorja
PROJECT STATUS:
COMPETITIVENESS:
ESTIMATED INVESTMENT:
✓ Pre-feasibility study completed by ISDEFE on January 2015.
• Shipyards industry is a priority for the government. • Captive market for the repair of Ecuadorian flag vessels (the average age of vessels is high, so frequent repairs are required). • Strategic location on the Pacific coast to absorb the demand of ships heading to the Panama Canal. • Potential for vessels construction to replace the local fleet (e.g. fishing vessels).
180 MMUSD
✓ Estimated operation start date: January 2017.
(Including repairs and construction) MODALITY OF INVESTMENT: • Direct Investment. • Strategic public-private alliances.
19
Shipyard for Offshore Support Vessels (OSV)
Construction of a shipyard for the construction of vessels of OSV class (e.g. PSVs, light platforms), with capacity of 2 units a year.
Initial focus is on the local market of offshore gas exploration with the potential of future exports to the regional market.
C O L O M B I A
0
50
100 km
0º
P A C I F I C
O C E A N
Quito
P E R U
GUAYAS Shipyard
Posorja
PROJECT STATUS:
COMPETITIVENESS:
ESTIMATED INVESTMENT:
✓ Pre-feasibility study completed by ISDEFE on January 2015.
• Shipbuilding industry is a priority for the government. • Estimated demand of 16 PSVs and 5-8 light platforms over the next 8 years for the industry of offshore natural gas exploration. • Competitive labor costs.
100 MMUSD
✓ Estimated operation start date: July 2017.
20
MODALITY OF INVESTMENT: • Direct Investment. • Strategic public-private alliances.
Large vessels shipyard
Construction of a shipyard for the production of large vessels (e.g. Aframax type tankers), with capacity to produce 4 units/year. Initial focus is on the local market
BASIC INDUSTRIES
Investment catalogue in Strategic Sectors 2015-2017
of tankers for crude oil export with potential for future export and production of other vessels such as bulk carriers.
C O L O M B I A
0
50
100 km
0º
P A C I F I C
O C E A N
Quito
P E R U
GUAYAS Shipyard
Posorja
PROJECT STATUS:
COMPETITIVENESS:
ESTIMATED INVESTMENT:
✓ Pre-feasibility study completed by ISDEFE on January 2015.
• Shipbuilding industry is a priority for the government. • Captive market for Ecuadorian vessels: • Export of crude oil is a priority for the country. • Potential demand for 20 tankers in the next 6 years. • Potential Ecuadorian demand to build bulk carriers. • Competitive labor costs.
700 MMUSD
✓ Estimated operation start date: 2018.
MODALITY OF INVESTMENT: • Direct Investment. • Strategic public-private alliances.
21
Aluminum smelting plant
Construction of a plant for aluminum smelting with capacity to produce 500 kton/year of primary aluminum using imported
alumina. Production will be primarily focused on exports, especially to the region (South America).
C O L O M B I A
0
50
100 km
0º
P A C I F I C
O C E A N
Quito
P E R U
GUAYAS Shipyard
Aluminum
Posorja
PROJECT STATUS:
COMPETITIVENESS:
ESTIMATED INVESTMENT:
✓ Pre-feasibility study is being prepared by Hatch. It is expected to be completed in May 2015.
• Special rate for electricity generation at low cost. • South America will become a net importer of primary aluminum in the coming years. • Privileged location which favors low-cost transport: alumina may be imported from Brazil/Jamaica, and exports will be focused on South America. • Potential bilateral agreements between Ecuador and its target market (South America).
2,500 MMUSD
✓ Estimated operation start date: 2021.
22
MODALITY OF INVESTMENT: • Direct Investment. • Strategic public-private alliances.
Copper smelting and refining plant
Construction of a plant for copper smelting and refining with production capacity of ~280 kton/year of copper cathodes
BASIC INDUSTRIES
Investment catalogue in Strategic Sectors 2015-2017
using ~1000 kton of imported and/or local concentrate. Focus is on Asiatic markets, especially China.
C O L O M B I A
0
50
100 km
0º
P A C I F I C
O C E A N
Quito
P E R U
GUAYAS Shipyard
Copper
Posorja
PROJECT STATUS:
COMPETITIVENESS:
ESTIMATED INVESTMENT:
✓ Pre-feasibility study carried out by SNC-Lavalin and completed in December 2014.
• Privileged location to export refined copper to China and import concentrated copper from Chile and/or Peru. • Future integration with locally produced concentrated copper. • Potential to increase revenues by exporting sulfuric acid byproduct to Chile at competitive prices. • Competitiveness factors at regional and global scale (competitive electricity and labor costs).
2,000 MMUSD
✓Development of feasibility study should begin in April 2015. ✓ Estimated operation start date: 2018 for smelting, 2019 for refining.
MODALITY OF INVESTMENT: • Direct Investment. • Strategic public-private alliances.
23
Pulp plant
origin and imported chemicals. The target market is pulp export to high-demand markets (especially China and Europe).
Construction of a mixed plant for the production of BHKP and BSKP with capacity to produce 1,000 kton/year using wood pulp (eucalyptus and pine) of local
Esmeraldas 0
50
Tulcán
C O L O M B I A
100 km
Ibarra 0º
Santo Domingo
Latacunga Portoviejo
Francisco de Orellana Tena
Ambato Guaranda
O C E A N P A C I F I C
Nueva Loja
Quito
Babahoyo
Riobamba
Puyo
Guayaquil Santa Elena
Macas Azogues Cuenca P E R U
Machala
Loja
PROJECT STATUS:
COMPETITIVENESS:
ESTIMATED INVESTMENT:
✓ The study of the Indicator of Annual Average Growth and availability of land is in process and is being carried out by STCP. It is expected to be completed in July 2015.
• Climate and geography are suitable for planting eucalyptus and pine. • Availability of land suitable for forests. • Strategic location for exporting to various regions, mainly China. • Ecuador can achieve very quickly the automation of crops to increase productivity. • Competitive raw material costs. • Low internal logistic costs. • High potential for integration with the development of the paper industry to replace imports.
2,800 MMUSD
✓ Pre-feasibility study should start in August 2015. ✓ Estimated operation start date: 2024.
24
Zamora
MODALITY OF INVESTMENT: • Direct Investment. • Strategic public-private alliances.
MINING
Mining sector projects
Mining sector Ecuador is a country with great geological wealth throughout its territory. For many years, dozens of leading companies have performed research activities in Ecuador and their explorations have discovered large gold and copper mining projects in the provinces of Azuay, Zamora Chinchipe, Morona Santiago and Imbabura, among others.
begin operations, and others are already in advanced stages of exploration. This catalogue includes the ENAMI projects that need investments through public-private alliances.
Ecuador has granted mining concessions to private companies whose projects are under prospection, exploration, and some close to come into production. In this catalogue are include projects of the private sector that need investments in order to be developed.
1. Direct investment 2. Strategic public-private alliances
Also, the decision to carry conduct biddings of new mining areas has been taken in order to delegate, through concession, these areas to companies that ensure the use of the best exploration and exploitation practices of areas that have been considered of interest due to their important geological potential. Auction processes can be performed by request of the government or by request of an interested party, which is why financial bids shall not be rated, only the bidder with regard to their experience and financial capacity, as well as the technical and environmental proposal they submit.
• • • • • •
In 2010 the Ecuadorian Government created the Empresa Nacional Minera, ENAMI (National Mining Company) that has projects in prospection and exploration stages. Most of them have all legal permits to
Two main ways to participate in these projects have been considered:
Mining projects in Ecuador have several competitive advantages for potential investors: High mineral recovery rates (very good mining laws) Low stripping ratio (proximity of mineral) Access to water Sufficient provision of electricity at attractive costs Modern infrastructure in roads, ports and airports Monetary stability
Besides the natural advantages of projects, the Ecuadorian State accompanies mining development in a responsible manner, ensuring productive development and providing incentives: • Tax stability and incentives • Accelerated depreciation of the machinery used • Clear and established rules based on Ecuadorian legislation
MINING SECTOR PROJECTS Nº. Project name
Location Stage Mineral (province)
Investment amount (millions of USD)
1
Llurimagua
Imbabura
Advanced exploration
Copper-molybdenum
2
Tola Norte
Esmeraldas
Advanced exploration
Ferrous-titaniferous sand
3
Nanguipa
Zamora Chinchipe
Initial exploration
Gold and copper
19
4
El Torneado
Bolívar
Advanced exploration
Copper and molybdenum
18
5
La Bonita
Sucumbíos
Initial exploration
Gold and copper
14
6
Telimbela
Bolívar
Advanced exploration
Copper and molybdenum
14
7
Pacto
Pichincha
Initial exploration
Gold and polymetals
7
8
Sangola
Zamora Chinchipe
Initial exploration
Gold and copper
6
TOTAL
29 26
133 Source: ENAMI EP
26
Investment catalogue in Strategic Sectors 2015-2017
Llurimagua mining project
Location: Province of Imbabura
MINING
Advanced exploration of copper and molybdenum within an area of 4,839 Ha.
COLOMBIA
0º
PACIFIC
OCEAN
QUITO
Guayaquil
CARCHI
P E R U
0
50
ESMERALDAS
100 km
IMBABURA COTACACHI
Ibarra
Llurimagua
PICHINCHA
PROJECT STATUS:
ESTIMATED INVESTMENT:
✓ Environmental license.
29 MMUSD
✓ First drilling phase 15,000 m. ✓ The drilling campaign is scheduled to start on March 15th, 2015. POTENTIAL:
SUCUMBIOS
GEOLOGICAL MODEL:
MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
• Inferred resource: 318 million tons of minerals. • Copper grade: 0.7% • Molybdenum grade: 0.026% • Project lifetime: 30 years.
(Magnified image in enclosed CD)
27
Tola Norte mining project
Advanced exploration of Ferro-titaniferous sand (beach sand), within an area of 4,648 Ha.
Location: Province of Esmeraldas
VALDEZ (LIMONES) PACIFIC OCEAN TOLA NORTE LA TOLA TAMBILLO
LAS PEÑAS
BORBÓN COLOMBIA
PA C I F I C O C E A N CARCHI
COLOMBIA
Esmeraldas
0º
QUITO
PACIFIC
OCEAN
ESMERALDAS MANABÍ IMBABURA Guayaquil
P E R U
0
50
100 km
PROJECT STATUS:
POTENTIAL:
✓ Environmental license.
• Geological potential: 70 MMT (VHM: South American Iron and Steel. SAIS 2005-2010).
✓ First drilling phase (completed). ✓ Analysis and interpretation of samples obtained for the determination of inferred resources (February 2015).
• Project lifetime: 35 years.
✓ Second drilling phase scheduled (April 2015).
26 MMUSD
✓ Third drilling phase scheduled (2016).
28
PICHINCHA SANTO DOMINGO DE LOS TSÁCHILAS
GEOLOGICAL MODEL:
ESTIMATED INVESTMENT:
MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
(Magnified image in enclosed CD)
Investment catalogue in Strategic Sectors 2015-2017
Nanguipa mining project
copper within an area of 5,066 Ha.
Initial exploration until identifying resources that make it feasible the conduction of a pre-feasibility mining study in order to quantify probable reserves of gold and
MINING
Location: Province of Zamora Chinchipe
A Z U AY COLOMBIA MORONA SANTIAGO 0º
PACIFIC
OCEAN
QUITO
ZAMORA CHINCHIPE
Guayaquil
P E R U
0
50
100 km
Zamora LOJA
CENTINELA DEL CÓNDOR
NANGUIPA1 ZAMORA
NANGUIPA
NANGARITZA
PERU
PROJECT STATUS:
ESTIMATED INVESTMENT:
✓ Initial exploration plan (under development).
19 MMUSD
✓ Environmental license (being processed).
MODALITY OF INVESTMENT:
POTENTIAL:
GEOLOGICAL MODEL:
• Direct investment. • Strategic public-private alliances.
• Geological potential: 300 MMT with 0.5% copper grade (CODELCO 2012)
(Magnified image in enclosed CD)
29
El Torneado mining project
Advanced exploration of copper and molybdenum mineral resources within an area of approximately 17,878 Ha.
Location: Province of Bolívar
C O T O PA X I
TUNGURAHUA
LOS RIOS
GUARANDA Guaranda
COLOMBIA
CALUMA
0º
QUITO
San Antonio
PACIFIC
OCEAN
CHIMBO Cerro Gualazay Grande Guayaquil
El Cristal Chicaloma P E R U
0
50
CHIMBORAZO
100 km
G U AYA S
BOLIVAR
PROJECT STATUS:
GEOLOGICAL MODEL:
✓ Environmental license granted ✓ Identification of three zones with high mineralization potential and high values of copper and molybdenum ✓ Implementation of the first drilling stage of 500 m divided into 3 drillings in anomalies for massive sulphide sulphide. POTENTIAL: • Inferred resources: 200 MMT • Project lifetime: 25 to 30 years
ESTIMATED INVESTMENT: 18 MMUSD MODALITY OF INVESTMENT: • Direct investment • Strategic public-private alliances
(Magnified image in enclosed CD)
30
Investment catalogue in Strategic Sectors 2015-2017
La Bonita mining project
Initial exploration of gold and copper to determine the mineral resources existing within an area of 13,610 Ha.
Location: Province of Sucumbíos
0º
QUITO
PACIFIC
OCEAN
La Bonita
Guayaquil
SUCUMBIOS
MINING
COLOMBIA
COLOMBIA
Rosa Florida
P E R U
0
50
100 km
La Chispa
CASCALES
CARCHI
IMBABURA COLOMBIA
SUCUMBIOS PICHINCHA
Nueva Loja
SUCUMBIOS
NAPO ORELLANA
PERU
PROJECT STATUS: ✓ Environmental license (being processed) ✓ Geological, structural and hydrothermal alterations mapping Geochemistry of stream sedi✓ ments, rocks and soils.ils Airborne geophysical ✓ (scheduled)
studies
POTENTIAL: • Resources (under determination process): geochemistry of stream sediments indicates presence of coarse gold panning
• Possible continuation of tjhe porphyry copper system of Mocoa Colombia • Large areas of hydrothermal alteration (12 km2)
GEOLOGICAL MODEL:
ESTIMATED INVESTMENT: 14 MMUSD MODALITY OF INVESTMENT: • Direct investment • Strategic public-private alliances
(Magnified image in enclosed CD)
31
Telimbela mining project
Advanced exploration of copper and molybdenum to determine mineral resources existing within an area of 4,033 Ha.
Location: Province of Bolívar
C O T O PA X I
TUNGURAHUA LOS RIOS
GUARANDA Guaranda CALUMA Telimbela
COLOMBIA
CHIMBO
0º
PACIFIC
OCEAN
QUITO
B O L I VA R
Guayaquil
P E R U
0
50
G U AYA S
100 km
PROJECT STATUS:
GEOLOGICAL MODEL:
✓ Environmental license granted
POTENTIAL:
✓ Soil samples reflect abnormalities in:
• Geological potential: 250 MTM • Close to South Curimpamba project, with 2.33 & Cu and 2.99 g/t gold. • Project lifetime: 23 years
✓ North Telimbela: 0.4 g/t Au, 5.8 g/t Ag and 1.65% Cu. (400 x 1200m) ✓ Center Telimbela: 0.2 g/t Au; 1.6 g/t Ag and 1.60% Cu (500 x 300m)
ESTIMATED INVESTMENT:
✓ South Telimbela: 0.05% Cu
15 MMUSD.
✓ 4000n drilling in Ashuaca sector
MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
32
CHIMBORAZO
(Magnified image in enclosed CD)
Investment catalogue in Strategic Sectors 2015-2017
Pacto mining project
Initial exploration of gold and polymetals to determine the mineral resources that exist within an area of 4,645 Ha.
