Ecuador’s Ministry of Environment and Energy revoked the Loma Larga environmental license, canceling the administrative authorization previously issued to DPM Metals (TSX: DPM), who is formerly known as Dundee Precious Metals.
In its official communication, the ministry stated it “revokes the environmental license for the Loma Larga mining project,” rescinding the large-mining authorization held by Dundee Precious Metals. The ministry identified the specific authorization, linking the revocation to the same license granted in late June.
The decision is based on technical reports from the Municipality of Cuenca and the Prefecture of Azuay, entities responsible for potable water provision and irrigation systems. In its statement, the government said it “reaffirms its commitment to the rights of nature, the defense of water sources and, under the precautionary principle, the protection of the health and well-being of the people of Cuenca and Azuay.”
The communiqué notes these reports are “the sole responsibility” of the issuing bodies and form the basis for the government’s measure.
Resistance to Loma Larga (formerly Quimsacocha) has centered on the Quimsacocha páramo and water-recharge zones that feed Cuenca’s rivers and potable supply. In February 2021, roughly 80% of Cuenca voters backed a ban on medium- and large-scale mining in water-recharge areas, a local constraint that has repeatedly intersected with national permitting.
Through September 2025, tens of thousands marched in Cuenca demanding the Loma Larga license be scrapped. Prior, the energy ministry had already halted activities in August pending an environmental management plan, then the environment ministry revoked the license. Cuenca’s mayor hailed the move as a win after a “decades-long struggle.”
Before the revocation, Dundee Precious Metals had guided to US$419 million in investment with 200,000 ounces of gold per year in the first five years.
Dundee Precious Metals last traded at $32.61 on the TSX.
Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
