Peru's Miners Yanacocha seeks new solutions for stalled mine
Minera Yanacocha, owner of Minas Conga Copper-Gold project,
said late Saturday that it will seek technical and economic
"alternatives" in order to allow work to resume on the stalled
Violent protests by anti-mine groups late last year led the
administration of President Ollanta Humala and Newmont Mining
) which runs Minera Yanacocha, to put a halt to work on the
project in the Cajamarca region of northern Peru.
Following the release Tuesday of a report on water use at
Minas Conga carried out by 3 international consultants, President
Humala Friday suggested the project could proceed if the Company
complied with changes suggested by the experts.
"The report by the international experts has ratified
unquestionably the environmental impact study, or EIA, approved
by the Peruvian government in October 2010. While the experts
have proven that the EIA meets with national and international
standards, we recognize that every study can be improved,"
Yanacocha said in its statement.
In its most recent statement Yanacocha said it will again
evaluate "technical and economic alternatives."
Economists say cancelling the project would send a bad signal
to investors. Peru is one of the World's largest mining countries
for Copper, Gold, Silver, Zinc, Tin and other minerals.
Yanacocha hopes to have production up and running at Minas
Conga by the end of Y 2014 or early Y 2015. Production is seen at
an average annual output during the 1st 5 yrs of 580,000 to
680,000 oz of Gold and 155 to 235-M lbs of Copper.
Newmont has a 51.35% interest in Yanacocha, while Compania de
Minas Buenaventura SA (
), (VL:BUENAVC1) has a 43.65% stake in Yanacocha, with the
International Finance Corp. holding a minority stake.
Paul A. Ebeling, Jnr.
Paul A. Ebeling, Jnr. writes and publishes The Red
Roadmaster's Technical Report on the US Major Market Indices, a
weekly, highly-regarded financial market letter, read by opinion
makers, business leaders and organizations around the world.
Paul A. Ebeling, Jnr has studied the global financial and
stock markets since 1984, following a successful business career
that included investment banking, and market and business
analysis. He is a specialist in equities/commodities, and an
accomplished chart reader who advises technicians with regard to
Major Indices Resistance/Support Levels.