Location: Province of Pichincha
ESMERALDAS
MINING
IMBABURA
SUCUMBIOS
DISTRICT METROPOLITAN QUITO
Quito SANTO DOMINGO DE LOS TSÁCHILAS
NAPO
PICHINCHA CANTÓN QUITO GUALEA COLOMBIA
0º
C O T O PA X I
QUITO
URCUTAMBO COD: 403009 2351 Ha
PACIFIC
OCEAN
PACTO
Guayaquil
INGAPI COD: 403008 2394 Ha
P E R U
0
50
100 km
PROJECT STATUS:
POTENTIAL:
✓ Environmental license (being processed)
• Geological Potential: 250,000 ounces of gold
✓ Determination of three areas of exploration interest within the Urcutambo concession
ESTIMATED INVESTMENT:
✓ Development of drilling plan of 1,800m in “El Viudo” sector.
GEOLOGICAL MODEL:
7 MMUSD MODALITY OF INVESTMENT:
(Magnified image in enclosed CD)
• Direct investment. • Strategic public-private alliances.
33
Sangola mining project
Initial exploration of gold and copper to determine mineral resources that exist within an area of 6,507 hectares.
A Z U AY
Location: Province of Zamora Chinchipe
MORONA SANTIAGO
ZAMORA CHINCHIPE PERU
Zamora
LOJA
COLOMBIA
0º
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
Palma Chorocoto
PROJECT STATUS: ✓ Initial exploration plan (being developed).
50
100 km
Karina 6 Rebeca
• Located in the geological strip of Fruta del Norte and Mirador projects.
✓ Environmental license (being processed).
ESTIMATED INVESTMENT:
POTENTIAL:
MODALITY OF INVESTMENT:
• 3 main veins with a confirmed and sampled area with a longitude of 250m to 300m, and with tenors ranging from 4.7 to 102g/t Au. • Polymetallic veined deposit of low sulphidationt.
34
0
GEOLOGICAL MODEL:
6 MMUSD.
• Direct investment. • Strategic public-private alliances.
(Magnified image in enclosed CD)
Investment catalogue in Strategic Sectors 2015-2017
Mining blocks for bidding Province
Esmeraldas
Location Reference coordinate
1
1 A
23.724
2
1 B
24.278
Esmeraldas
Lat: 0.989 N; Long: 78.730 W Gold
3
1 C
17.551
Esmeraldas
Lat: 0.900 N; Long: 78.860 W Gold
4
2 A
6.612
Carchi
Lat: 0.807 N; Long: 78.244 W Gold and manganese
5
2 B
8.853
Imbabura
Lat: 0.679 N; Long: 78.346 W Gold
6
3 A
20.400
Esmeraldas
Lat: 0.460 N; Long: 79.050 W Platinum, cobalt, manganese and tellurium
7
3 B
4.500
Imbabura
Lat: 0.330 N; Long: 78.760 W Gold
8
4
Lat: 0.301 S; Long: 78.900 W Gold, silver, copper, lead and zinc
3.300
Santo Domingo
de los Tsachilas
9
5
Lat: 1.073 N; Long: 78.63 W
Potential (occurrences) Gold
33.500
Napo
Lat: 0.896 S; Long: 77.80 W
Gold
10 6 A
16.000
Cotopaxi
Lat: 1.063 S; Long: 79.19 W
Gold and copper
11 6 B
39.500
Bolívar
Lat: 1.312 S; Long: 79.08 W
Gold and copper
12 6 C
5.304
Los Ríos
Lat: 1.580 S; Long: 79.29 W
Gold and copper
13 7
37.100
Chimborazo
Lat: 1.940 S; Long: 78.49 W
Zinc, copper and silver
14 8
10.890
Cañar
Lat: 2.540 S; Long: 79.12 W
Gold, silver and zinc
15 9
28.175
Morona Santiago
Lat: 3.240 S; Long: 78.83 W
Gold, magnetite and pyrite
and Azuay
16 10 A
9.562
El Oro
Lat: 3.37 S; Long: 79.540 W
Gold, zinc, cobalt and tellurium
17 10 B
7.310
El Oro
Lat: 3.54 S; Long: 79.620 W
Gold and polymetals18
11
A
MINING
Nº. Name of Area the block (Ha)
9.350
Zamora Chinchipe Lat: 3.84 S; Long: 78.830 W
Gold and silver
19 11 B
5.000
Zamora Chinchipe Lat: 3.93 S; Long: 78.900 W
Gold and silver
20 12 A
31.160
Loja
Lat: 3.92 S; Long: 79.780 W
Gold, lead and antimony
21 12 B
12.680
Loja
Lat: 4.17 S; Long: 79.790 W
Gold, silver, lead, zinc and molybdenum
22 12 C
5.000
Loja
Lat: 4.28 S; Long: 79.510 W
23 13 A
9.850
Zamora Chinchipe Lat: 4.65 S; Long: 78.920 W
Gold, copper, lead and zinc
24 13 B
22.425
Zamora Chinchipe Lat: 4.82 S; Long: 79.010 W
Gold
25 13 C
39.777
Zamora Chinchipe Lat: 4.80 S; Long: 79.210 W
Molybdenum, thorium, barium,
Gold, copper and lead
uranium, cerium, tungsten,
niobium, tin and lead
Source: Instituto Nacional de Investigación Geológico Minero Metalúrgico, INIGEMM (National Institute for Geological, Mineral and Metallurgical Research)
35
Block 1A
This block is located north of Ecuador in the foothills of the Toisán range which is part of the Cordillera Occidental Range. Altitude varies from 50 to 500 meters above sea level. The area of the block is 23,724 Ha.
Location: Province of Esmeraldas Coordinates: Lat: 1.073 N Reference GCS: Long: 78.63 W
COLOMBIA
SAN LORENZO PA C I F I C O C E A N
Block 1A CARCHI
Esmeraldas
ESMERALDAS
IMBABURA
MANABÍ COLOMBIA
0º
QUITO
PACIFIC
OCEAN
PICHINCHA
Guayaquil
P E R U
0
POTENTIAL:
BLOCK GEOLOGY:
Occurrences of gold in alluvial deposits and Quaternary age terraces.
The block is located on rocky outcrops that are part of a forearc sedimentary basin of the Tertiary age, corresponding to the Borbon and Canoa formations, covered by San Tadeo formation and estuarine marine clays.
MODALITY OF INVESTMENT: • Direct investment.
50
100 km
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
36
Block 1B
This block is located north of Ecuador in the foothills of the Toisán range which is part of the Cordillera Occidental Range. Altitude varies from 50 to 500 meters above sea level. The area of the block is 17,551 Ha.
Location: Province of Esmeraldas Coordinates: Lat: 0.989 N Reference GCS: Long: 78.73 W
MINING
Investment catalogue in Strategic Sectors 2015-2017
COLOMBIA
SAN LORENZO PA C I F I C O C E A N
CARCHI
Block 1B Esmeraldas
ESMERALDAS
IMBABURA
MANABÍ
COLOMBIA
0º
QUITO
PACIFIC
OCEAN
PICHINCHA
Guayaquil
P E R U
0
POTENTIAL:
BLOCK GEOLOGY:
Occurrences of gold in alluvial deposits and Quaternary age terraces.
In the block outcrop sedimentary rocks of the tertiary basin corresponding to Zapallo, Playa Rica, Angostura, Onzole and Borbón formations; estuarine marine clays cover the area.
MODALITY OF INVESTMENT: • Direct investment.
50
100 km
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
37
Block 1C
This block is located north of Ecuador in the foothills of the Toisán range which is part of the Cordillera Occidental Range. Altitude varies from 50 to 500 meters above sea level. The area of the block is 17,551 Ha.
Location: Province of Esmeraldas Coordinates: Lat: 0.90 N Reference GCS: Long: 78.86 W
COLOMBIA
SAN LORENZO
PA C I F I C O C E A N
CARCHI
Block 1C
Esmeraldas
ELOY ALFARO
ESMERALDAS
IMBABURA
MANABÍ
COLOMBIA
0º
QUITO
PACIFIC
OCEAN
PICHINCHA
Guayaquil
P E R U
0
POTENTIAL:
BLOCK GEOLOGY:
Occurrences of gold in alluvial deposits and Quaternary age terraces.
In the block outcrop sedimentary rocks of the tertiary basin corresponding to Zapallo, Playa Rica, Angostura, Onzole and Borbón formations; estuarine marine clays cover the area.
MODALITY OF INVESTMENT: • Direct investment.
50
100 km
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
38
Investment catalogue in Strategic Sectors 2015-2017
Block 2A
Location: Coordinates: Reference GCS:
Province of Carchi Lat: 0.807 N Long: 78.244 W
MINING
This block is located north of Ecuador in the foothills of the Toisรกn range which is part of the Cordillera Occidental Range. Altitude varies from 50 to 500 meters above sea level. The area of the block is 6,612 Ha.
ESMERALDAS
COLOMBIA
MIRA Tulcรกn
Block 2A
CARCHI COLOMBIA
0ยบ
QUITO
PACIFIC
OCEAN
SUCUMBIOS
Guayaquil PICHINCHA P E R U
0
50
100 km
POTENTIAL:
BLOCK GEOLOGY:
GEOLOGICAL MODEL:
Traces of gold and manganese are found in samples of active river sediments. This block is adjacent to Cascabel project of the CORNERSTONE SOLDGOLD Company.
Bedrock is made up, to the west, by volcanic rocks that are part of an islands arc of tholeiitic affinity which are included in the Naranjal Unit of the Cretaceous age and east by sedimentary rocks of the Cretaceous age that are part of the Pilatรณn unit. To the west, bedrock is in tectonic contact with Eocene sedimentary rocks of El Laurel unit. Sequences are covered by continental volcanic rocks of calcalkaline affinity of the San Juan de Lachas unit of the Oligocene.
(Magnified image in enclosed CD)
MODALITY OF INVESTMENT: โ ข Direct investment.
39
Block 2B
This block is located north of Ecuador in the foothills of the Toisán range which is part of the Cordillera Occidental Range. Altitude is 500 meters above sea level. The area of the block is 8,853 Ha.
Location: Province of Imbabura Coordinates: Lat: 0.679 N Reference GCS: Long: 78.346 W
COLOMBIA
0º
QUITO
PACIFIC
OCEAN
IBARRA
Guayaquil
CARCHI
Block 2B P E R U ESMERALDAS 0
50
100 km
SAN MIGUEL DE URCUQUÍ
IMBABURA Ibarra
PICHINCHA SUCUMBIOS
POTENTIAL:
BLOCK GEOLOGY:
Traces of gold are found in samples of active river sediments. This block is adjacent to Cascabel project of the CORNERSTONE – SOLDGOLD Company.
Bedrock is made up, to the west, by volcanic rocks that are part of an islands arc of tholeiitic affinity which are included in the Naranjal Unit of the Cretaceous age and east by sedimentary rocks of the Cretaceous age that are part of Pilatón unit. Sequences are overlain by Eocene sedimentary rocks of El Tortugo and El Laurel units to the west and to the east, respectively. Sequences are covered by continental volcanic rocks of calc-alkaline affinity of the San Juan de Lachas unit of the Oligocene. Pluton of La Merced de Buenos Aires, of granodiorite and diorite composition from the Miocene, intrudes the pre-Oligocene sequences.
MODALITY OF INVESTMENT: • Direct investment.
40
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
Block 3A
This block is located in the foothills of the Cordillera Occidental Range, with heights not higher than 800 meters above sea level. The area of the block is 20,400 Ha.
Location: Province of Esmeraldas Coordinates: Lat: 0.46 N Reference GCS: Long: 79.05 W
MINING
Investment catalogue in Strategic Sectors 2015-2017
COLOMBIA
PA C I F I C O C E A N
CARCHI
Esmeraldas ELOY ALFARO
ESMERALDAS MANABÍ
IMBABURA
Block 3A QUININDÉ
COLOMBIA
0º
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
POTENTIAL:
BLOCK GEOLOGY:
Traces of platinum, cobalt, manganese and tellurium are found in samples of active river sediments. This block is located east of Llurimagua project of the ENAMI and north of El Corazón project.
The region bedrock is made up by mafic and ultramafic rocks included in the Naranjal Unit which is part of the Caribe plateau, overlain by marine sedimentary rocks of the Colorado Unit and volcanoclastic rocks of Río Desgracia Unit. A gabbroic intrusive is placed in the cretaceous rocks. The area is crossed by the Canandé fault.
MODALITY OF INVESTMENT: • Direct investment.
50
100 km
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
41
Block 3B
This block is located in the foothills of the Cordillera Occidental Range at an average altitude of 200 meters above sea level. The area of the block is 4,500 Ha.
Location: Province of Imbabura Coordinates: Lat: 0.33 S Reference GCS: Long: 78.76 W
COLOMBIA
0ยบ
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
100 km
ESMERALDAS
CARCHI
IMBABURA
Block 3B
Ibarra COTACACHI
PICHINCHA SUCUMBIOS
POTENTIAL:
BLOCK GEOLOGY:
Traces of gold are found in samples of active river sediments in the drains located at the southwest of the block. The block is located between El Corazรณn (Au) and Llurimagua (CuMo) mining projects.
The region bedrock is made up by mafic and ultramafic rocks included in the Naranjal Unit, which is part of the Caribe plateau, overlain by marine sedimentary rocks of El Tortugo Unit from the Eocene. In the east area, Apuela batholith rocks intrude the pre-Oligocene sequences. The area is crossed by the Toachi fault.
MODALITY OF INVESTMENT: โ ข Direct investment.
42
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
Investment catalogue in Strategic Sectors 2015-2017
Block 4
This block is located in the Cordillera Occidental Range at an average altitude of 1,500 meters above sea level. The area of the block is 3,300 Ha.
MINING
ESMERALDAS
Location: Province of Santo Domingo de los Tsáchilas Coordinates: Lat: 0.301 S Reference GCS: Long: 78.90 W
PICHINCHA
Block 4
Santo Domingo ALLURIQUÍN
SANTO DOMINGO DE LOS TSÁCHILAS
MANABÍ
COLOMBIA
0º
C O T O PA X I
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
100 km
LOS RIOS
POTENTIAL:
BLOCK GEOLOGY:
Two traces of gold, silver, copper, lead and zinc have been found in La Palma and Dos Ríos areas. The block is located northeast of La Plata mine (VMS), which is currently inactive.
The bedrock is constituted by marine sedimentary rocks included in Malaute and Pilatón units of the Cretaceous age. The western part of the area has volcanic rocks which are part of an arc of islands of tholeiitic affinity included in the Macuchi Unit. Eocene intrusive bodies elongated with north-south direction and of diorite composition intrude the rocks of the Cretaceous units. Quaternary terraces cover partially the above mentioned rocks in the south of the block. A branch of the Toachi regional fault is the contact between the rocks of the Macuchi and Mulaute units.
MODALITY OF INVESTMENT: • Direct investment.
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
43
Block 5
This block is located in the foothills of the Real Oriental range at an average altitude of 1,000 meters above sea level. The area of the block is 33,500 Ha.
Location: Coordinates: Reference GCS:
Province of Napo Lat: 0.896 S Long: 77.80 W
COLOMBIA
0º
SUCUMBIOS
PICHINCHA
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
NAPO
100 km
ORELLANA
ARCHIDONA
Block 5 TENA Tena C O T O PA X I
PA S TA Z A TUNGURAHUA
POTENTIAL:
BLOCK GEOLOGY:
Indications of alluvial gold in three rivers that cross the block. Adjacent to the areas of Terra Earth Resources S.A.
The oldest sequence is the Misahuallí Unit of the Jurassic age, constituted mainly by calc-alkaline volcanic rocks of continental arc. Overlaying incongruously in the Misahuallí Unit we can find the Hollín and Napo marine sedimentary formations and the Tena formation of the upper Cretaceous age of continental origin. Cenozoic continental sediments cover sequences in the western sector. In the northwest of the area, Abitagua granite from the Jurassic age is exposed.
