Montero Mining and Exploration Ltd (TSX-V:MON, OTC:MXTRF) has welcomed proposed amendments to Chile’s Mining Code that the company says could ease cost pressures on junior exploration firms.
The bill proposes to simplify access to reduced mining concession fees for exploration and development-stage projects, with measures including eliminating progressive fee escalation, introducing a reduced fee category tied to active exploration, and expanding eligibility criteria
The legislation also seeks to recognize a wider range of activities as qualifying mining work, including exploration, permitting, environmental review, geological reporting and project development. Dr Tony Harwood, President and CEO of Montero, said the proposed reforms represent “an encouraging development for mineral exploration and project advancement in Chile,” adding that junior explorers have faced rising costs under recent mining patent reforms. “The proposed changes appear intended to better align concession costs with the timelines and economic realities of mineral exploration and project advancement,” Harwood said. “The Maricunga Belt is recognised as one of the world’s premier gold and copper districts, and regulatory frameworks that support responsible exploration investment are important for maintaining Chile’s attractiveness as a global mining jurisdiction.” Montero is currently advancing its Elvira gold project in the Maricunga Belt, where the company recently commenced mobilisation activities and operational preparations for its Phase 1 diamond drilling program. The amendments still need to pass through Chile’s Congress before taking effect