"What makes us stand out is the constant quality and reactivity of our products that can help different mining processes significantly and adapt to the requirements of each process."

Martin Barrios

EXECUTIVE DIRECTOR, CALIDRA

October 25, 2021

Can you introduce Calidra and explain its evolution in Peru and Latin America?

Calidra is a lime (including calcium oxide, a dry powder commonly known as quicklime) manufacturer and solutions provider, which was founded 120 years ago by a group of Mexican investors. Today, with an annual production of 4.5 million tonnes, we are the number one lime manufacturers in Latin America. Our most important markets include Mexico, Honduras, Colombia, Argentina, Chile and Peru, and we also plan to start activities soon in Ecuador.

We entered the Peruvian market in 2012, where our initial activities involved the construction of an oven for lime fusion. Actual operations started in 2015, and since then, we have consistently delivered our products and services to the Peruvian market, specifically to the mining, construction, steel, foundry and water treatment sectors.

Can you elaborate on Calidra’s main mining clients and product portfolio, and explain what type of processes your products apply to?

Calidra is currently among the top three lime producers and sellers in Peru. Our portfolio includes mainly quicklime, and we supply our products primarily in bulk. We work mostly in medium and small mining but are increasing our participation in large mining as well. In terms of large mining companies, our main strategic partners include Minsur, Chinalco, Hudbay, Buenaventura and Aruntani Group.

We have broken two important paradigms in the Peruvian market; first, large mining companies are already considering having more than one supplier of lime as it is critical to an operation. Second, we have developed an advanced logistics system that has enabled us to have a privileged position in the whole country, being able to overcome long distances.

How does Calidra differentiate itself from other lime providers in the Latin American market?

Apart from our product, we have an immediate response capacity and offer remarkable technical support that has been developed throughout our 120 years of experience. Our high adaptability allows us to adjust to the characteristics of each market, to the type of product, to the type of process, and our staff is always present to support clients. What makes us stand out is the constant quality and reactivity of our products that can help different mining processes significantly and adapt to the requirements of each process.

What differences do you see between Peru and Mexico as mining jurisdictions?

Both Peru and Mexico are countries with abundant mineral reserves and long mining traditions. However, Mexico is more advantageous in terms of permitting, as processes are faster and less restrictive. Road access is also more challenging in Peru, as the country has a more rugged topography and infrastructure projects are less developed. Another important difference between both countries is that large-scale, open-pit mining is much more prevalent in Peru, while underground mining is more widespread in Mexico.

What is Calidra’s approach to sustainability in terms of security, environment and corporate social responsibility?

Calidra’s sustainability goals include reaching zero accidents and zero environmental incidents, reducing our carbon footprint and using renewable energies. In Mexico, we have already worked with eolic and photovoltaic energy and now, for the first time, we are setting up a project with photovoltaic energy in Peru. Calidra also makes substantial efforts to have a good relationship with local communities, especially by hiring local people to work in our facilities.

Our Process Safety Assurance (PSA) project encompasses the three dimensions of security, environment, and social responsibility. This methodology has already been implemented in Mexico, and since the beginning of 2021, we have worked to apply it in Peru as well. In fact, we expect to have 80-90% of the program implemented in Peru by the end of the year, and to advance even more in the coming years.

What are Calidra’s objectives for the near future and its growth strategy in this timeline?

We aim to maintain the company’s continuous growth and to reach 15% growth in southern Peru. We expect to participate in future mining projects, covering 50% of these projects’ lime demand. It is also important for us to maintain our current clients and to expand our installed capacity.

Calidra has vast experience in lime production and management, which is an important input in mining processes. We will continue to be the mining sector’s strategic ally, supporting processes and reducing their costs.

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