MODALITY OF INVESTMENT: • Direct investment.
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
44
Investment catalogue in Strategic Sectors 2015-2017
Block 6A
Location: Province of Cotopaxi Coordinates: Lat: 1.063 S Reference GCS: Long: 79.19 W
MINING
This block is located in the Cordillera Occidental Range, southwest of the province of Cotopaxi at an average altitude of 1,500 meters above sea level. The area of the block is 16,000 Ha.
COLOMBIA
0ยบ
PACIFIC
OCEAN
QUITO
SANTO DOMINGO DE LOS TSACHILAS Guayaquil PICHINCHA
P E R U
0
50
100 km
LOS RIOS
Latacunga
C O T O PA X I NAPO
Block 6A PANGUA TUNGURAHUA
B O L I VA R
POTENTIAL:
BLOCK GEOLOGY:
Traces of gold and copper are found in samples of active river sediments collected in the northeast and southwest of Block 6A.
This block is made up mostly by volcanic, volcanoclastic and volcanosedimentary rocks, predominantly of mafic composition and tholeiitic affinity included in the Macuchi Unit, which is part of an islands arc that developed in the Paleocene-Eocene. By geological correlation, it is established that bedrock is the Caribbean Plateau. This sequence is intruded by plutons of quartz dioritic, dioritic and tonalitic composition, of calc-alkaline affinity. Several alluvial deposits and terraces cover the above mentioned sequences, south-west of the area.
Block 6A is located southwest of the old Macuchi (VMS) mine which was exploited in the last century, and near Curipamba projects of Curimining S.A. MODALITY OF INVESTMENT: โ ข Direct investment
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
45
Block 6B
This block is located in the Cordillera Occidental Range, north of the province of Bolívar, at an average altitude of 2,500 meters above sea level. The area of the block is 39,500 Ha.
Location: Coordinates: Reference GCS:
Province of Bolivar Lat: 1.312 S Long: 79.08 W
C O T O PA X I
TUNGURAHUA
Block 6B
LOS RIOS
GUARANDA
Guaranda
BOLIVAR COLOMBIA
0º
PACIFIC
OCEAN
QUITO
CHIMBORAZO G U AYA S
Guayaquil
P E R U
0
50
100 km
POTENTIAL:
BLOCK GEOLOGY:
Several areas of hydrothermal alteration and places with pyrite and chalcopyrite mineralization. Occurrences of copper and gold. Located near Curipamba Projects of Curimining S.A.
This block is constituted by volcanic rocks included in the Macuchi Unit and vocanosedimentary rocks of the Arrayanes Unit. In the southeastern part, sequences are covered by volcanosedimentary rocks of the Zumbahua Group. Several intrusions of Miocene age of variable composition (quartz dioritic, dioritic and tonalitic), including plutons of El Corazón and Chazo Juan, intrude the above described sequences.
MODALITY OF INVESTMENT: Direct investment.
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
46
Investment catalogue in Strategic Sectors 2015-2017
Block 6C
This block is located in the west flank of the Cordillera Occidental Range, east of the province of Los Ríos, at an average altitude of 700 meters above sea level. The area of the block is 5,304 Ha.
Province of Los Ríos Lat: 1.580 S Long: 79.29 W
MINING
Location: Coordinates: Reference GCS:
MANABÍ
COLOMBIA C O T O PA X I 0º
G U AYA S
PACIFIC
OCEAN
QUITO
Quevedo
Guayaquil
P E R U
0
50
100 km
LOS RIOS
B O L I VA R
Block 6C
URDANETA
POTENTIAL:
BLOCK GEOLOGY:
Several areas of hydrothermal alteration and places with pyrite and chalcopyrite mineralization. Occurrences of copper and gold. Located northeast of Telimbela project of the ENAMI.
The bedrock is constituted by volcanic rocks of Macuchi Unit. An intrusive of the Oligocene-Miocene age of granodioritic to tonalitic composition intrudes the paleoscenic sequences which make up most of the northwestern part of the area.
MODALITY OF INVESTMENT:
GEOLOGICAL MODEL:
• Direct investment. (Magnified image in enclosed CD)
47
Block 7
This block is located in the central area of the Real Oriental range in Sacraurcu sector, northeast of the Province of Chimborazo, at an average altitude of 3,500 meters above sea level. The area of the block is 37,100 Ha.
Location: Province of Chimborazo Coordinates: Lat: 1.94 S Reference GCS: Long: 78.49 W
TUNGURAHUA
RIOBAMBA COLOMBIA
0º
B O L I VA R
Riobamba
QUITO
PACIFIC
OCEAN
CHAMBO
Guayaquil
Block 7 P E R U
0
50
100 km G U AYA S
MORONA SANTIAGO
CHIMBORAZO GUAMOTE
CAÑAR
POTENTIAL:
BLOCK GEOLOGY:
Several signs of volcanogenic massive sulphides with occurrences of zinc, copper and silver. Adjacent to the Yurac Rumi project of the CONMINAS S.A. Company.
The oldest rocks are included in the Alao-Paute Unit of the Jurassic age, interpreted as an arc of islands located west of the rocks that form the core of the metamorphic belt of the Cordillera Real. In the western part of the block, in tectonic contact, are the metaturbidites of Maguazo Unit which are also from the Jurassic age. On the western edge appears the Peltetec Unit consisting of mafic and ultramafic rocks which are part of an ophiolitic complex. Sequences are intruded by Alao pluton of the Tertiary age. The southern region is covered by Tertiary and Quaternary volcanic rocks.
MODALITY OF INVESTMENT: • Direct investment.
48
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
Investment catalogue in Strategic Sectors 2015-2017
Block 8
This block is located in the Cordillera Occidental Range, in the center of the province of Cañar at an average altitude of 2,400 meters. The area of the block is 10,890 Ha.
Province of Cañar Lat: 2.54 S Long: 79.12 W
MINING
Location: Coordinates: Reference GCS:
G U AYA S
CHIMBORAZO
CAÑAR
SUSCAL EL TAMBO
Block 8
CAÑAR
Azogues
MORONA SANTIAGO
COLOMBIA A Z U AY
0º
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
100 km
POTENTIAL:
BLOCK GEOLOGY:
Areas with hydrothermal alteration with pyrite mineralization and occurrences of zinc, silver and gold. Adjacent to ELIPE and AMEGOLD S.A. projects.
The oldest sequences are the subaerial volcanic and intermediate calc-alkaline to acid rocks of the Saraguro Group, which include the Ocaña formation, overlain by the Tomebamba Unit, the Chanlud and Cerro Caucay formations whose age ranges from the Late Middle Eocene to the Early Miocene. There is a predominance of andesitic lavas interbedded with volcanic sediments and andesitic massive tuffs with lithic lapilli, produced by ash flows. Rhyolitic domes intrude into the Chanlud formation.
MODALITY OF INVESTMENT: • Direct investment.
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
49
Block 9
This block is located on the western flank of the Cordillera Real range, southeast of the province of Azuay and on the border with the province of Morona Santiago at an average altitude of 2,900 meters above sea level. The area of the block is 28,175 Ha.
Location: Coordinates: Reference GCS:
Provinces of Morona Santiago and Azuay Lat: 3.24 S Long: 78.83 W
COLOMBIA TUNGURAHA 0º
PACIFIC
OCEAN
QUITO
Guayaquil
PA S TA Z A P E R U
0
50
CHIMBORAZO
100 km
Macas
CAÑAR
MORONA SANTIAGO
G U AYA S
Cuenca
A Z U AY
NABÓN
PERU
Block 9 GUALAQUIZA
EL ORO
LOJA ZAMORA CHINCHIPE
POTENTIAL:
BLOCK GEOLOGY:
Several rivers with presence of alluvial gold, in addition to gold, magnetite and pyrite mineralization. Traces of zinc, arsenic, antimony and barium in samples of river sediments and, in heavy sediments, tungsten, tin, cerium, yttrium and chromium. This block is adjacent to the projects of TERRASOURCES S.A.
The bedrock is made up by metamorphic rocks of the Chiguinda unit. Regarding lithology, bedrock includes low-grade metamorphic rocks, interpreted as a part of an intracratonic basic and correlated with Carboniferous and Devonian rocks of the Peru – Bolivia Depression. To the west there is an outcrop of Type S metagranites of the Tres Lagunas unit. Contact between the two units is tectonic. Minor intrusive bodies of the Tertiary age are located in the pre-Cretaceous units. Units are covered by tertiary continental volcanic rocks.
MODALITY OF INVESTMENT: • Direct investment.
50
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
Investment catalogue in Strategic Sectors 2015-2017
Block 10A
Location: Coordinates: Reference GCS:
Province of El Oro Lat: 3.37 S Long: 79.54 W
MINING
This block is located south of the Cordillera Occidental Range, northeast of the province of El Oro, at an average altitude of 1,400 meters above sea level. The area of the block is 9,562 Ha. COLOMBIA
0ยบ
PACIFIC
OCEAN
QUITO
PA C I F I C O C E A N
Guayaquil
P E R U
Machala A Z U AY
0
50
100 km
Block 10A CHILLA
EL ORO ZARUMA
PERU
LOJA
POTENTIAL:
BLOCK GEOLOGY:
Occurrences of gold, zinc, cobalt and tellurium. Close to the San Gerardo mining areas.
The block is located southwest of the Cordillera Occidental range, bedrock is made of rocks of El Oro Metamorphic Complex which includes rocks of the Piedras Maphic Complex and of the Moromoro Granitoyd Complex of the Triassic age, overlaid incongruously by rocks related to the Oligocene volcanism of the Saraguro Group from the Middle Late Eocene to the Early Miocene, and volcanosedimentary rocks of the Santa Isabel formation. Rocks of granodioritic composition from the Miocene intrude the metamorphic, volcanic and sedimentary rocks.
MODALITY OF INVESTMENT: โ ข Direct investment.
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
51
Block 10B
This block is located on the southwest of the Cordillera Occidental Range, east of the province of El Oro and at an average altitude of 2,400 meters above sea level. The area of the block is 7,310 Ha.
Location: Coordinates: Reference GCS:
Province of El Oro Lat: 3.54 S Long: 79.62 W
COLOMBIA
PA C I F I C O C E A N
0ยบ
PACIFIC
OCEAN
QUITO
Machala
Guayaquil
P E R U
0
50
A Z U AY
100 km
CHILLA
EL ORO
ATAHUALPA
PERU
Block 10B
ZARUMA
LOJA
POTENTIAL:
BLOCK GEOLOGY:
Occurrences of metallic minerals of gold and polymetals. There is also a mesothermal mineralization area with presence of tourmaline, quartz, sericite, epidote and arsenopyrite. Traces of gold, zinc, cobalt-mercury-antimony-lead-tellurium and arsenic in samples of active stream sediments.
The bedrock is made up by rocks of El Oro Metamorphic Complex which includes rocks of the Piedras Maphic Complex and of the Moromoro Granitoyd Complex of the Triassic age, overlaid incongruously by rocks related to the Oligocene volcanism of the Saraguro Group from the Middle Late Eocene to the Early Miocene. Rocks of granodioritic composition from the Miocene are largely spread and intrude the metamorphic and volcanic rocks of the Saraguro Group.
MODALITY OF INVESTMENT: โ ข Direct investment.
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
52
Investment catalogue in Strategic Sectors 2015-2017
Block 11A
This block is located south of the Cordillera Real range in the Pan de Azúcar Mountain, at an average altitude of 1,800 meters above sea level. The area of the block is 9,350 Ha.
MINING
Location: Province of Zamora Chinchipe Coordinates: Lat: 3.84 S Reference GCS: Long: 78.83 W
MORONA SANTIAGO
A Z U AY
CHILLA
Block 11A ZAMORA
CENTINELA DEL CÓNDOR
Zamora
LOJA COLOMBIA
PACIFIC
ZAMORA CHINCHIPE
0º
QUITO
OCEAN
PERU
Guayaquil
P E R U
0
POTENTIAL:
BLOCK GEOLOGY:
Occurrences of gold and silver. This block is located west of the Fruta del Norte project (AURELIAN S.A.).
In this sub-Andean belt appears the Misahualli Unit, made up by continental calc-alkaline lavas, intruded by the Zamora batholith which is made up by granodiorites and diorites.
MODALITY OF INVESTMENT:
50
100 km
GEOLOGICAL MODEL:
• Direct investment.
(Magnified image in enclosed CD)
53
Block 11B
This block is located south of the Cordillera Real range in San José, Cumbaratza and La Ramada hills, at an average altitude of 1,600 meters above sea level. The area of the block is 5,000 Ha.
Location: Province of Zamora Chinchipe Coordinates: Lat: 3.93 S Reference GCS: Long: 78.90 W
MORONA SANTIAGO
AZUAY
Block 11B Zamora ZAMORA LOJA
COLOMBIA
QUITO
OCEAN
ZAMORA CHINCHIPE
0º
PACIFIC
PERU
Guayaquil
P E R U
0
POTENTIAL:
BLOCK GEOLOGY:
Occurrences of gold and silver, and also of alluvial gold. The block is located west of the Fruta del Norte project (AURELIAN S.A.)
In the sub-Andean belt appear mostly rocks from the Zamora batolite, which are made up by granodiorites and diorites of calc-alkaline affinity.
50
100 km
GEOLOGICAL MODEL:
MODALITY OF INVESTMENT: • Direct investment.
(Magnified image in enclosed CD)
54
Investment catalogue in Strategic Sectors 2015-2017
Block 12 A
This block is located in the Cordillera Occidental Range, in the north central part of the Province of Loja, at an average altitude of 1,600 meters above sea level. The area of the block is 31,160 Ha.
Province of Loja Lat: 3.92 S Long: 79.78 W
MINING
Location: Coordinates: Reference GCS:
COLOMBIA
0ยบ
AZUAY
QUITO
PACIFIC
OCEAN
SARAGURO
Guayaquil
EL ORO P E R U
0
50
100 km
CHAGUARPAMBA
Block 12A
OLMEDO
Loja PALTAS
LOJA
ZAMORA CHINCHIPE
PERU
POTENTIAL:
BLOCK GEOLOGY:
Traces of lead, gold and antimony. Adjacent to projects of ELIPE S.A.
This block is located in the Alamor Lancones Basin, south of El Oro Metamorphic Complex and is made up by volcanoclastic rocks of the Celica Unit from the Lower Cretaceous Age, overlain by volcanosedimentary rocks of the Alamor Group (Quillosara and Zapotillo units) of the Upper Cretaceous.
MODALITY OF INVESTMENT: โ ข Direct investment.
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
55
Block 12 B
This block is located on the Cordillera Occidental Range, in the east central part of the Province of Loja at an average altitude of 1,600 meters above sea level. The area of the block is 12,680 Ha.
Location: Coordinates: Reference GCS:
COLOMBIA
0ยบ
AZUAY
QUITO
SARAGURO
OCEAN PACIFIC
Province of Loja Lat: 4.17 S Long: 79.79 W
Guayaquil
EL ORO
P E R U
0
50
100 km
Loja ZAMORA CHINCHIPE
CELICA
Block Block 12B 12B
LOJA
SOZORANGA
PERU
POTENTIAL:
BLOCK GEOLOGY:
Traces of polymetals with gold, silver, lead, zinc and molybdenum. Adjacent to ELIPE S.A. projects.
Block 12B begins in Alamor Lancones Basin and is made up by basic effusive and intrusive rocks of tholeiitic affinity of the Punta de Piedra Unit from the Lower Cretaceous age. In most of the area occurs the Tangula batholith of calc-alkaline affinity from the Cretaceous age, which intrudes the volcanic rocks.
MODALITY OF INVESTMENT: โ ข Direct investment.
