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Ecuador and Illicit Trade

Ecuador and Illicit Trade

Ecuador currently ranks 60th out of 84 countries evaluated for illicit trade prevention or enabling according to the Global Illicit Trade Environment index, serving as a primary location for illicit trade inclusive of tobacco, alcohol, textiles and untaxed market imports.

Illicit trade concerns were the primary focus during a recent conference with Transnational Alliance to Combat Illicit Trade (TRACIT) this week. During the conference, government officials and stakeholders were confronted on the ranking and the current issues within the illicit trade region in an effort for increased regulation.

“The findings are intended to help policy makers better understand the regulatory environment and economic circumstances that enable illicit trade,” TRACIT Director-General Jeffrey Hardy said. “It can help the government take steps to improve Ecuador’s defense against the import of illicit products and to prevent extraction and exploitation of timber, marine and mineral resources.”

Ecuador was presented a set of regulatory recommendations in an effort to combat illicit trade during the conference. Some of the recommendations included:

-Strengthen interagency cooperation at the regional and national level

-Intensify public-private coordination

-Ensure the adoption and full enforcement of anti-money laundering regulations

-Improve public awareness and education on the threat of illicit trade.

“Ecuador already has many important laws in place to address Illicit trade, money laundering and corruption,” Hardy said. “But findings from the Global Illicit Trade Environment Index show that much more attention must be given to enforcement and improved regulation. Ecuador can no longer afford to look the other way on illicit trade.”

Source: TRACIT

Andes Plans International Gold Shipments

Boca Raton, FL – The Andes Gold Corporation, a gold mining and milling company with existing operations in Ecuador and Peru, has said it will begin direct shipping of gold internationally in December.

The Company’s initial shipments will be 10 kgm. of gold (320 troy oz.) per month.

The company said it is anticipated that the direct shipping of gold internationally will increase to 30 kgms of gold (960 troy ozs) per month by May, 2015, in addition to its existing production.

Andes Gold owns two producing mines and one fully operating mill that currently processes about 150 tons of ore per day.

The average head grade of ore being processed is 1.0 oz gold and 15 g of silver per ton of ore.

Andes Gold processes ore from other mines and has reclamation programs on all its projects.

On the Miranda vein, the company has 95,000 oz. of proven reserves. Inferred reserves from the 700 m level on Miranda, Azul, Estrella, Sul and Viscaya veins are 600,000 oz.

The Zaruma-Portovelo district of southern Ecuador is a prolific producer of both gold and silver covering an area of more than 150 square kilometers with at least 15 major veins.

All of these veins are currently covered by only small mining concessions of 10 to 40 hectares in surface area.

11/20/2014

US-Sourced LPG Shipments to Latin America Surge

 

Washington, DC – US shipments of liquefied petroleum gas (LPG) to Latin America have increased five-fold since 2007, edging out more expensive exports from countries such as Saudi Arabia and Algeria.

According to data released by the Energy Information Administration (EIA), Latin America imported about 206,000 barrels per day (bpd) of US-sourced LPG in 2013, up from 38,000 bpd in 2007.

The agency said that the lack of industrial capacity and stagnant natural gas production in Latin America – particularly Venezuela – means there is too little LPG to satisfy voracious demand, while the shale boom in the US has created a growing surplus of LPG, namely propane, butane and isobutane.

US producers are reportedly offering lower prices than other major exporters with buyers in Brazil and Chile signing supply contracts with a number of US providers.

LPG is produced from the natural gas liquids that are processed at fractioning plants to separate methane from other more-valued gases, such as butane and propane.

Total US LPG exports rose 482 percent since 2007 to 332,000 bpd last year. Analysts forecast some 450,000 bpd in exports this year and 800,000 bpd by 2018.

Venezuela, which once exported LPG to neighbors but has suffered production declines, has been importing since 2012 while Ecuador imported 88 percent of its LPG last year, spending $700 million in subsidies, the EIA said.

06/10/2014