Ecuador’s El Potro Mine Faces Legal Challenge

Why this is here: The El Potro mining concession covers 1175 hectares of páramo—high-altitude grasslands—where rivers originate, supplying water to at least six cantons in southern Ecuador and northern Peru.

In Ecuador and Peru, Osos Negros Company began initial exploration for a gold and silver mine, El Potro, within a critical wildlife corridor without a full environmental license. The 1175-hectare project operates in a buffer zone of Yacuri National Park. Local residents of Espíndola canton filed a legal action, arguing the project violates rights to water and a healthy environment, and initially won a court order to halt mining activities.

However, the Environment and Energy Ministry appealed, and the court restarted the process, requiring the plaintiffs to refile their claim and include the mining company as a defendant. Researchers from the National University of Loja found elevated levels of helicobacter pylori and heavy metals in local drinking water sources near the mine, though a definitive link to mining activity remains unproven.

The project intersects with the Podocarpus-El Cóndor Biosphere Reserve, an area of high biodiversity, and threatens species like the endangered mountain vizcacha and spectacled bear. The legal battle and investigation continue as communities seek to protect their water supply and fragile ecosystem.