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
56
Investment catalogue in Strategic Sectors 2015-2017
Block 12 C
IThis block is located on the Cordillera Occidental Range, in the central-east part of the Province of Loja at an average altitude of 1,600 meters above sea level. The area of the block is 5,000 Ha.
Province of Loja Lat: 4.28 S Long: 79.51 W
MINING
Location: Coordinates: Reference GCS:
COLOMBIA
0º
AZUAY
QUITO
PACIFIC
OCEAN
SARAGURO
Guayaquil EL ORO P E R U
0
50
100 km
Loja
Block 12B
ZAMORA CHINCHIPE
LOJA GONZANAMÁ
Block 12C CARIAMANGA
QUILANGA
PERU
POTENTIAL:
BLOCK GEOLOGY:
Traces of polymetals with gold, copper and lead. Adjacent to ELIPE S.A. projects.
This block is located in the east edge of the Alamor Lancones Basin and is made up by volcanic and volcanoclastic rocks from the PaleoceneEocene age of the Sacapalca Unit.
MODALITY OF INVESTMENT:
GEOLOGICAL MODEL:
• Direct investment.
(Magnified image in enclosed CD)
57
Block 13 A
This block is located south of Ecuador in the Cordillera Real range in San Francisco del Vergel sector, at an average altitude of 2,000 meters above sea level. The area of the block is 9,850 Ha.
Location: Province of Zamora Chinchipe Coordinates: Lat: 4.65 S Reference GCS: Long: 78.92 W
MORONA SANTIAGO
A Z U AY
COLOMBIA
Zamora 0º
QUITO
PACIFIC
ZAMORA CHINCHIPE
OCEAN
LOJA
Guayaquil
P E R U
NANGARITZA
0
50
100 km
PALANDA Block 13A
PERU
CHINCHIPE
POTENTIAL:
BLOCK GEOLOGY:
Several rivers have traces of alluvial gold, lead, zinc and copper in samples of river sediments, and in heavy sediments there are traces of chrome and vanadium. Close to areas of the National Mining Company andBIRA S.A.
Located in the Cordillera del Cóndor range, the block is made up by continental calc-alkaline volcanic rocks of the Misahuallí Unit from the Jurassic age, intruded by granodiorites and diorites of Zamora batholith from the Jurassic age. Sequences are overlain incongruously by sedimentary rocks of the Hollin and Napo formations of the Cretaceous age. Contact between all sequences is tectonic and is represented by La Canela fault of north-south direction.
MODALITY OF INVESTMENT: • Direct investment.
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
58
Block 13 B
This block is located on the southern border of Ecuador with Peru in the Chito sector of the Cordillera Real range, at an average altitude of 1,500 meters above sea level. The area of the block is 22,425 Ha.
Location: Province of Zamora Chinchipe Coordinates: Lat: 4.82 S Reference GCS: Long: 79.01 W
MINING
Investment catalogue in Strategic Sectors 2015-2017
MORONA SANTIAGO A Z U AY
COLOMBIA
Zamora 0º
OCEAN
PERU
PACIFIC
LOJA
ZAMORA CHINCHIPE
QUITO
Guayaquil
P E R U
0
50
100 km
PALANDA
Block 13B CHINCHIPE
POTENTIAL:
BLOCK GEOLOGY:
Several rivers with traces of alluvial gold. Adjacent to areas of the National Mining Company and BIRA S.A.
Located in the Cordillera del Cóndor range, this block is made up by continental calc-alkaline volcanic rocks of the Misahuallí Unit from the Jurassic age, intruded by granodiorites and diorites of the Zamora batholith from the Jurassic age. Sequences are overlain incongruously by sedimentary rocks of the Hollin and Napo formations from of the Cretaceous age. Contact between all sequences is tectonic and is represented by La Canela fault of north-south direction.
MODALITY OF INVESTMENT: • Direct investment.
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
59
Block 13 C
This block is located in the southern border of Ecuador with Peru in Chito sector of the Cordillera Real range, at an average altitude of 1,500 meters above sea level. The area of the block is 39,777 Ha.
A Z U AY
Location: Province of Zamora Chinchipe Coordinates: Lat: 4,80 S Reference GCS: Long: 79,21 W
MORONA SANTIAGO
PERU
Zamora COLOMBIA
0ยบ
QUITO
PACIFIC
ZAMORA CHINCHIPE
OCEAN
LOJA
Guayaquil
P E R U
PALANDA
0
50
100 km
Block 13C
CHINCHIPE
POTENTIAL:
BLOCK GEOLOGY:
Presence of molybdenum, thorium, barium, uranium, cerium, tungsten, niobium, tin and lead has been reported.
The block is located in the Cordillera Real range and is mostly made up by metamorphic rocks of the Sabanilla Unit from the Triassic age, which are in tectonic contact with rocks of the Isimanchi Unit and the Zamora batholith, along the Palanda fault of north-south direction.
MODALITY OF INVESTMENT: โ ข Direct investment.
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
60
PRIVATE MINING
Investment catalogue in Strategic Sectors 2015-2017
Private mining projects
61
PRIVATE MINING PROJECTS No. Project name
Location (province)
Stage
Type of mineral
Azuay
Advanced exploration
Gold and Silver
1
Vetas Grandes
2
Caña Brava
Loja and El Oro
Initial exploration
Gold, Silver and Copper
3
Bella María
El Oro
Initial exploration
Gold and copper
4
Barranco Colorado
Azuay
Exploitation
Gold, Silver and Copper
5
El Palmar-Los Mandariyacus Manabí
Advanced exploration
Gold, silver, copper, zinc and lead
6
Loma Larga
Azuay
Pre-feasibility
Gold
7
Río Zarza
Azuay
Advanced exploration
Gold and copper
8
Condor Gold
Zamora
Advanced exploration
Gold
9
Warints
Morona Santiago
Initial exploration
Copper
10 Cangrejos
El Oro
Advanced exploration
Gold and copper
11 Zaruma
El Oro
Exploitation
Gold
62
Investment catalogue in Strategic Sectors 2015-2017
Vetas Grandes mining project
Advanced exploration of a low sulphidation epithermal deposit with high grades of gold and silver within an area of 4,700 Ha.
Location: Province of Azuay
PRIVATE MINING
G U AYA S
Cuenca
Vetas Grandes
A Z U AY
MORONA SANTIAGO
COLOMBIA
0º
LOJA
ZAMORA CHINCHIPE
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
PROJECT STATUS: ✓ Geology, geochemistry, geophysics, trenching and mapping works have been completed. ✓ Environmental license for advanced exploration (being processed). POTENTIAL: • Quartz veins that outcrop in an area of 1,400m x 400m with high grade values between 1 and 50 g/t Au (up to 884.6 g/t Au) and with 40 to 1,000 g/t Ag.
• Regional inspection suggests additional potential of gold and silver epithermal systems and gold and copper porphyry deposits.
50
100 km
GEOLOGICAL MODEL:
CONTACT INFORMATION: CORNERSTONE Yvan Crepeau - General Manager Phone number: (593 2) 223 2217 Website: cornerstoneresources.com Email: crepeau@crigold.com
(Magnified image in enclosed CD)
63
Caña Brava mining project
Initial exploration of a high sulphidation epithermal deposit. Surface gold and silver and gold and copper porphyry at depth. The project covers an area of 1,150 Ha.
PA C I F I C O C E A N
Location: Provinces of Loja and El Oro
Machala
A Z U AY
COLOMBIA
0º
EL ORO
PACIFIC
OCEAN
QUITO
Caña Brava Guayaquil
P E R U
0
50
Loja
100 km
LOJA ZAMORA CHINCHIPE
PERU
PROJECT STATUS: ✓ Prospection and Geological Survey Program completed (results February 2015). ✓ The project has all necessary permissions. POTENTIAL: • Two areas with high epithermal mineralization of high sulphidation have been identified, covering an area of up to 2,5 km x 2 km in the Caña Brava gap and of 1.75 x 1 km in the East area.
64
• Economic values of gold, silver and copper in samples collected suggest great potential for the existence of epithermal deposits of precious metals, as well as deep copper-gold deposits.
GEOLOGICAL MODEL:
CONTACT INFORMATION: CORNERSTONE Yvan Crepeau – General Manager Phone number: (593 2) 223 2217 Website: cornerstoneresources.com Email: crepeau@crigold.com
(Magnified image in enclosed CD)
Investment catalogue in Strategic Sectors 2015-2017
Bella Baria mining project
Initial exploration within an area covering 1,401 Ha. containing porphyry-type, veined mineralizations, where main minerals are gold, copper and molybdenum.
Location: Province of El Oro
COLOMBIA
0º
PA C I F I C O C E A N
PRIVATE MINING
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
A Z U AY
Machala
100 km
EL ORO
Bella María
LOJA
PERU
PROJECT STATUS: ✓ Initial exploration phase in process to change to advanced exploration phase. 2,163 samples analyzed (645 ✓ rocks, 1,254 soils, 43 sediments, 66 BLEGs and 155 HMCs). ✓ Environmental license for the advanced exploration phase.
POTENTIAL:
GEOLOGICAL MODEL:
• Anomaly of gold-copper+/-molybdenum in the central part of the 3x2 km concession. • Seven prospects identified to date, with significant mineralization of Au, Ag and Cu. • Located in the southern part of the porphyry belt of the Late Oligocene – Early Miocene. CONTACT INFORMATION: CORNERSTONE Yvan Crepeau – General Manager Phone number: (593 2) 223 2217 Website: cornerstoneresources.com Email: crepeau@crigold.com
(Magnified image in enclosed CD)
65
Barranco Colorado mining project
Exploitation of a polymetallic deposit with high grades of gold, silver and copper. The project covers an area of 566 Ha.
Location: Province of Azuay
CAÑAR G U AYA S
Cuenca
CAMILO PONCE ENRIQUEZ Shumiral
A Z U AY MORONA SANTIAGO
COLOMBIA
0º
OCEAN
ZAMORA CHINCHIPE
PACIFIC
LOJA
QUITO
Guayaquil
P E R U
0
PROJECT STATUS: ✓ Exploitation phase through underground methods. ✓ There is a mapping of underground works and geological samples. ✓ Environmental license. POTENTIAL: • Inferred resources of 388,746 ounces of gold. • Two main structures are currently being exploited:
66
- Agriplaza vein with an average thickness of 0.3 m and an average gold grade of 15 g/t. - The normal vain has an average thickness of 1 m. and an average grade of 5 g/t. • Project lifetime: 20 years.
50
100 km
GEOLOGICAL MODEL:
CONTACT INFORMATION: AGRIPLAZA S.A. Eng. María Gracia Dueñas Commercial Manager E-mail: mgduenas@agriplaza.com Phone number: (593 4) 382 3596.
(Magnified image in enclosed CD)
Investment catalogue in Strategic Sectors 2015-2017
El Palmar - Los Mandariyacus mining project
Exploration of a porphyry-type deposit with high grade of gold, silver and copper, within the Junín-Cascabel Metallogenic District. The project covers an area of 800 Ha.
Localization: Province of Imbabura
COLOMBIA
0º
PACIFIC
OCEAN
PRIVATE MINING
QUITO
Guayaquil
P E R U ESMERALDAS 0
50
CARCHI
100 km
IMBABURA Ibarra GARCÍA MORENO El Palmar
PICHINCHA SUCUMBIOS
PROJECT STATUS:
CONTACT INFORMATION:
✓ Drilling and sampling works have been carried out and samples have been analyzed.
Eng. Edgar O. Salazar M. E-mail: salazaredgar563@gmail.com Phone number: (593) 9 970 79912
GEOLOGICAL MODEL:
POTENTIAL: • Geological resources of at least 3 thousand ounces of equivalent gold.
(Magnified image in enclosed CD)
67
Loma Larga mining project
Epithermal deposit of high sulphidation of gold, silver and copper. Covers an area of 8,030 Ha.
Location: Province of Azuay
CAÑAR G U AYA S
Cuenca
GIRÓN
A Z U AY
San Fernando MORONA SANTIAGO
COLOMBIA
0º
QUITO
ZAMORA CHINCHIPE
PACIFIC
OCEAN
LOJA
Guayaquil
P E R U
0
68
PROJECT STATUS:
POTENTIAL:
✓ Financial pre-feasibility study of the project is being completed.
• Measured reserves of 3.5 thousand ounces of gold.
✓ The implementation of underground mining method is being considered, and to process 1,000 tons per day.
CONTACT INFORMATION: INV METALES ECUADOR Eng. Jorge Barreno General Manager Phone number: (593 2) 246 8673 Website: www.invmetals.com E-mail: jbarreno@invmetals.com.ec
50
100 km
GEOLOGICAL MODEL:
(Magnified image in enclosed CD)
Río Zarza mining project
Advanced exploration of a polymetals deposit with high values of gold and copper. The project covers an area of approximately 1,140 Ha.
Location: Province of Zamora Chinchipe
MORONA SANTIAGO
A Z U AY
PRIVATE MINING
Investment catalogue in Strategic Sectors 2015-2017
Río Zarza YANTZAZA COLOMBIA
0º
QUITO
OCEAN PACIFIC
PERU
Zamora
Guayaquil LOJA P E R U
0
50
100 km
PROJECT STATUS: ✓ Drilling, geochemistry, geophysics and modeling works have been carried out. ✓ Environmental license. POTENTIAL: • This project is located near the most recent discoveries of hydro-
ZAMORA CHINCHIPE
thermal deposits in the country: Fruta del Norte and Bonza Las Peñas, property of the Kinross / Lundin Company. • Project lifetime: 35 years.
GEOLOGICAL MODEL:
CONTACT INFORMATION: Ecometals Limited Rodrigo Izurieta, Finance E-mail: rizurieta@ecometalsltd.com Phone number: (593 2) 600 4444
(Magnified image in enclosed CD)
69
Condor Gold mining project
Advanced exploration of a polymetallic porphyry of gold, silver and copper. The project covers an area of 8,000 Ha. and has the NI 43 101 Technical Report.
Location: Province of Zamora Chinchipe.
MORONA SANTIAGO
A Z U AY
COLOMBIA
PAQUISHA
0º
PACIFIC
OCEAN
QUITO
PERU
Zamora
Cóndor Gold
Guayaquil LOJA P E R U
0
50
100 km
ZAMORA CHINCHIPE
NANGARITZA
PROJECT STATUS:
CONTACT INFORMATION:
✓ Preliminary financial studies. ✓ Environmental and social license.
CHF INVESTOR RELATIONS Jeanny So E-mail: jeanny@chfir.com Phone number: 001 416 868 1079
GEOLOGICAL MODEL:
POTENTIAL: • Indicated and inferred resource: - 10.6 million ounces of gold. - 37.7 million ounces of silver. - 1.2 billion pounds of copper.
70
(Magnified image in enclosed CD)
Investment catalogue in Strategic Sectors 2015-2017
Warints mining project
Initial exploration of a copper and molybdenum polymetallic deposit. The project covers an area of 10,000 Ha.
PRIVATE MINING
CHIMBORAZO
Location: Province of Morona Santiago
Macas PA S TA Z A CAÑAR
MORONA SANTIAGO
A Z U AY
LIMÓN INDANZA
PERU
COLOMBIA
0º
QUITO
PACIFIC
OCEAN
GUALAQUIZA
SAN NUAN BOSCO
ZAMORA CHINCHIPE
Guayaquil
P E R U
0
50
100 km
PROJECT STATUS:
POTENTIAL:
CONTACT INFORMATION:
✓ Social license and permits (being processed).
• 195 million tons with 0.6% of equivalent copper.
LOWELL MINEAL EXPLORATION Eng. Jorge Fierro Exploration Vice President E-mail: jorgefie@gmail.com Phone number: 00511 4403801
✓ Project lifetime: 10 years or more, depending on exploration results.
