Mineros to cough up $49.3M for Nicaraguan taxes

Executive Summary

• Mineros S.A. has resolved a tax dispute with the government of Nicaragua by agreeing to pay approximately $49.3 million in unpaid ad-valorem taxes and related interest for the period 2019 to 2024.
• The company also announced that it has been granted an exemption from individual voting and majority voting requirements under Toronto Stock Exchange policies, citing compliance with Colombian laws requiring directors to be elected via an electoral quotient system.

Key Details

• Tax Dispute Resolution: Mineros S.A. determined to resolve the dispute with Nicaraguan tax authorities after consulting legal and tax advisers.
• Payment Amount: Approximately $49.3 million.
• Nature of Payment: Unpaid ad-valorem taxes and related interest.
• Tax Period: Years 2019 to 2024.
• Corporate Governance Update: The company received an exemption from Toronto Stock Exchange individual voting and majority voting requirements.
• Reason for Exemption: Compliance with Colombian laws and regulations which mandate that directors be elected based on a slate of nominees proposed pursuant to an electoral quotient system.

Notable Quotes

• "Mineros S.A., after consulting with its legal and tax advisers, has determined to resolve a tax dispute with the government of Nicaragua through the payment of approximately $49.3-million in respect of unpaid ad-valorem taxes and related interest for the years 2019 to 2024, claimed by the government of Nicaragua."