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Southern Copper flags progress at key Peru mine, share prices rise
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Southern Copper flags progress at key Peru mine, share prices rise
Jul 1, 2024 10:58 AM

LIMA, July 1 (Reuters) - Miner Southern Copper

will likely finish building its Tia Maria copper project in

southern Peru in up to two years and then begin production in

2027 if not sooner, Chief Executive Officer Oscar Gonzalez told

local radio broadcaster RPP.

Reuters reported on Sunday, citing an internal document,

that the long-postponed $1.4 billion project located in the

Arequipa region's Islay province was set to restart development

on Monday, after years on hold amid community opposition over

fears about the mine's environmental impact.

Protests opposed to the mine left six people dead between

2011 and 2015.

Tia Maria is eventually expected to produce 120,000 metric

tons of copper annually.

In the radio interview, Gonzalez said that though the mine

was slated to begin production in 2027 "we will try to make it a

little earlier."

Shares in Southern Southern Copper, controlled by Grupo

Mexico, rose over 1% following the announcement

while the parent company saw its stock jump nearly 3%.

Gonzalez noted that community opposition had diminished in

recent years and that the miner was working on a water dam study

that would benefit farmers in the Tambo Valley area. He did not

give a set date for its completion.

"We don't believe there will be any problem," he added,

saying the dam will be able to store some 70 million cubic

meters of water.

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