VANCOUVER, BC (By Silvercorp, 5.Aug.2025, Words: 486) — Silvercorp Metals Inc. reported the Constitutional Court of Ecuador has delivered a unanimous decision rejecting the final legal challenge in Ecuador against the environmental license for the El Domo mining project, thereby definitively upholding its validity.
The El Domo Project, currently under construction, is the first mining project in Ecuador to have conducted an environmental consultation aligned with standards of the Regional Agreement on Access to Information, Public Participation and Justice in Environmental Matters in Latin America and the Caribbean, a multilateral treaty adopted on 4 Mar. 2018, in Escazú, Costa Rica. This process has now been validated by multiple levels of the Ecuadorian judiciary, including ordinary courts and the Constitutional Court.
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The environmental license for the project was supported by 98% of the population within the project’s area of influence. The El Domo Project is expected to bring significant long-term socio-economic benefits to the local community of Las Naves.
Summary of Judicial Proceedings
On 5 Jun. 2024, a group of individuals filed a constitutional protection action against the Ministry of Environment, Water, and Ecological Transition (“MAATE”), seeking to challenge the environmental license and consultation process for the El Domo Project. On 24 Jul. 2024, the local court in Las Naves Canton, Bolívar Province, Ecuador dismissed the action, confirming that MAATE had complied with applicable environmental consultation requirements prior to issuing an environmental license for the project.
The plaintiffs appealed to the provincial court, and the appeal was heard on 17 Oct. 2024, and was dismissed by the provincial court on 12 Nov. 2024, affirming the lower court decision that MAATE correctly discharged its environmental consultation obligations prior to issuing an environmental license of the El Domo Project.
Subsequently, on 19 Dec. 2024, the plaintiffs filed an Extraordinary Protection Action (EPA) before the Constitutional Court of Ecuador. On 26 Feb. 2025, the Constitutional Court issued a decision declining to admit the EPA, stating that it failed to meet constitutional criteria for admission. On 3 Mar. 2025, the plaintiffs filed a motion for clarification. On 24 Jul. 2025, the Constitutional Court unanimously rejected the clarification motion.
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Despite anti-mining groups having failed at every level of Ecuador’s judiciary—including the Constitutional Court—they continue to engage in unlawful and disruptive activities aimed at obstructing the lawful development of the El Domo Project. These actions have created safety concerns and threaten the rule of law but have not materially impacted project advancement to date. Silvercorp remains steadfast in its commitment to advancing the El Domo Project responsibly and in full compliance with Ecuadorian law.
Silvercorp and its partners are committed to responsible mineral development and to supporting local communities. The company has consistently conducted its operations in compliance with applicable laws and regulations and in alignment with the highest environmental, social, and governance standards. It looks forward to advancing the El Domo Project into production with the same dedication to ethical and sustainable practices.
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