Peru Poised for Record Mining Investments in 2014
December 31, 2014
While many in the mining industry have been bemoaning the decline in gold and other mining projects over the second half of 2013, Peru is betting on a record 2014 when it comes to mining investments. According to a recent article in The Wall Street Journal, Peruvian President Ollanta Humala is expecting mining investments to total $14 billion in the next year, which would be an annual record.
Peru is one of the world's biggest producers of base and precious metals and currently has a pipeline of mining projects worth nearly $55 billion. In 2012, Peru's mining investment totaled a record $8.6 billion but economists say that with an increase in mineral production that number could nearly double in 2014.
Three big mining projects will bolster Peru's economy: Glencore Xstrata PLC's $6 billion Las Bambas copper deposit, a $4.4 billion expansion at Sociedad Mineral Cerro Verde SAA, and HudBay Minerals Inc.'s $1.8 billion Constancia Project.
Also, several mining projects that were put on hold due to community opposition are slated to begin work again including Southern Copper Corp.'s Tia Maria project and Newmount Mining Corp.'s Minas Conga copper and gold project.