Mr. Christian Kargl-Simard of Adventus reports

CONSTITUTIONAL COURT OF ECUADOR ISSUES RULING ON CONSTITUTIONALITY OF ENVIRONMENTAL CONSULTATION DECREE: LEAVING THE DECREE AND CONSULTATION PROCESS IN EFFECT PENDING LAW FROM NATIONAL ASSEMBLY

The Constitutional Court of Ecuador has issued a ruling with regard to the constitutionality of Presidential Decree 754. The decree, signed in May, 2023, modified the Environmental Regulation of the Environmental Organic Code to include detailed steps for carrying out the environmental consultation in accordance with international human rights instruments and guaranteed by Article 398 of the Ecuadorean Constitution.

The consultation is a prerequisite for the issuance of environmental licences for all projects across all sectors in Ecuador (not limited to the metal and mining sector) classified as medium and high impact, but also those classified as low impact for the extractive industries. The consultation seeks to ensure people in the impact areas are duly informed and consulted with regard to impacts, mitigations and environmental management plans of the proposed projects.

The decree was challenged by an Act of Unconstitutionality filed with the court in June, 2023, and accepted by the court in August, 2023, along with a precautionary measure that ordered the provisional suspension until the court could resolve the case (see news release dated Aug. 2, 2023). In September, 2023, the court prioritized the case (see news release dated Sept. 11, 2023), and the hearing was held on Sept. 18, 2023. On Nov. 17, 2023, the court issued its ruling that declared Decree 754 to be unconstitutional in form, and indicated that the consultation process must be regulated through an organic law which can only be issued by the National Assembly of Ecuador and not by presidential decree. Notwithstanding, the ruling defers the effects of the unconstitutionality decision until the assembly passes an organic law to regulate the consultation process. The ruling also expressly revokes the temporary suspension of the decree and indicates that the decree will remain in effect until the assembly passes a new law regulating the consultation.

This decision by the court allows over 170 projects to resume their respective consultation processes by proceeding under the terms of the decree. These important projects span across all industries and sectors in Ecuador, which include but are not limited to hospitals, water treatment plants, roads, clean energy projects and three mining-related projects, including the El Domo-Curipamba project. Therefore, Adventus Mining Corp. and Salazar Resources Ltd. are pleased to continue the advancement of the El Domo-Curipamba project in line with recent guidance.

About Adventus Mining Corp.

Adventus is an Ecuador-focused copper-gold exploration and development company. Adventus is majority owner of the 215-square-kilometre Curipamba copper-gold project, which has a completed feasibility study on the shallow and high-grade El Domo deposit. In addition, Adventus is engaged in a countrywide exploration alliance in Ecuador, which has incorporated the Pijili and Santiago copper-gold porphyry projects to date. Outside of Ecuador, Adventus owns an exploration project portfolio in Ireland with South32 Ltd. as the financing participant. Its strategic shareholders include Altius Minerals Corp., Greenstone Resources LP, Wheaton Precious Metals Corp. and the Nobis Group of Ecuador. Adventus is based in Toronto, Canada, and is listed on the TSX Venture Exchange under the symbol ADZN and trades on the OTCQX under the symbol ADVZF.

About Salazar Resources Ltd.

Salazar is focused on creating value and positive change through discovery, exploration and development in Ecuador. The team has an unrivalled understanding of the geology in country and has played an integral role in the discovery of many of the major projects in Ecuador, including the two newest operating gold and copper mines. Salazar has a wholly owned pipeline of copper-gold exploration projects across Ecuador with a strategy to make another commercial discovery and farm out non-core assets. The company actively engages with Ecuadorean communities, and together with the Salazar family, it co-founded The Salazar Foundation, an independent non-profit organization dedicated to sustainable progress through economic development. The company already has carried interests in three projects. At its maiden discovery, Curipamba, Salazar has a 25-per-cent stake fully carried through to production. At two copper-gold porphyry projects, Pijili and Santiago, the company has a 20-per-cent stake fully carried through to a construction decision.

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