71
Cangrejos mining project
Advanced exploration of a porphyry with high values of gold and copper. The project covers an area of 5,503 Ha.
Location: Province of El Oro
COLOMBIA
0º
PA C I F I C O C E A N
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
A Z U AY
Machala
100 km
SANTA ROSA Cangrejos mining project
LOJA
PERU
EL ORO
72
PROJECT STATUS:
POTENTIAL:
✓ Advanced exploration stage with the following results: • 137.3 m @ 1.27 g/t Au & 0.11% Cu from 14.5 m hole C11-30. • 117.5 m @ 1.10 g/t Au & 0.09% Cu from 14.5 m hole C11-31. • 70 m @ 1.06 g/t Au & 0.11% Cu from 70 m hole C11-33. • 6 m @ 8.96 g/t Au & 0.23% Cu from 276 m hole C12-37. • 18 m @ 2.55 g/t Au & 0.18% Cu from 62 m hole C12-39. • 24 m @ 1.65 g/t Au & 0.08% Cu from 64 m hole C12-40.
• 15.8 Mt a 1.10g/t Au and 0.20% Cu.
GEOLOGICAL MODEL:
CONTACT INFORMATION: Mabelle Orbea G. E-mail: mabelleorbeag@hotmail.com Phone number : (593 9) 982 16187
(Magnified image in enclosed CD)
Investment catalogue in Strategic Sectors 2015-2017
Zaruma mining project
Exploitation of a deposit comprising a low sulphidation veins system with high content of gold. The area of the project is 9,189 Ha and has the NI 43-101 Technical Report.
Location: Province of El Oro
COLOMBIA PA C I F I C O C E A N
0º
PACIFIC
OCEAN
PRIVATE MINING
QUITO
Guayaquil
P E R U
0
50
A Z U AY
Machala
100 km
EL ORO
LOJA
ZARUMA
PERU
Zaruma mining project
PROJECT STATUS: ✓ Geology, geochemistry and drilling works have been carried out. ✓ Exploitation license available. POTENTIAL: • Inferred resources 3.7Mt @ 12.2 g/t Au, 1.4M Oz Au (in situ).
• Measured and indicated resources 2.6Mt @ 12.8 g/t Au, 1.1MOz Au (in situ). • Project lifetime: 20 years.
GEOLOGICAL MODEL:
CONTACT INFORMATION: Andrés Ycaza Palacios E-mail: aycaza@andradeveloz.com Phone number: 593-2-2508040
(Magnified image in enclosed CD)
73
Oil sector projects
74
Investment catalogue in Strategic Sectors 2015-2017
Oil Sector Ecuador strives to efficiently exploit its energy resources by promoting the exploration of new oil and gas fields, as well as investment in the refining of crude oil with the objective of guaranteeing autonomy in the consumption of derivatives.
The Ecuadorian State fosters private participation in oil exploration and extraction through concessions, under a services modality with the payment of an agreed fee during a certain period of time, thus ensuring return for the investor, regardless of oil prices fluctuation.
In this new edition of the Investment Catalogue in Strategic Sectors, we are presenting 21 major projects in the oil sector, 17 of them focused on the exploration and extraction of exploration blocks. The rest of projects are focused on transportation (oil and multipurpose pipelines) and infrastructure projects.
Similar systems can be used for oil transportation through the payment of a fee for a certain period of time, after which investment is returned to the State. We have considered two main ways to participate in these projects:
OIL
1. Direct investment. 2. Strategic public-private alliances.
SUMMARY OF PROJECTS Nº. Project name Location (province) Type Investment amount millions of USD) 1 Block 20 Orellana Exploration and development 6,260 2 Block 43 Orellana Exploration and development 5,600 3 Block 86 Pastaza Exploration and development 1,720 4 Block 31 Orellana Development 668 5 Block 78 Morona Santiago Exploration and development 190 6 Block 87 Morona Santiago Exploration and development 190 7 Block 81 Pastaza Exploration and development 185 8 Block 84 Pastaza Exploration and development 130 9 Block 76 Pastaza and Morona Santiago Exploration and development 92 10 Block 77 Morona Santiago Exploration and development 92 11 Block 80 Pastaza Exploration and development 92 12 Block 29 Napo and Orellana Exploration and development 60 13 Block 22 Pastaza Exploration and development 50 14 Block 70 Pastaza and Morona Santiago Exploration and development 40 15 Block 71 Morona Santiago Exploration and development 40 16 Block 72 Morona Santiago Exploration and development 40 17 Block 73 Morona Santiago Exploration and development 40 18 “Quinindé - Pacific Esmeraldas and Manabí Crude oil transportation 650 Refinery” oil pipeline 19 “El Aromo” terminal and Manabí and Santa Elena Infrastructure for oil derivatives 330 “El Aromo - Monteverde” storage and transportation multipurpose pipeline 20 Facilities for hydrocarbon Santa Elena and Guayas Infrastructure for oil derivatives 165 operations in Monteverde storage and transportation 21 Projects for the Optimization Amazon region Optimization 400 of Electric Generation and Energy Efficiency, OGE&EE TOTAL 17,034 Source: Ministry of Natural Non-Renewable Resources
75
Exploration and development of block 20 (Pungarayacu field) Exploration and development of the block, where the quality of crude oil quality should be improved through the use of the most suitable technical procedure for production in this field.
The area covered is of approximately 110,000 Ha, of which Pungarayacu field occupies 65,000 Ha. Location: Province of Orellana
COLOMBIA
0º SUCUMBIOS
PACIFIC
OCEAN
QUITO
PICHINCHA
MODELAJE DEL PROYECTO
Guayaquil
P E R U
0
50
100 km
S.O. T.E ORELLANA
NAPO
C O T O PA X I
Tena Block 20 PA S TA Z A TUNGURAHUA
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ 26 wells drilled.
• POES (Original oil in situ) between 5 and 12 billion barrels of oil. • Estimated recovery of more than 800 million barrels of oil in resources. • Crude oil between 8 and 10 API degrees.
6,260 MMUSD
✓ Seismic studies. ✓ Located at approximately 40 km of the main SOTE and OCP pipelines. ✓ Crossed by first-order paved main roads.
76
Exploratory plan 60 MMUSD. Development plan 6,200 MMUSD. MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
Investment catalogue in Strategic Sectors 2015-2017
Exploration and development of block 43 (fields: Ishpingo, Tiputini and Tambococha) Exploration and development of the block in an area of approximately 190,000 Ha. Investments include permits, 10 platforms, flow lines, process plants, and other facilities necessary for project implementation, as
well as drilling and completion of 276 wells, change of zones and duals, and other minor investments. Location: Province of Orellana
Coca river
NAPO
SUCUMBIOS
Francisco de Orellana
Napo river
Napo river PHASE I
OIL
Tiputini
ORELLANA Yasuni National Park Ishpingo
Tambacocha PHASE II PHASE III Block 43
COLOMBIA PA S TA Z A
0º
PERU
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
100 km
PROJECT STATUS:
POTENTIAL:
MODALITY OF INVESTMENT:
✓ Basic and detail engineering.
• There are seven exploration wells. • Existing reserves: 920 million barrels of oil.
• Direct investment. • Strategic public-private alliances.
✓ Environmental impact studies. ✓ Environmental permits. ✓ Service orders. ✓ Purchase orders. ✓ Bases for IPC, flowline.
ESTIMATED INVESTMENT: 5,600 MMUSD. Exploration plan and 3D seismic studies: 35 MMUSD Development plan: 5,565 MMUSD
77
Exploration and development of block 86
Exploration and development of block located south of the Oriente basin in the southern border of the Province of Pastaza.
NAPO
Location:
Province of Pastaza
ORELLANA
17
TUNGURAHUA
22
Intangible zone
PA S TA Z A
Puyo 28
74
79
84
83
70
87
Block 86
80
75
81 85 MORONA SANTIAGO COLOMBIA
0º
PERU
82
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
100 km
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Seismic and geological information to outline the exploration and development plan prepared by Gaffney, Cline & Associates.
• 90 million barrels of proven reserves of oil. • A production peak of 27,500 bpd. • API degrees: between 10° and 23°.
1,720 MMUSD Exploratory plan: 90 MMUSD. Development plan: 1,630 MMUSD. MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
78
Investment catalogue in Strategic Sectors 2015-2017
Development of block 31 (fields: Obe, Apaika Sur, Minta, Boica Norte, Kuwatai and Pimare) Development and incorporation into production of new fields in Block 31, such as Obe, Apaika Sur, Minta, Boica Norte, Kuwatai and Pimare. Investments include
NAPO
facilities, pipelines, 10 platforms, 44 wells, and environmental management plan. Location: Province of Orellana
SUCUMBIOS
Francisco de Orellana YASUNI NATIONAL PARK
Boica North Pimare
Minta N Apaika South
Minta S
Block 31
Kuwatai
OIL
ORELLANA
Obe PERU
COLOMBIA PA S TA Z A
0º
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
100 km
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ 10 wells drilled in Apaika Field.
• Resources: 129 million barrels of oil (P-90 Ryder Scott). • Estimated recovery: more than 30 million barrels of oil in resources. • Crude oil between 12 and 18 API degrees.
668 MMUSD.
✓ 1 platform in Apaika Field. ✓ Production in Apaika Field started on October 4th, 2013. ✓ Cumulative production to date is 1.95 million barrels of oil.
MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
✓ 688 km2 of 3D seismic studies in Block 31.
79
Exploration and development of block 78
Exploration and development of the block with an area of 1,454 km², located west of the province of Morona Santiago and bounded with the Republic of Peru on the south.
Location: Province of Morona Santiago
TUNGURAHA
PA S TA Z A
CHIMBORAZO
71 Macas
76
MORONA SANTIAGO 72 77
CAÑAR
Block 78
73 COLOMBIA
PERU
0º
QUITO
PACIFIC
OCEAN
A Z U AY
Guayaquil
P E R U ZAMORA CHINCHIPE
0
50
100 km
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ 23 km of 2D seismic studies available.
• Located in oil trend 2 which is related to oil fields such as Pungarayacu, Oglán and Bermejo, which have been identified north of the Oriente basin. • POTENTIAL: soot reservoirs.
190 MMUSD
✓ Aerogravimetry and aeromagnetometry information.
Exploratory plan: 190 MMUSD. Development plan (to be defined). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
80
Investment catalogue in Strategic Sectors 2015-2017
Exploration and development of block 87
Exploration and development of the block with an area of 1,535 km², located northwest of the Province of Pastaza, bounded on the north by the Yasuní National Park and on the west by the
NAPO
Republic of Peru, northeast of the southeastern basin. Location: Provinces of Pastaza and Morona Santiago
ORELLANA
17
TUNGURAHUA
22
Intangible zone
PA S TA Z A
Puyo 28
74
79
84
83
70
86
80
75
81
MORONA SANTIAGO
85
PERU
COLOMBIA
0º
OIL
Block 87
82
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
100 km
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ 217 km of 2D seismic lines available.
• Located in oil trend 6, north of which ITT (Ishpingo - Tiputini Tambococha) structural axis is located, which has large reserves of oil, especially in M-1 and U reservoirs.
190 MMUSD
• POTENTIAL: sandstone reservoirs in M-1.
Exploratory plan: 190 MMUSD. Development plan (to be defined). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
81
Exploration and development of block 81
Exploration and development of the block with an area of 1,305 km², located south-central of the Province of Pastaza in the central part of the southeastern basin.
NAPO
Location:
Province of Pastaza
ORELLANA
17
TUNGURAHUA
22
Intangible zone
PA S TA Z A
Puyo 28
74
79
84
83
70
87
75
86
80
Block 81
MORONA SANTIAGO
85 COLOMBIA
0º
PERU
82
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
100 km
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ 167 km of 2D seismic lines available.
• Located in oil trend 4 on which oil fields such as Auca, Cononaco, Cachiyacu, Tiguino, Curaray, Capahuari, Tambo and others are located. • POTENTIAL: T and U sandstone reservoirs.
185 MMUSD
✓ Aerogravimetry and aeromagnetometry information.
Exploratory plan: 185 MMUSD. Development plan (to be defined). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
82
Investment catalogue in Strategic Sectors 2015-2017
Exploration and development of block 84
Exploration and development of the block with an area of 1,700 km², located west-central of the Province of Pastaza in the eastern part of the southeastern basin.
NAPO
Location: Province of Pastaza
ORELLANA
17
TUNGURAHUA
22
Intangible zone
PA S TA Z A
Puyo 28
74
79
83
70
OIL
87
86
80
75
81
MORONA SANTIAGO
85
COLOMBIA
0º
Block 84
PERU
82
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
100 km
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ 538 km of 2D seismic lines available.
• Located in oil trend 5 in whose train and to the north of southeast, important oil fields have developed which are currently in production such as: VHR, Capirón, Iro, Vinita, Capirón and ITT (not in production). • POTENTIAL: reservoirs of M-1 and U sandstone.
130 MMUSD Exploratory plan: 130 MMUSD. Development plan (to be defined). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
83
Exploration and development of block 76
Exploration and development of the block with an area of 1,950 km², located between the provinces of Morona Santiago and Pastaza, bordering south with blocks 77 and 78.
Location:
NAPO
Provinces of Morona Santiago and Pastaza
ORELLANA
17
22
TUNGURAHA
Intangible zone
Puyo
PA S TA Z A
28
79
74
84
83
87
70
80
75
86
CHIMBORAZO
Block 71
81
Macas
85
Block 76 82
72
CAÑAR
MORONA SANTIAGO
77
78
73
COLOMBIA
0º
QUITO
PERU
PACIFIC
OCEAN
A Z U AY
Guayaquil
P E R U
0
50
100 km
ZAMORA CHINCHIPE
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ One well drilled: Cangaime-1.
• Covers two hydrocarbon trends, mainly 2 and 3 oil trends. • Oil trend 2 relates to oil fields such as Pungarayacu, Oglán and Bermejo. • Oil trend 3 relates to the occidental play of the basin, aligned to Yuralpa, Villano and Moretococha fields. • POTENTIAL: M-1 and soot reservoirs.
92 MMUSD
✓ 193 km of 2D seismic data available. ✓ Aerogravimetry and aeromagnetometry information.
84
Exploratory plan: 92 MMUSD. Development plan (to be defined). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
Investment catalogue in Strategic Sectors 2015-2017
Exploration and development of block 77
Exploration and development of the block with an area of 1,992 km², located southwest of the Province of Morona Santiago and bordering south with the Republic of Peru.
Location: Province of Morona Santiago
TUNGURAHA
PA S TA Z A
CHIMBORAZO
71 Macas
76
CAÑAR
OIL
MORONA SANTIAGO 72 Block 77
78
73 COLOMBIA
0º
QUITO
PERU
PACIFIC
OCEAN
A Z U AY
Guayaquil
P E R U
0
50
100 km
ZAMORA CHINCHIPE
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ 60 km of 2D seismic data.
• Covers two hydrocarbon trends, mainly 2 and 3 oil trends. • Oil trend 2 relates to oil fields such as Pungarayacu, Oglán and Bermejo. • Oil trend 3 relates to the occidental play of the basin, aligned to Yuralpa, Villano and Moretococha fields, and to Situche field in the direction to Peru. • POTENTIAL: soot reservoirs.
92 MMUSD
✓ Aerogravimetry and aeromagnetometry information.
Exploratory plan: 92 MMUSD. Development plan (to be defined). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
85
Exploration and development of block 80
Exploration and development of the block with an area of 1,557 km², located in the Province of Pastaza, in the central part of the southeast basin.
