Latest Mining News

Posts Tagged ‘Mining projects’

The conglomerate Mitsui Corporation of Japan is interested in investing in mining projects in Peru and ethanol in the medium term.

“Our first interest is to go for a mining project in the highlands of the country, specifically in copper since this metal is currently priced and are expected to maintain this trend in the months ahead,” he told Andina news agency.

It is recalled that in 2009 the price of copper was recovered and exceeded the rise in previous years, increased over the year to $ 328 values. In percentage terms the price of the metal rose 164 percent, which represented 40 percent of the average increase experienced between 2001 and 2006.

“Another project we have in mind, not in concrete yet, it is into the business of biofuels, specifically in Peru because ethanol has a high production potential,” he said. These projects are intended to Mitsui diversify its presence in the country that currently only focused on infrastructure and automotive sectors, among others.

On private initiative for the development of a desalination plant to provide a solution to the drinking water production, supply, distribution and storage for the people of southern Lima, said the Agency for Promotion of Private Investment (Introversion) rejected the project.

“We canceled Pro Inversion private initiative to plant 86.400 meters cubic per day in this area of ??the capital and above this, we have asked for explanations,” he said. However, Takase said the company remains interested in other productive sectors in which to invest proactively.

Mitsui Group is one of the largest conglomerates in Japan and one of the largest publicly traded companies worldwide.

Among its portfolio companies include Mitsui & Co., Mitsui Construction Co., Mitsui Engineering and Shipbuilding Co., Mitsui Mining & Smelting Co., Ltd. Mitsui OSK Lines, Mitsui Petrochemical Industries Ltd., Mitsui-gold, Mitsui Fudosan , Tri-Net Logistics Management, Mitsui Chemicals and Pacific Coast Recycling, Mitsui-Soko Co.

Its program of diamond drilling on his property in Nueva California, located about 35 kilometers north of the Pierina gold mine of Barrick Gold, near the city of Huaraz (Ancash) .

The program seeks to define the amount of gold and silver in the area, said the president of Focus Ventures, David Cass. In early January the company said it had received a drilling permit from the Peruvian authorities to initiate this program.

The miner said that initial drilling will be carried out in order to obtain a geological section of 800 meters wide at the deposit, as established by the underground, and then continue drilling in an area of ??100 square meters.

New California property is located in the Cordillera Blanca, at an altitude of 3,300 meters above sea level, about 35 kilometers from the Pierina mine.

The mining operations underground and open pit started in 1983 with the exploitation of mineral deposits of gold and silver, which confirmed the presence of gold mineralization with economic potential on the surface of the mine property.

Focus Ventures, listed on the Toronto Stock Exchange (Canada), focuses on the acquisition of mining projects in Peru, especially gold, and New California is the first acquisition of the company in the country.

Their strategy is to identify and acquire existing mines but do not produce and properties that show the existence of gold and with potential to become new mines.

Mining must also meet environmental standards, while respecting private property and protect the rights of people living within these areas, He said that monitoring of small-scale mining has been transferred to regional governments as part of the decentralization process, however, the MEM coordinates with the authority of Piura.

Therefore, in His city has installed a decentralized office to manage the issue directly, he said.

During a working visit to Piura, Sanchez explained that to start a mining operation must follow several processes, starting with obtaining the concession title, and followed by the permission of the owners of surface land, communities or individuals. Then continue the preparation of environmental impact assessment (EIA) that guarantees the protection of the environment and, finally, if any, should respect the architectural heritage of the nation.

“After fulfilling all these obligations only on mineral owner can initiate a scan. There have been cases with only the title of grant is to explore, which is illegal and is what causes many of the problems in the country, “he said.

On the Rio Blanco mining project, the minister said Rio Blanco Copper Company, in charge of the project is complying with everything required by law, and is currently developing the respective EIA.

He said the company must continue this process through workshops, hearings and consultations.

He said that there is opposition from other agents because they are uninformed they do not know that the nearest population center to the project is seven hours, issue that should be part of the information issued by the company.

He noted that Rio Blanco is a project that can develop in a sustainable way, respecting the rights of communities and generating benefits for nearby towns and the region. Sanchez visited the storage facility in Sechura Bayovar, and after a brief tour of the spring and control areas met with officials and employees of pipeline operations.

The engineers explained in detail the operation of the pipeline that carries crude oil to the pier, passing through a system of turbine flow measurement and the operation of tankers.

Also it was learned that all installations are protected with fire protection systems, including launchers and sea water spray or foam under pressure, which operate on and under the pallet. Submerged dock facilities have a system of protection.

