PUBLICATION

Global Business Reports

AUTHORS

Elisa L. Iannacone, Laura Brangwin, Alfonso Tejerina, Irina Negoita, Miguel Pérez-Solero, Josie Perez, Katie Bromley

MINPER - PERUMIN Official Investment Guide 2015

September 22, 2015

With some degree of uncertainty about the future evolution of commodity prices and the presidential elections in Peru next year, delegates are gathering in Arequipa for the 32nd edition of PERUMIN Mining Convention, one of the key mining shows worldwide.

While community issues around the Tía María copper project are also worrying investors, the truth is that Peru has seen a good number of projects advancing and even nearing completion during 2015, including Hudbay Minerals’ Constancia, MMG’s Las Bambas, Freeport McMoRan’s Cerro Verde expansion, and Hochschild Mining’s Inmaculada.

Adapting to the current environment of low metals prices will be key for operators and providers alike, but considering the diversity of mines and projects that Peru offers, the country’s mining industry will continue to be a key generator of investment, employment, and development.

MINPER 2015 analyzes all these challenges through the voice of the relevant industry leaders, and is being distributed to over 7,500 delegates at PERUMIN.

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It is said that mining is a patient industry. Current demand projections are not. Demand for minerals deemed ‘critical’ is set to increase almost fourfold by 2030, according to the UN. Demand for nickel, cobalt and lithium is predicted to double, triple and rise ten-fold, respectively, between 2022 and 2050. The world will need to mine more copper between 2018 and 2050 than it has mined throughout history. 2050 is also the deadline to curb emissions before reaching a point of ‘no return.’ The pace of mineral demand and the consequences of not meeting it force the industry to act fast and take more risks. Mining cannot afford to be a patient industry anymore. The scramble for supply drives miners back to geological credentials, and therefore to places like the African Central Copperbelt.

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MACIG

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