NAPO
Location: Province of Pastaza
ORELLANA
17
TUNGURAHUA
22
Intangible zone
PA S TA Z A
Puyo 28
74
79
84
83
70
87
86
Block 80
75
81
MORONA SANTIAGO
85
PERU
COLOMBIA
82
0º
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
100 km
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Three wells drilled:
• Located in oil Trend 4, which is located north of the southeast, with oil fields such as Frontera, Sacha, Shushuifindi, Auca, Tiguino and Curaray and, in Peru, Capahuari, Tambo, Carmen and Dorissa oil fields. • POTENTIAL: sandstone reservoirs in Napo formation: T and U.
92 MMUSD
- - -
Bobonaza-1 (TD:-14.695 ft., most data are available). Manati-1 (TD:-12.888 ft.). Tigrillo-1 (TD:-12.741 ft., with presence of oil samples).
✓ 850 km of 2D seismic lines available. ✓ Aerogravimetry and aeromagnetometry information.
86
Exploratory plan: 92 MMUSD. Development plan (to be defined). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
Investment catalogue in Strategic Sectors 2015-2017
Exploration and development of block 29
Exploration and development of the block located between the provinces of Napo and Orellana, in the north part of the southeast basin. The area of the block is 1,684.9 km².
Location: Provinces of Napo and Orellana
PICHINCHA
SUCUMBIOS
Francisco de Orellana
NAPO
Block 29
ORELLANA
OIL
Tena
PA S TA Z A
PERU
COLOMBIA
0º
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
100 km
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ 2 wells: Huataracu-1 (TD: 5.815 ft.); and Cotapino-1 (TD: 7.058 ft.).
• POTENTIAL: reservoirs of T sandstone and soot. • Western part with compressive deformations with NNE-SSW orientation, related to tjhe Andean orogeny of the Miocene-Pliocene age. • Central part with thick sediments of cretaceous to quaternary series.
60 MMUSD
✓ 100 km of 2D seismic lines existing. ✓ Aerogravimetry and aeromagnetometry information.
Exploratory plan: 60 MMUSD. Development plan (to be defined). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
87
Exploration and development of block 22
Exploration and development of the block located in the western part of the Province of Pastaza, center-west of the Oriente basin.
NAPO
The area of block 22 is 1,754 km². Location: Province of Pastaza
ORELLANA
17
TUNGURAHUA
Block 22
Intangible zone
PA S TA Z A
Puyo 28
74
79
84
83
70
87
75
86
80
81
MORONA SANTIAGO
85
PERU
COLOMBIA
82
0º
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
100 km
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ 3 wells with presence of oil samples: Oglan Shell-1 (TD: 9.439 ft.); Vuano-1 (TD: 5.282 ft.); and Tzapino-1 (TD: 10.524ft.).
• Located in oil trend 3 and aligned with Yuralpa, Villano and Moretococha fields. • Located near the deformation front were structural closures of hydrocarbon interest can be seen, corresponding to Cretaceous and Pre-Cretaceous ages. • POTENTIAL: reservoirs of T sandstones and soot.
50 MMUSD
✓ There are 424 km of 2D seismic lines available. ✓ Aerogravimetry and aeromagnetometry information.
88
Exploratory plan: 50 MMUSD. Development plan (to be defined). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
Investment catalogue in Strategic Sectors 2015-2017
Exploration and development of block 70
Exploration and development of the block with an area of 1,800 km², located between the provinces of Morona Santiago and Pastaza, bordering with the Andes Mountain Range.
Location: Provinces of Morona Santiago and Pastaza
NAPO TUNGURAHUA
ORELLANA
17
22
Intangible zone
Puyo
PA S TA Z A
28
79
74
84
83
Block 70
87
80
75
86
Block 71
OIL
CHIMBORAZO
81
Macas
85
76 82
72
CAÑAR
MORONA SANTIAGO
77
78
COLOMBIA
73 0º
OCEAN
PERU
PACIFIC
A Z U AY
QUITO
Guayaquil
P E R U
0
50
100 km
ZAMORA CHINCHIPE
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Guallino-1 well (TD: 6.565 ft.) with presence of oil.
• Covers two hydrocarbon trends, mainly oil trends 1 and 2. • Oil trend 1 relates directly to the Santiago basin. • Oil trend 2 relates to Pungarayacu, Oglan and Bermejo oil fields. • POTENTIAL: reservoirs of T sandstone and soot.
40 MMUSD
✓ There are 25 km of 2D seismic lines available. Aerogravimetry and aeromag✓ netometry information.
Exploratory plan: 40 MMUSD. Development plan (to be defined). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
89
Exploration and development of block 71
basin, near the Andes Mountain Range.
Exploration and development of the block with an area of 1,854 km², located in the central-north part of the Province of Morona Santiago, central-east of the
Location: Province of Morona Santiago
TUNGURAHA
PA S TA Z A
CHIMBORAZO
Block 71 Macas
76
72
CAÑAR
MORONA SANTIAGO
77
78
73 COLOMBIA
0º
QUITO
PERU
PACIFIC
OCEAN
A Z U AY
Guayaquil
P E R U
0
50
100 km
ZAMORA CHINCHIPE
90
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Aerogravimetry and aeromagnetometry information.
• Covers two hydrocarbon trends, mainly Oil trends 1 and 2. • Oil trend 1 relates directly to the Santiago Basin and, in Peru, and has a high presence of hydrocarbon prospectivity. • Oil trend 2 is related to oil fields such as Pungarayacu, Oglan and Bermejo identified north of the Oriente basin. • POTENTIAL: reservoirs of T sandstone and soot.
40 MMUSD Exploratory plan: 40 MMUSD. Development plan (to be defined). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
Investment catalogue in Strategic Sectors 2015-2017
Exploration and development of block 72
Range, and at the northern edge of the Santiago Peruvian basin.
Exploration and development of the block with an area of 1,876 km², located in the center of the Province of Morona Santiago, adjacent to the Andes Mountain
Location: Province of Morona Santiago
TUNGURAHA
PA S TA Z A
CHIMBORAZO
MORONA SANTIAGO 71 Macas
OIL
76
CAÑAR
Block 72
77
78
73 COLOMBIA
0º
QUITO
PERU
PACIFIC
OCEAN
A Z U AY
Guayaquil
P E R U
0
50
100 km
ZAMORA CHINCHIPE
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Aerogravimetry and aeromagnetometry information.
• Covers two hydrocarbon trends, mainly Oil trend 1 and 2. • Oil trend 1 relates directly to the Santiago basin which has important discoveries in Peru and extends to Ecuador. • Oil trend 2 relates to oil fields such as Pungarayacu, Oglan and Bermejo. • Potential reservoirs of T sandstone, soot and of the pre-cretaceous age.
40 MMUSD Exploratory plan: 40 MMUSD. Development plan (to be defined). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
91
Exploration and development of block 73
Exploration and development of the block with an area of 1,980 km², located south of the Province of Morona Santiago, at the northern edge of the Santiago Peruvian basin.
Location: Province of Morona Santiago
TUNGURAHA
PA S TA Z A
CHIMBORAZO
71 Macas
76
MORONA SANTIAGO CAÑAR
72 77
78
Block 73 COLOMBIA
PERU
0º
QUITO
PACIFIC
OCEAN
A Z U AY
Guayaquil
P E R U
0
ZAMORA CHINCHIPE
92
50
100 km
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Aerogravimetry and aeromagnetometry information.
• Covers two hydrocarbon trends, mainly oil trends 1 and 2. • Oil trend 1 relates directly to the Santiago basin which has important discoveries in Peru and extends to Ecuador. • Oil trend 2 relates to oil fields such as Pungarayacu, Oglan and Bermejo. • POTENTIAL: reservoirs of T sandstone and soot
40 MMUSD Exploratory plan: 40 MMUSD. Development plan (to be defined). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
Investment catalogue in Strategic Sectors 2015-2017
Quinindé- Refinería del Pacífico” pipeline
Construction of an oil pipeline of approximately 243 km and a diameter of 36”, from the city of Quinindé in the Province of Esmeraldas, place where the two Ecuadorian pipelines (SOTE and OCP) cross, to the “Refinería del
Pacífico” refinery in the Province of Manabí.
Location: Provinces of Esmeraldas and Manabí Pump station Quinindé
ESMERALDAS
COLOMBIA PA C I F I C O C E A N
0º
MANABÍ
Guayaquil
SANTO DOMINGO DE LOSTSÁCHILAS
OIL
PACIFIC
OCEAN
QUITO
P E R U
0
50
100 km
Manta RDP
S A N TA E L E N A
G U AYA S
PROJECT STATUS: The conceptual engineering of the project has been completed. Engineering works were performed by the French company Beicip Franlab, and include: • Pipeline route with sensitive spots localization (river crossings, roads). • Technical and hydraulic characteristics of the pipeline.
• Characteristics of the pumping stations that are needed. • Estimate of Class 4 costs for investment and operation (CAPEX and OPEX).
ESTIMATED INVESTMENT:
POTENTIAL:
MODALITY OF INVESTMENT:
• Main means of crude oil transport to the Pacific Refinery (200 – 300 MBPD).
• Direct investment. • Strategic public-private alliances.
650 MMUSD (Margin of uncertainty from -20 to +40 %)
93
“El Aromo” terminal and “El Aromo-monteverde” multipurpose pipeline Construction of “El Aromo” terminal and of “El Aromo-Monteverde” multipurpose pipeline to store, distribute and transport derivatives produced in the “Refinería del Pacífico” refinery.
ESMERALDAS
The project comprises the following components: Construction of storage facility of oil derivatives in El Aromo • Storage tanks for LPG, gasoline, diesel and jet fuel. • Facilities for the distribution of LPG, gasoline (regular and premium), diesel and jet fuel to be delivered through tank trucks. Construction of El Aromo multipurpose pipeline (“Refinería del Pacífico” refinery) - Monteverde
MANABÍ
• Length: 140 km Diameter: 24”. • Most of the multipurpose pipeline route shall use the right of way of “La Libertad – Manta” multipurpose pipeline.
PA C I F I C O C E A N
Manta
Location: Provinces of Manabí and Santa Elena
El Aromo
G U AYA S
COLOMBIA
0º
PACIFIC
OCEAN
QUITO
Monteverde
Guayaquil
P E R U
S A N TA E L E N A
0
50
100 km
Santa Elena
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Completed conceptual engineering of the project.
• Storage of the production of the “Refinería del Pacífico” refinery for domestic and international distribution. • “El Aromo – Monteverde” multipurpose pipeline shall be the exit route of the finished products to be distributed from Monteverde.
330 MMUSD (According to conceptual studies).
✓ Basic engineering (to be defined once the construction of the “Refinería del Pacífico” refinery starts).
94
MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
Investment catalogue in Strategic Sectors 2015-2017
Facilities for hydrocarbon operations in monteverde 3. New Monteverde – La Libertad multipurpose pipeline. 4. Transformation of the Monteverde – Chorrillo oil pipeline in a multipurpose pipeline.
Optimization of the current infrastructure to improve the reception of imported hydrocarbons and the construction of new facilities that will serve as a basis for the future operation of the “Refinería del Pacífico” refinery.
Location: Provinces of Santa Elena and Guayas
The project includes the following components: 1. New Monteverde terminal, including the reception and dispatching system in the clean products dock. 2. New Monteverde – Pascuales multipurpose pipeline. COLOMBIA MANABÍ
0º
QUITO
PACIFIC
OIL
OCEAN
LOS RIOS
Guayaquil
P E R U
0
50
Pacuales Monteverde
100 km
Guayaquil Santa Elena
CAÑAR
PA C I F I C O C E A N
A Z U AY
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Completed conceptual engineering of the project
• B arrels of derivatives transported per day: - Monteverde - Pascuales multipurpose pipeline: 101 MBPD. - Monteverde - La Libertad multipurpose pipeline: 34 MBPD - Monteverde - Chorrillo multipurpose pipeline: 70 MBPD. • Optimization of clean products transportation system for the south of the country. • Distribution of derivatives produced in the “Refinería del Pacífico” refinery
165 MMUSD (According to conceptual studies).
✓ Basic engineering (under implementation)
MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
95
Optimization of electric generation and energetic efficiency (OGE & EE) Implementation of a program consisting of more than 120 projects grouped into the following categories: electric generation and distribution, collection and transportation of gas, improvements, and development research.
This is the first project in the world that, through a sectoral level program, integrates multiple stakeholders of the Ecuadorian oil sector, thus optimizing surplus of hydroelectric power in non-peak hours and meeting the requirements of the oil sector to reduce the use of non-renewable hydrocarbons.
58 52 56
53
57 Z O N E 1 54
18
60
48
ZONE 4
47 7
62
15
ZONE 3 61 45
ZONE 2
12
64
65
67 31
55
66
PROJECT STATUS
POTENTIAL:
ESTIMATED INVESTMENT:
✓ 174 MW of installed capacity (crude oil, associated gas and gas/crude oil).
• 151,000 kW in generation facilities. • 370 km of interconnected electrical system of 35 and 69 KV. • 470 km of interconnected electrical system of 138 KV. • Length of gas pipeline to be installed is of more than 100 km. • Scope: 17 blocks, 56 fields, and 66 stations.
400 MMUSD.
✓ 149.7 km of distribution lines at 15.35 and 69 kV level (in operation or being constructed). ✓ 6 gas management systems. ✓ Comprehensive environmental impact study of more than 25,000 km2 (pending approval).
96
MODALITY OF INVESTMENT: • E ngineering, Procurement, Construction, Operation and Maintenance with the payment of a rate (IPCOM-T) • Build Own Operate and Transfer (BOOT). • Turn-key construction of distribution facilities with financing.
Investment catalogue in Strategic Sectors 2015-2017
BIOENERGETIC
Bioenergetic sector projects
97
Bioenergetic sector In Ecuador, regulatory frameworks have been established for biofuels, which include reference objectives for their combination with fossil fuels. Various types of incentives are also provided to support biofuel industries. These measures are expected to stimulate a sustained offer of biofuels in the coming years. The growing environmental concerns, especially with regard to greenhouse gases emissions and health considerations, are forcing the search for new energy sources and alternative ways to promote the global automotive fleet. Domestically produced biofuels are expected to constitute a promising alternative.
The current biofuel demand in Ecuador is as follows: 1. Bioethanol for a E10 combination: 360 MM liters/ year 2. Biomass for the industrial sector: 658 MMT/year Security is offered to investors who want to invest in bioenergetic projects through investment contracts and trade contracts. . Participation in these projects has been defined through: 1. Private Direct Investment In this new edition of the Catalogue of Projects of Strategic Sectors we present 2 Bioenergy projects.
BIOENERGETIC SECTOR PROJECTS
Nยบ. Project name Location Type 1
Locally produced bioethanol for the vehicles sector
Nationwide
Biofuel
2
Biomass for the Ecuadorian Industrial Sector
Nationwide
Biomass
TOTAL
Investment amount (MMUSD) 940 215 1,155
Source: Coordinator Ministry of Strategic Sectors
98
Investment catalogue in Strategic Sectors 2015-2017
Locally produced bioethanol for the vehicles sector is a gasoline oxygenant that causes important improvements in gasoline octane rating (10% of bioethanol and 90% of base gasoline).
Production of bioethanol from sugar cane as an ecologic and financially feasible alternative with important potential for expansion. The use of bioethanol is directed to vehicles since this
Esmeraldas 0
50
Tulcán
C O L O M B I A
100 km
Ibarra 0º
Santo Domingo
Latacunga Portoviejo
Francisco de Orellana Tena
Ambato Guaranda
O C E A N
Babahoyo
Riobamba
Puyo
Guayaquil Santa Elena
BIOENERGETIC
P A C I F I C
Nueva Loja
Quito
Macas Azogues Cuenca P E R U
Machala
Loja
Zamora
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Implemented by 8% throughout the country
• Coverage target is 100% of the national territory with the 10% combination (E10) of anhydrous bioethanol with traditional regular gasoline. • Potential demand of 360 million liters/year for a combination of (E10).
940 MMUSD
✓ Currently, the industry offers 40 MM liters/year with a combination of 5% (E5).
