This development from the Ecuador Gov't should have quite a positive impact on Dynasty's future plans, when the company begins development of their Jerusalem project, just a few miles due south of the Fruta Del Norte deposit. It is also potentially good for the company's Dynasty Goldfields project.

Hearing that Q2 production is currently in the 300 - 350 tpd range at their Zaruma Mine. Should translate into a pretty decent profit for Q2, if they have managed to match the grades pulled in Q1.

Still awaiting the updated 43-101 reports for all three projects which were originally due out in March, supposed to be out this month, perhaps they'll be done by the time the AGM rolls around on June 24 ?

http://finance.yahoo.com/news/ecuador-gives-mining-industry-big-140000557.html

Ecuador to abolish windfall mining tax


Ecuador Gives Mining Industry a Big Wet Kiss

TORONTO, June 16, 2014 (GLOBE NEWSWIRE) -- On June 5, 2014 Ecuador announced plans to modernize its mining laws and offer tax incentives designed to attract foreign investors. This may be the biggest resource policy shift in modern history not triggered by an election.

"Our mining laws have been a total disaster," admitted Ecuadorian President Rafael Correa on national radio, "It has been a failure on the part of the government. We have made mistakes due to our lack of experience. We can't be infantile. I'm not disposed to wait any longer."

The government is planning to abolish the windfall tax (which torpedoed Kinross Gold's investment in the massive Fruta del Norte gold) mine and make other improvements to attract mining investments.

"These new incentives will help us attract investment in all different steps of the process," stated strategic Sectors Minister Rafael Poveda.

"President Rafael Correa has realised that if you don't have an attractive investment regime, the mining industry cannot survive," states EGX CEO Glenn Laing in an exclusive interview with Financial Press, "Up to this point, the only large major investor in Ecuador has been the Chinese."

Ecuador is one of the last largely unexplored mining frontiers. With Colombia to the north, Peru to the south, the minerals-rich Andes Mountains straddles all three countries.

"When you attract only a handful of juniors, it's an indication that investors are reluctant to put money in at a highly speculative stage," states Laing, "The junior mining business model is to find a good asset, drill it, and sell it. But you hit a stumbling block in the selling phase if the taxation regime is punitive. The good news for EGX is that the penny has dropped. Correa knew he had to make some changes."

Laing gives Correa credit for commissioning a study from the internationally-recognized consulting company Wood Mackenzie, who looked at the numbers and realised there was a problem.

"Under existing tax regimes if you added up all the taxes on a mining investment in Ecuador, about 52% of the profits went to the government -- and 48% to the mining company," states Laing, "And then the 'windfall' tax could ramp the taxation level to 70%."

Money goes where it grows and the old Ecuadorian profit-sharing scheme did not incentivise international investors.

"When Kinross was negotiating their fiscal deal with the government, gold was on a rampage and heading towards $1,900," states Laing, "President Correa looks out for his people, which is great, but if you take too much of the cherry, the investors go away. At the EGX Condor Complex we already have the large resource base, and now we have a fiscal regime that will incentivise investors."

President Correa has a reputation for decisiveness. Because he controls the vast majority of the seats in the assembly, it is anticipated that Correa will push the new mining laws through quickly. This will radically change the economics of EGX's 8 million indicated ounce Santa Barbara deposit.

"People say mining is ugly," stated President Correa, who has a PhD in Economics from the University of Illinois, "It's not ugly, it's the opposite of ugly. Misery is ugly."