Investment, investment, investment...
24 September 2017
Investment has become the familiar mantra of Peru’s technocratic economic team, and the new minister of economy and finance, Claudia Cooper, is no different from her predecessors in proclaiming the new dawn for Peruvian mining. Notwithstanding a notable recent dip in copper prices, she sees Peru as standing on the crest of an incipient investment wave, or at least this was the message she gave last week to the all-important 33rd annual Mining Convention.
Timed to coincide with the Convention is the latest volume on mining produced by Peru Top Publications.
This is a useful, albeit costly compendium of mining statistics and analysis published annually. For the first time, it seeks to provide a ‘traffic light’ indicator that reflects the timescale over which major mining projects are likely to take place:
The ‘green’ list of projects are those likely to go ahead in the fairly immediate future (between now and 2020). Investments in these are reckoned to total US$11.4 billion (of which US$3.2 billion have already been invested). The list includes 11 projects, several of which are extensions to existing ones like Toquepala (Tacna) and Toromocho (Junín). Others include Quellaveco (Moquegua), Ariana (Junín) and Mina Justa (Ica).
The ‘orange’ list includes 13 projects, with an estimated investment value of US$13.6 billion. They are those for which construction is likely not to begin for another four years at least. They include Tía María (Arequipa) and Michiquillay (Cajamarca).
The ‘red’ list will take much longer to get going, at least six years. They include 16 projects costing an estimated US$23.7 billion to construct. Their number includes those that have been mired in controversy over their social and environmental impacts, such as Minas Conga (Cajamarca), Santa Ana (Puno) and Cañariaco (Lambayeque).