• Private agricultural investment (land, agricultural machinery, seeds, etc.): 580 MMUSD • Private industrial investment (industrial distillery plant): 360 MMUSD MODALITY OF INVESTMENT: • Direct investment. 99
Biomass for the Ecuadorian industrial sector
Biomass production obtained from agricultural waste to be used for energy purposes in the
Esmeraldas 0
50
Tulcán
industry to replace the use of fossil fuels.
C O L O M B I A
100 km
Ibarra 0º
Latacunga Portoviejo
Francisco de Orellana Tena
Ambato Guaranda
O C E A N P A C I F I C
Nueva Loja
Quito
Santo Domingo
Riobamba
Babahoyo
Puyo
Guayaquil Santa Elena
Macas Azogues Cuenca P E R U
Machala
Loja
PROJECT STATUS:
POTENTIAL:
MODALITY OF INVESTMENT
✓ Currently, Petroecuador provides the industry sector with Fuel Oil 4, which implies generating expensive and polluting energy in this sector.
There is a potential demand of 658 thousand metric tons of biomass/ year for the industrial sector.
• Direct investment.
✓ Therefore, it is necessary to replace the use of fossil fuels for power generation in the industries with another alternative that involves the use of renewable energy with biomass. ✓ Biomass must be of pellets type for efficient transportation and volume.
100
Zamora
ESTIMATED INVESTMENT: 215 MMUSD • Investment in agricultural development for biomass production (land, agricultural machinery, seeds, etc.): 125 MMUSD • Private industrial investment in pellets: 50 MMUSD • Private industrial investment (user) in boilers: 40 MMUSD
Investment catalogue in Strategic Sectors 2015-2017
ELECTRIC
Electric sector projects
101
Electric Sector The Ecuadorian electric sector is made up by legal entities engaged in activities of electric generation, transmission, distribution, marketing and provision to the general public. The Organic Law of Electric Energy Public Service of 2015 manifests that the State, through the Ministry of Electricity and Renewable Energy, could delegate, exceptionally, to private equity companies and companies of popular and solidary economy, participation in activities of the electric sector. Electricity generation is carried out by state-owned, mixed economy and private companies (the latter through concessions for certain time after which investment returns to the State). The activity of electricity transmission at national level is performed by the State, and private participation could take place under a service delivery model through the payment of a fee. The electricity distribution and commercialization system is managed through local public companies
that have been assigned geographic concession areas. Increasing electric coverage, ensuring reliability, quality of supply and self-sufficiency, promoting efficient and rational use of energy and promoting regional energetic integration, are some of the goals that Ecuador is trying to achieve through the formulation and promotion of effective policies of the electric sector and through projects management. In this new edition of the Investment Catalogue in Strategic Sectors, we present 13 infrastructure projects for electric generation. 11 of them are focused on hydroelectric generation projects and the other 2 in geothermal generation projects. Two main ways to participate in these projects have been considered: 1. Direct investment 2. Strategic public-private partnerships
ELECTRIC SECTOR PROJECTS Nº. Project name 1
Río Santiago
2 Cardenillo
Generation (mw)
Location Type (province)
Investment amount (millions of usd)
3,600
Morona Santiago
Hydroelectric
3,500
595.6
Azuay
Hydroelectric
1,135
3
Chontal
194
Pichincha, Imbabura
Hydroelectric
595
4
Angamarca Sinde
32.1
Cotopaxi
Hydroelectric
52
5
La Merced de Jondachi
Napo
Hydroelectric
52
6
Infiernillos
Loja
Hydroelectric
40
19 19.6
7 Chinambí
9.9
Carchi
Hydroelectric
30
8 Sardinas
6.6
Napo
Hydroelectric
20
4
Bolívar
Hydroelectric
12
10 Tigreurco
3.4
Bolívar
Hydroelectric
12
11 Huapamala
5.2
Loja
Hydroelectric
10
9
Caluma - Pasagua
12 Chachimbiro
81 (Average)
Imbabura
Geothermal
165
13 Chacana
40 (Average)
Napo
Geothermal
163
TOTAL
5,786 Source: Ministry of Electric and Renewable Energy
102
Investment catalogue in Strategic Sectors 2015-2017
Río Santiago hydroelectric project
Construction of a large hydroelectric plant located at the foot of the dam with a capacity of 3,600 MW to generate, on average, 15,790 GWh of clean energy per year.
Location: Province of Morona Santiago
Upan
Macas
o rive
r
CHIMBORAZO
PA S TA Z A
CAÑAR
Pa
A Z U AY
ut
MORONA SANTIAGO e
riv
er
TIWINTZA
LIMÓN INDANZA
COLOMBIA
PERU 0º
ELECTRIC
QUITO
OCEAN
Santiago river
PACIFIC
Coangos river
Zamora river
Guayaquil
P E R U ZAMORA CHINCHIPE
0
50
100 km
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Pre-feasibility studies.
• Flow rate of 2,900 m3/s. • Cover the energy demand of all users of electric energy service in Ecuador.
3,500 MMUSD.
✓ Feasibility studies and final designs are being developed (available by November 2015).
MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
103
Cardenillo hydroelectric project
energy per year. The plant capacity factor is 65%.
Construction of the Paute Cardenillo hydroelectric plant which corresponds to the fourth phase of the Paute Integrated Complex, with a capacity of 595.6 MW to generate, on average, 3,355 GWh of clean
Location: Provinces of Azuay and Morona Santiago
Molino central
Mazar central
SEVILLA DE ORO
G U AYA S
Sopladora projetc Cardenillo project
Paute river
Cuenca
A Z U AY MORONA SANTIAGO
COLOMBIA
0º
QUITO
PACIFIC
ZAMORA CHINCHIPE
OCEAN
LOJA
Guayaquil
P E R U
0
100 km
PROJECT STATUS
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Pre-feasibility studies.
• Flow rate of 180 m3/s. • Covers the energy demand nationwide. • This project is going to be implemented directly downstream the Paute - Sopladora Hydroelectric Plant, with direct connection between both of them, so the two will use the same flow.
1,135 MMUSD.
✓ Feasibility studies. ✓ Final design studies.
104
50
MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
Investment catalogue in Strategic Sectors 2015-2017
Chontal hydroelectric project
Construction of the hydroelectric project that captures water from Guayllabamba River, with a capacity of 194 MW to generate, on average, 1,044 GWh of clean energy per year, which will contribute to increase the energy offer of the Ecuadorian Electric System.
Location: Provinces of Imbabura and Pichincha
COLOMBIA
QUITO
PACIFIC
OCEAN
0º
CARCHI
ESMERALDAS Guayaquil
P E R U
0
50
IMBABURA
100 km
Ibarra Chontal
SUCUMBIOS
ELECTRIC
PICHINCHA
SANTO DOMINGO DE LOS TSACHILAS
Quito
NAPO
C O T O PA X I
PROJECT STATUS
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Feasibility studies.
• Flow rate of 180 m3/s. • Covers 25% of the energy demand of Empresa Eléctrica Quito (Quito Electric Company).
595 MMUSD.
✓ Final design studies prepared by GEODATA – ASTEC). ✓ Detailed engineering drawings. ✓ Environmental licenses being processed.
MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
105
Angamarca Sinde hydroelectric project
Construction of the hydroelectric project that captures water from Angamarca and Sinde rivers, with a capacity of 32.1 MW to generate, on average, 182.8 GWh
of clean energy per year. Plant capacity factor is 65%. Location: Province of Cotopaxi
COLOMBIA
0º
PACIFIC
OCEAN
QUITO
Guayaquil
SANTO DOMINGO DE LOS TSACHILAS P E R U
0
50
100 km
PICHINCHA
LOS RIOS
C O T O PA X I NAPO
Latacunga
PANGUA Angamarca river El Corazón
Moraspungo
TUNGURAHUA
B O L Í VA R
PROJECT STATUS
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Study of social management and community relations.
• Flow rate of 14 m3/s (Angamarca River) and 8.8 m3/s (Sinde River). • Covers the energy demand of 2 provinces. • Reduced losses for energy transmission and improved quality of electric service in nearby consumption centers.
52 MMUSD.
✓ Final environmental impact study. ✓ Pre-feasibility studies. ✓ Feasibility study. 106
MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
Investment catalogue in Strategic Sectors 2015-2017
La Merced de Jondachi hydroelectric project
year. Plant capacity factor is 68%.
Construction of the hydroelectric project that captures water from Jondachi River, with a capacity of 19 MW to generate, on average, 113.7 GWh of clean energy per
Location: Province of Napo
COLOMBIA
0º
QUITO
Guayaquil
P E R U
0
50
PICHINCHA
PACIFIC
OCEAN
SUCUMBIOS
100 km
NAPO
ORELLANA
Jon dac
ARCHIDONA
hi r ive
ELECTRIC
r
Tena C O T O PA X I
PA S TA Z A TUNGURAHUA
PROJECT STATUS
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Pre-feasibility studies.
• Flow rate of 13.3 m3/s. • Reduced losses for energy transmission and improved quality of electric service quality in nearby consumption centers. • Covers the energy demand of about 68 thousand users.
52 MMUSD.
✓ Feasibility studies. ✓ Final design studies. ✓ Detailed engineering drawings. ✓ Environmental licenses (being processed).
MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
107
Infiernillos hydroelectric project
Construction of the hydroelectric project with a run-of-the-river power plant that captures water from Paquishapa River, with a capacity of 19.6 MW to generate,
on average, 122.5 GWh of clean energy per year. Plant capacity factor is 70%. Location: Province of Loja
COLOMBIA
0º
A Z U AY
QUITO
PACIFIC
OCEAN
SARAGURO SARAGURO
Saraguro
Guayaquil EL ORO P E R U
0
50
100 km
Loja
ZAMORA CHINCHIPE
LOJA
PERU
PROJECT STATUS
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Pre-feasibility studies.
• Flow rate of 7.2 m3/s. • Covers the energy demand of about 184 thousand users in 25 cantons. • Reduced losses for energy transmission and improved quality of electric service in nearby consumption centers.
40 MMUSD.
✓ Feasibility studies. ✓ Final design studies. ✓ Detailed engineering drawings. ✓ Environmental licenses (being processed).
108
Operation and maintenance costs: 229 MSSD/year (Approx.). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
Investment catalogue in Strategic Sectors 2015-2017
Chinambí hydroelectric project
with a plant capacity factor of 52%.
Construction of a hydroelectric project to capture water from Chinambí River, with an installed capacity of 9.9 MW to generate, on average, 45.2 GWh of clean and renewable energy annually,
Location: Province of Carchi
COLOMBIA
QUITO
PACIFIC
OCEAN
ESMERALDAS
0º
COLOMBIA
Guayaquil
P E R U
0
50
100 km
JIJÓN Y CAAMAÑO
Chinambí
Tulcán M
ira
riv
er
SUCUMBIOS
ELECTRIC
MIRA
IMBABURA
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Pre-feasibility studies.
• Flow rate of 4.6 m3/s. • Covers the energy demand of about 226 thousand users in 16 cantons. • Reduced losses for energy transmission and improved electricity service quality in nearby consumption centers.
30 MMUSD.
✓ Feasibility studies. ✓ Final design studies. ✓ Detailed engineering drawings. ✓ Environmental licenses (being processed).
Operation and maintenance costs: 165 MSSD/year (Approx.). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances. 109
Sardinas hydroelectric project
of clean energy per year. Plant capacity factor is 73%.
Construction of a run-of-the-river hydroelectric project that captures water from Sardinas River, with a power of 6.6 MW to generate, on average, 42.8 GWh
Location:
Province of Napo
SUCUMBIOS COLOMBIA
QUITO
0º
OCEAN
EL CHACO
PICHINCHA
PACIFIC
SARDINAS
Guayaquil
P E R U
0
50
100 km
ORELLANA
C O T O PA X I
NAPO
Tena
TUNGURAHUA
PROJECT STATUS
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Pre-feasibility studies.
• Flow rate of 16 m3/s.
20 MMUSD.
✓ Feasibility studies.
• Covers the energy demand of about 87 thousand users in 26 cantons.
Operation and maintenance costs: 170 MSSD/year (Approx.).
• Reduced losses for energy transmission and improved quality of electric service in nearby consumption centers.
MODALITY OF INVESTMENT:
✓ Final design studies. ✓ Detailed engineering drawings. ✓ Environmental licenses (being processed).
110
PA S TA Z A
• Direct investment. • Strategic public-private alliances.
Investment catalogue in Strategic Sectors 2015-2017
Caluma-Pasagua hydroelectric project
Construction of a run-of-the-river hydroelectric project that captures water from Escaleras River, with a power of 4 MW to generate, on average, 27.2 GWh of clean energy per year. Plant capacity factor is 77%.
Location: Province of Bolívar
C O T O PA X I
TUNGURAHUA
LOS RIOS
Pasagua
CALUMA
Guaranda
COLOMBIA
QUITO
0º
PACIFIC
OCEAN
BOLIVAR
Guayaquil
P E R U
50
100 km
CHIMBORAZO G U AYA S
ELECTRIC
0
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Pre-feasibility studies.
• Flow rate of 12 m3/s. • Covers the energy demand of about 58 thousand users in 7 cantons. • Reduced losses for energy transmission and improved quality of electric service in nearby consumption centers.
12 MMUSD.
✓ Feasibility studies. ✓ Final design studies. ✓ Detailed engineering drawings. ✓ Environmental licenses (being processed).
Operation and maintenance costs: 232 MSSD/year (Approx.). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
111
Tigreurco hydroelectric project
Construction of the run-ofthe-river hydroelectric project that captures water from Payahua River, with a power of 3.4 MW to generate, on average, 22.4 GWh of energy per year. Plant capacity factor is 74%.
Location: Province of Bolívar
C O T O PA X I
TUNGURAHUA
Salinas LOS RIOS
GUARANDA
Guaranda COLOMBIA
QUITO
0º
PACIFIC
OCEAN
BOLIVAR Guayaquil
P E R U CHIMBORAZO 0
100 km
G U AYA S
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Pre-feasibility studies.
• Flow rate of 2.4 m3/s. • Covers the energy demand of about 58 thousand users in 7 cantons. • Reduced losses for energy transmission and improved quality of electric service in nearby consumption centers.
12 MMUSD.
✓ Feasibility studies. ✓ Final design studies. ✓ Detailed engineering drawings. ✓ Environmental licenses (being processed).
112
50
Operation and maintenance costs: 219 MSSD/year (Approx.). MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
Investment catalogue in Strategic Sectors 2015-2017
Huapamala hydroelectric project
Construction of a run-of-the-river hydroelectric project that captures water from Huapamala River with a power of 5.2 MW to generate, on average, 29.7 GWh of energy per year, which
is equivalent to 10% of total electricity consumption in the Province of Loja. Plant capacity factor is 65%. Location:
Province of Loja
A Z U AY COLOMBIA
0º
Manú
QUITO
PACIFIC
OCEAN
SARAGURO
EL ORO Guayaquil
P E R U
50
100 km
Loja
ZAMORA CHINCHIPE
0
LOJA
ELECTRIC
PERU
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Pre-feasibility studies.
• Flow rate of 1.24 m3/s. • Covers the energy demand of about 184 thousand users in 25 cantons. • Reduced losses for energy transmission and improved quality of electric service in nearby consumption centers.
10 MMUSD. Operation and maintenance costs: 228 MSSD/year (Approx.).
✓ Feasibility studies. ✓ Final design studies. ✓ Detailed engineering drawings. ✓ Environmental licenses (being processed).
MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
113
Chachimbiro geothermal project
This project is part of a set of hot springs and tempered springs of chlorinated-bicarbonated waters (above 61°C). Untapped potential is 81 MW.