The mining project Pucamarca, located in the district of Palca (Tacna), generated by mining royalties concept of a total estimated income of more than 60 million new soles during his lifetime.

“The project will be supplied from underground wells located on the Sulphur River Basin, which has no connection with Caplina basin, which caters to Tacna,” he said. Also have a duration of ten years (seven and three leach operation) and the water recirculated constantly, so do not generate tailings and effluents.

It will also develop educational and health projects in neighboring communities and Vilavilani Palca, he said.

Minsur also informed the Council of Mining, highest authority of the Ministry of Energy and Mines (MEM) in a review of mining projects are concerned, confirmed the approval of Environmental Impact Assessment (EIA) project.

He said that this entity confirmed the validity of Executive Resolution No. 256-2009-MEM/AAM, which in August 2009 approved the EIA of this project, following due process and without any void. The Pucamarca EIA approved by the General Directorate of Mining Environmental Affairs (DGAAM) MEM Minsur states that you must install a underground concrete screen 200 meters long, he said.

He argued that this measure will strengthen and be very effective in protecting Huaylillas South Tunnel, thus eliminating any possibility of leaking and will join other safety components envisaged in the project design Pucamarca.

Including geomembranes, layers of clay and filter detectors, which guarantee the protection of the environment.

“Also, the provision of DGAAM states that do not involve blasting to be a risk to the infrastructure of the South Tunnel and Channel Huaylillas Uchusuma, Bellavista the fault is not active and that the elements of airborne no risk “he said.

Minsur said he will proceed to implement all of the environmental management measures identified in the EIA, to develop a mining project with the highest standards of industrial technology, environmental security and ongoing cooperation with neighboring communities.

The Mining Program of Solidarity with the People (PMSP), known as mining voluntary contribution, to renew the agreement that expires next year.

“I think it’s interesting that this agreement be renewed because as the prices are high, we can renew those commitments are voluntary and temporary,” he said. Considered that the renewal of the voluntary contribution of a more viable alternative is to establish the application of a windfall tax on mining companies, as posed by some congressmen.

“Putting a royalty or tax windfall is permanent and can not know how prices fluctuate in the future,” he added. He said that if lawmakers are interested in submitting bills to levy a tax windfall from mining must be the result of a study with a view to long term and not based on the cyclical rise in mineral prices worldwide.

“The prices of metals may vary and, if they fall then how can we compensate for the losses?, So any initiative that will see must be analyzed in the long term,” he said. The deputy minister said the Peruvian government supports investment not to protect mining companies but to have income from income tax and mining royalties.

“That’s why we support business and if we put a very high tax (a windfall), then the mining revenues will drop,” he said after attending the World Economic Forum Bloomberg Peru.

Also stated that until March of this year have been approved Environmental Impact Assessment (EIA) and feasibility studies for various mining projects totaling 14,000 million dollars of investment, which should enter production in two years. He said that there is another group of mining projects by 26.000 million, which are in the process of maturation and will be specified within six years.

“We hope that some new projects to complete their process of public hearings this year and join the 14.000 million in projects that have feasibility” he said.

The National Society of Mining, Petroleum and Energy (SNMPE) reported that mining companies are willing to take the initiative to extend for five years the voluntary contribution proposal has been made by the Ministry of Energy and Mines (MEM).

“In the area we have reached agreement to support the initiative of the MEM, as we think it is an appropriate measure,” said Vice President SNMPE, Carlos Santa Cruz.

He explained that the voluntary contribution for 2009, to be released this year, will be located in the 400 million new soles.

“That added to the 1.300 million suns that have been delivered over the past years make a total of around 1.700 million,” he said in the Tenth Tax Symposium Energetically.

In that sense, explained that the voluntary contribution is usually distributed in areas affected by mining projects that generate them.

“If we see its impact, we can mention that accumulated at the date this measure has implemented more than 1,500 projects nationwide on issues such as poverty, nutrition and education.”

He said the amount of the contribution will be this year is slightly lower than given in 2009, which is explained by the impact of global crisis in the sector.

“Next year is expected to recover to 2008 levels, because the pricing perspective we have now is better than last year,” said Santa Cruz.

The Minister of Energy and Mines, Pedro Sanchez, announced that the next meeting of the roundtable on mining issues will take place in the Cajamarca district Chugur,, as requested by the authorities which met in his office.

In the meeting with the provincial mayor of Bambamarca, Esteban Campos, and other provincial representatives, the minister said he will coordinate the participation of other ministerial portfolios at this meeting to be chaired by the Deputy Minister of Mines, Fernando Gala, and will with the participation of experts from the sector.