Location: Province of Imbabura
COLOMBIA
0º
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
100 km
URCUQUÍ ESMERALDAS CARCHI
Chachimbiro
Urcuquí
IMBABURA
Ibarra
PICHINCHA
SUCUMBIOS
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Initial pre-feasibility studies (20112012): geological, geochemical and geophysical.
• The estimated area where this resource can be found is of 4.5 km2.
165 MMUSD.
• Resource capacity: 13-178 MW range.
MODALITY OF INVESTMENT:
✓ Terms of reference for advanced pre-feasibility study recommend making a deep slim hole of 1,500 meters and to characterize the feasibility stage.
114
• Average size of the resource: 81 MW.
• Direct investment. • Strategic public-private alliances.
Investment catalogue in Strategic Sectors 2015-2017
Chacana geothermal project
This project is located in the center of the Chacana Plío-Quaternary volcanic complex. The area of geothermal interest covers about 100 km2 with potential to develop 40 MW.
Location: Province of Napo
COLOMBIA
0º
PACIFIC
OCEAN
SUCUMBIOS
QUITO
PICHINCHA
Guayaquil
P E R U
Jamanco area
Cachiyacu area
0
50
100 km
Chacana proyect QUIJOS
ORELLANA
ELECTRIC
NAPO
Tena C O T O PA X I
PA S TA Z A
TUNGURAHUA
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Initial pre-feasibility studies (20112012): geological, geochemical and geophysical.
• Areas of geothermal interest identified are: Chacana-Cachiyacu 20 km2) and Chacana-Jamanco (18 km2). • Geothermal resource of high temperature with a likely reservoir extension of 2.6 km2. • Resource capacity: 7.6 - 83 MW range. • Average size of the resource: 40 MW.
163 MMUSD.
✓ Terms of reference for advanced pre-feasibility study recommend making a deep slim hole of 600 meters and to characterize the feasibility stage.
MODALITY OF INVESTMENT: • Direct investment. • Strategic public-private alliances.
115
Water sector projects
116
Investment catalogue in Strategic Sectors 2015-2017
Water Sector The adequate availability and quality of water is crucial for national development, and a necessary condition to maintain the population in good health and welfare conditions. Therefore, the supply and provision of water to meet the demand of 14 million of Ecuadorians is an imperative priority for the Government of the Citizen’s Revolution. Policies have been implemented based on planning by hydrographic basins and enable controlling and managing in a decentralized manner, the conservation and protection of water resources In this new edition of the Investment Catalogue in Strategic Sectors we are presenting 3 multipurpose water infrastructure projects that have been prioritized for the exploitation of water resources with a comprehensive management approach. The implementation of the following projects: Tumbabiro, Tahuín, and Intervention, expansion and construction of the Hydraulic
Plan of Santa Elena Aqueduct, guarantees the provision of water, which is a driving force for the life and development of Ecuador. These 3 large multipurpose projects, with an investment of 727 million dollars, will enable to regulate water resources and to ensure the availability and supply of water for communities and socio-economic stakeholders that are pillars of the economic development, and to change the productive matrix. Eventually, 600,000 Ecuadorians will be directly benefited, 66,574 hectares will receive irrigation water, and 2.3 MW will be available for power generation. We have considered two main ways to participate in these projects: 1. Contracting with international public companies 2. Bidding with financing
Nº. Project name Location Type Investment amount (Province) (Millions of USD) 1 Intervention, expansion and Santa Elena, Guayas Comprehensive rehabilitation 470 construction of the Hydraulic and expansion Plan of Santa Elena Aqueduct (PHASE) - Phase 1 and 2 2 Tumbabiro Imbabura Multipurpose: irrigation and human consumption 3 Tahuín El Oro Multipurpose: irrigation, human consumption and electricity generation TOTAL
WATER
WATER SECTOR
190 67
727 Source: Ministry of Water
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Intervention, expansion and construction of the hydraulic plan of Santa Elena aqueduct (phase) – phase 1 and 2 Rehabilitation of components and PHASE revamping to increase benefits and ensure water resources provision in the province of Santa Elena and in the town of Playas. Daule pumping station is made up by two engine-pump groups, where untreated water transfer
from Daule River to the province and Santa Elena and the town of Playas begins. Location: Provinces of Santa Elena and Guayas
COLOMBIA
0º
PACIFIC
OCEAN
QUITO
LOS RIOS Guayaquil
P E R U
0
50
100 km
S A N TA ELENA
G U AYA S
Phase 1 Guayaquil
Phase 2
CAÑAR
PA C I F I C O C E A N
A Z U AY
PROJECT STATUS:
POTENTIAL:
MODE OF CONTRACTING:
✓ This project provides untreated water for human consumption to the province of Santa Elena and part of the province of Guayas, with a target population of 400,000 inhabitants and 15,000 irrigated hectares.
• Water resource for human consumption in two provinces. • Provision of water for irrigation (50,000 Ha.).
• Contracting with international public companies. • Bidding with financing.
Environmental ✓ processed).
470 MMUSD. Phase 1 (Comprehensive Rehabilitation): 250 MMUSD. Phase 2 (Expansion): 220 MMUSD.
license
✓ Final design studies. 118
(being
ESTIMATED INVESTMENT:
Investment catalogue in Strategic Sectors 2015-2017
Tumbabiro multipurpose project
Provision of water for human consumption for 100,000 inhabitants of urban and rural populations in Urcuquí and Cotacachi cantons, Province of Imbabura, and provision of irrigation water for 8,574 Ha. The provision of water expected to supply the
project will be captured from Piñán, Pantaví, Gualoto and Cariyacu rivers. It is expected to build a dam that would store a volume of approximately 11.22 Hm3 of water. Location: Province of Imbabura.
Piñán dam 13.6 MMUSD 23.7 HM3 North stream 23.6 MMUSD: Principal: 10.5 km Secondary: 88 km Yachai Conduction 89 MMUSD: 17.22 km (3 channels, 3 siphons, 4 tunnels)
Reserve tank 1.2 MMUSD
South stream 36.3 MMUSD: Principal: 7.6 km Secondary: 29 km COLOMBIA
0º
PACIFIC
OCEAN
QUITO
Guayaquil
URCUQUÍ P E R U
0
50
ESMERALDAS CARCHI
100 km
Urcuquí Ibarra
PICHINCHA
SUCUMBIOS
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Environmental license (March 2015).
• Water resource for 100,000 inhabitants. • Irrigation of 8,574 Ha. (including Yachay, the City of Knowledge, with 2,510 Ha.).
190 MMUSD.
✓ Area of influence: 326 Ha. ✓ Final studies developed by ESPE (CTT-ESPE-CECAI).
WATER
IMBABURA
MODE OF CONTRACTING: • Contracting with international public companies. • Bidding with financing.
119
Tahuín multipurpose projec
Ensure, for the next 30 years, provision of water for human consumption for 100,000 inhabitants of the town of Arenillas and irrigation of 8,000 Ha. through the optimization of the current system, including the construction of a network of pipes under pressure, coating of all channels that supply 5,000 Ha. with irrigation water, and
addition of 3,000 new hectares through the construction of a pressurized system. Additionally, the characteristics of the dam will be improved, thus enabling to generate 2.3 MW of hydroelectricity. Location:
Province of El Oro.
COLOMBIA PA C I F I C O C E A N 0º
PACIFIC
OCEAN
QUITO
Guayaquil
P E R U
0
50
A Z U AY
Machala
100 km
New area of 3,000 Ha. to be incorporated to the project. Current irrigation area is smaller than 5,000 Ha.
LOJA
Arenillas
PERU
EL ORO
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Environmental license (being processed)
• Water resource for 100,000 inhabitants of the town of Arenillas. • Optimize and improve the efficiency of the current irrigation system of 5,000 Ha. • Achieve coverage of 8,000 Ha. incorporating 3,000 new Ha.
67 MMUSD.
✓ Area of influence: 674 Ha. ✓ Final studies developed by INASSA - Spain.
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MODE OF CONTRACTING: • Contracting with international public companies. • Bidding with financing.
Investment catalogue in Strategic Sectors 2015-2017
TELECOMMUNICATIONS
Telecommunications sector project
121
Telecommunications Sector Telecommunications and Information and Communication Technologies (ICT) are essential to develop quality services and products in the economy, as well as to change the Productive Matrix. In order to make that ICTs become a hub of Ecuadorian economic development, Ecuador has made the decision to prioritize the development of technological skills and capacities of individuals, companies and institutions, and to provide all Ecuadorians with internet connectivity, regardless of their socioeconomic level. Taken these priorities in mind, the deployment of telecommunications infrastructure, ICTs incorporation in all companies, the use of internet by individuals and digitalization both in public and private sectors, are fun-
damental to encourage public and private investment to contribute in the development of an economy of knowledge, people-centered, inclusive and integrative. In order to achieve these goals, public policies seek to create a suitable environment where all stakeholders of this sector converge to improve the capacities of citizens, investments, research, provision of services, and care provided to marginalized sectors, so that the quality of Ecuadorian’s life improves through ICTs. We have considered two main ways to participate in this project: 1. Contracting with international public companies 2. Bidding with financing
TELECOMMUNICATIONS SECTOR NÂş. Project name Location Type 1
Project of ICT laboratories and connectivity
National
Infrastructure
TOTAL
Investment amount (Millions of USD) 363 363
Source: Ministry of Telecommunications and Information Society
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Investment catalogue in Strategic Sectors 2015-2017
Project of ICT laboratories and connectivity
to reduce the digital gap in rural and marginal urban areas through the promotion of their development and productivity.
Implement laboratories with connectivity in public educational institutions nationwide, enhancing access to information and communication technologies
Esmeraldas 0
50
Tulcán
C O L O M B I A
100 km
Ibarra 0º
Latacunga Portoviejo
Francisco de Orellana Tena
Ambato Guaranda
O C E A N P A C I F I C
Nueva Loja
Quito
Santo Domingo
Riobamba
Babahoyo
Puyo
Guayaquil Santa Elena
Macas Azogues Cuenca P E R U
Machala
Zamora
PROJECT STATUS:
POTENTIAL:
ESTIMATED INVESTMENT:
✓ Technical specifications.
• Implementation of 8,000 ICT laboratories throughout Ecuador. • Provision of public WI-FI service in 5,000 educational institutions.
363 MMUSD.
✓ Project profile.
MODE OF CONTRACTING: • Contracting with international public companies. • Bidding with financing.
TELECOMMUNICATIONS
Loja
123
TECHNICAL DEFINITIONS MINING • Prospection studies: Consist of field inspections in extensive areas, in which the following activities are conducted: − Geochemistry of sediments (taking samples in ravines and rivers). − Geochemistry of rocks, taking samples to determine the existence of minerals of economic interest. − Geochemistry of soils, which is carried out in places where relevant results have been obtained both in the geochemistry of sediments and in the geochemistry of rocks. − Geophysical Survey (non-destructive studies that measure the electrical current, magnetism or gravity of the earth’s crust); this is done in sectors or areas where soils the geochemical study of the soil yielded positive results. • Exploration Studies: These studies are conducted in areas where prospection studies yielded positive results in the definition of an area with geological potential for the presence of minerals of economic interest. − Consists in drilling at different depths with recovery of core samples (rock samples from within the depths of the earth). − Exploration studies may consist of several phases, depending on the results of each one of them. For example: initial exploration, advanced exploration, etc. • Epithermal deposits: These deposits are characterized by a polymetallic mineralization that takes place within 1 and 2 km depth from the earth surface, which are formed by hot hydrothermal fluids. • Porphyry: This is a type of magmatic mineralization of low grade, high tonnage and irregular shape. • Inferred resources: These are resources whose existence has been proven but whose magnitudes, in terms of volume, as well as their mineralogical characteristics are not known with complete precision, so some of their dimensions or known geological characteristics are inferred. • Measured resources: These are resources whose existence has been demonstrated by geological studies that have enabled to measure their main dimensions, as well as the characteristics and laws of the mineral or mineralized bodies.
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• Stripping ratio: This is a ratio that matches the amount of sterile material that will have to be removed in order to get a ton of usable material. PROJECTS IN GENERAL • Basic studies: These studies are a simplified description of a project, they also define the purpose and relevance of the project, presenting a first estimate of the activities and of the total investment that will be required, as well as annual operational costs and, in the case of projects aimed to generate income, it takes into account the annual income and technical feasibility of alternative solutions, discarding those that are not technically feasible. • Pre-feasibility: It is a study of preliminary assessment to determine the alternatives of an investment project in terms of technical, financial, economic, environmental, social and institutional viability. • Feasibility: Considering the alternatives of the pre-feasibility study, the final viability is determined and the best alternative is chosen, based on which a study including complete technical, financial, environmental, institutional and economic evaluations of the project is carried out. The feasibility phase leads to take a definitive decision regarding the project implementation. • Basic engineering: Once feasibility has been approved and the decision to implement the project has been taken, the project conceptual design is prepared where the technical requirements that the project needs are established. In this stage costs are fine-tuned and the implementation plan of the investment project is prepared. • Plant factor: This factor is also called net capacity factor or load factor of an electric plant. The plant factor is the ratio between the actual power generated by the electric plant during a period (usually a year), and the energy that could have been generated if the plant had worked at full load during the same period, according to the nominal values of the equipment identification plates. This is an indication of the use of plant capacity over time.
Investment catalogue in Strategic Sectors 2015-2017
ABBREVIATIONS AND ACRONYMS API BLEG ENAMI HMC ISDEFE INIGEMM OCP PHASE RDP SOTE VHM AMEGOLD S.A. BIRA S.A CAPEX OPEX CTT-ESPE-CECAI
American Petroleum Institute Bulk Leach Extractable Gold (tool for geochemical sampling and analysis) Empresa Nacional Minera (National Mining Company) Heavy Mineral Concentrate Ingeniería de Sistemas para la Defensa de España (Systems Engineering for the Defense of Spain) Instituto Nacional de Investigación Geológico Minero Metalúrgico (National Institute for Geologica, Mining and Metallurgical Research) Oleoducto de Crudo Pesado (Heavy crude oil pipeline) Plan Hidráulico Acueducto Santa Elena (Hydraulic Plan of Santa Elena Aqueduct) Refinería del Pacífico (Pacific Ocean Refinery) Sistema de Oleoducto Transecuatoriano (Trans-Ecuadorian Oil Pipeline System) VRC Hightech Mining American Golding South S.A Bienes Raíces S.A. (Real State Public Limited Company) Capital expenditures Operating expense
INASSA
Sociedad Interamericana de Aguas y Servicios S.A. (Inter American Water and Services Society, Public Limited Company)
Centro de Transferencia de Tecnología - Escuela Superior Politécnica del Ejército - Centro de Capacitación Informática (Technology Transfer Center - Army Pollitecnic College - Computer Training Center)
SYMBOLS AND MEASURES Ag silver Au gold Bpd barrels per day °C Celsius degrees Cu copper Ft feet g gram g/t grams per ton LPG liquid petroleum gas Gwh gigawatt hour h hour Ha. hectares Hm3 cubic hectometers HRC Hardness Rockwell C (scale of metals hardness) km kilometer kton kiloton Kv kilovolt KW kilowatt lbs pounds M thousands m meter m2 square meter m3 cubic meter M3/s cubic meters per second
MBPD thousands of barrels per day MM millions MMBO million barrels of oil msnm meters above sea level MW megawatt MWh megawatts per hour OSV offshore support vessel Oz ounces S second T ton TD total deepness TOR terms of reference TM metric tons BOT Build Operate and Transfer BHKP Bleached Hardwood Kraft Pulp BSKP Bleached Softwood Kraft Pulp BLEGs Bulk Leach Extractable Gold EPC Engineering, Procurement and Construction CRC cold rolled coil Kton/year Kilotons per year MMUSD Millions of dollars MMMT Millions of metric tons PSV Platform Supply Vessels VMS Volcanogenic Massive Sulphide
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