Sanchez heard at the meeting to order local authorities and reported that his office commissioned the study at the profile level for environmental remediation liabilities of 119 mining projects The Tahona and El Dorado in Hualgayoc, the company projects, Service, advice to Mining and Environmental Affairs (Pasminaa).

He said that after the final report of the company, the Ministry of Energy and Mines (MEM) call the preparation of studies and detail engineering and award the bid for the start of the study closure liabilities and detailed engineering for remediation. He reiterated that these types of activities are meeting the commitments MEM addressed at the desk with the authorities of the province Hualgayoc.

Also, do not rule out that when progress in the dialogue he can get to Cajamarca to chair a meeting with another minister. During the meeting, asked participants not to break the dialogue and avoid taking roads that end up harming third parties, and urged them to decide by legal or judicial proceedings where the mining companies in default.

Environmental Impact Assessment (EIA) for the different mining projects may be submitted electronically, with the aim of their evaluation demands the shortest possible time.

The head of the General Directorate of Mining Environmental Affairs (DGAAM) MEM, Felipe Ramirez, said the industry is working rapidly to future evaluation of these documents is achieved by optimizing the technology.

The MEM is working with the Peruvian Canadian Cooperation Program (Perc) in the optimization Mining Environmental Information System, to culminate at the end of year 2011 software tools for submission and evaluation of web-based environmental studies, he said.

He said that it aims to reduce the times that the sending of information generated by conventional means and aligned to government policy and zero electronic paper.

The DGAAM aims for this year the term of an administrative assessment of an EIA is in a period of 180 days. Indeed, the DGAAM continuing the line better and better analysis of the EIA conducted the second workshop entitled “Environmental Studies Miner’s Procedures.”

Ramirez stressed the need for consultants to keep their data current to the DGAAM.

Also raised the most recurring observed in the evaluation of the EIA are presented to address, in order to be taken into account and thus achieve shorten the evaluation of the studies presented. He added that, together with companies, consultants are also responsible for the EIA presented for the execution of each mining project.

China is now the leading producer of this metal in the world has reserves for only six years if he maintains his production of 310 tons per year, said Vice Minister of Mines, Fernando Gala.

He argued that the more than 41.000 million of the total portfolio of mining projects recently announced the president, Alan Garcia, more than 5.000 million, which is about 13 percent of the total portfolio, are gold projects.

He said that normally the presence of gold in Peru has always been in the north, mainly in Cajamarca and La Libertad, where the major gold deposits of  Yanacocha and Bar-rick, but in recent months has also been major announcements about discoveries gold in the south of the country.

In this regard, he stressed that the project Chucapaca of Gold Fields, located in Moquegua, implies an investment of almost 1.000 billion, and it is believed that around this site there are other gold deposits that would increase the reserves of the metal.

“The main thing is to show that in the south there are gold mines of importance,” he said. “The price of gold has increased significantly, is higher than in 2009 when an ounce was less than $ 1.000 on average, but is now almost $ 1.300 an ounce,” he said.

“Not so with other metals, hence we have silver and lead operation for 30 years, zinc 15, iron and copper almost 300 years to 70 years,”. Gala held that a new tax or tribute to mining is an issue that must be analyzed carefully from the point of view of competitiveness.

“The analysis has to be very measured and detailed to remain competitive and mainly new investment and, of course, compare with our close competitors such as Chile. You have to see costs and benefits, “

“Every day that portfolio is increased with successive announcements of the various exploration companies operating in Peru, this fills us with great joy,” said Deputy Minister of Mines, Fernando Gala.

“This level of portfolio of mining projects should be happy but not satisfied because the portfolio Chile 50.000 billion sum, but in Peru we can expect more projects,” he said. Are the mega Bambas (Xstrata) to 4.200 million, the expansion of Contaminate over 1.000 million, Toromocho (Chinalco) to 2.200 million, Antarctic (Xstrata) to 1.300 million, Minas Conga (Newton) with 2.800 million and Quetzalcoatl (Anglo American) with 2.500 million.

“This will generate the resources that the country needs to get out of poverty,” he said during the inauguration of the Third International Seminar on Equipment, Supplies, Services and Mining Machinery – Exponent 2010.

In this regard, he indicated that should promote the correct use of income generated by these mining projects through rents, royalties or other contributions. Also considered to be improving levels of safety and protection of the environment, which would make the country truly competitive.

“Not only do we want to be competitive in production or sales levels but also on aspects of poverty reduction, improved safety and environmental care,” said Gala.

Therefore, called on companies that provide equipment and supplies to the mining industry in Peru to work with producers miners in that line. “We are working on this but we need the support of all businesses. Only then, if we reduce poverty, ensure that mining is accepted by all people without exception and continue to grow as a country, “.