Contracting
Peru Mining Production & Investment Drop Amid Pandemic
BNamericas reported that both mining investments and production keep falling in Peru as result of the COVID-19 pandemic. According to the latest statistics from the energy and mines ministry Minem, significant drops in the production of copper, gold, silver, lead, iron, zinc and tin occurred between January and May. Only molybdenum was not affected and registered an increase. Just in May, copper production fell 41.2% year-on-year. Although several companies were resuming operations that month as part of the government’s economic reactivation plan, some like Antamina entered a period of adjustments and others continued only with critical operations while waiting for authorization to resume full activity.
Gold production in May registered a 65.1% drop compared to the same month last year as companies such as Minera Ares and Barrick Misquichilca halted their operations to reduce the risk of COVID-19 infections. Yanacocha, Shahuindo and Gold Fields began the reactivation process.
The ministry also reported that between January and May mining investments fell 24.5% to US$1.55bn, compared to US$2.06bn registered in the same period of 2019. Investments in mining equipment dropped the most, 40.3%, while exploration investments fell 30.1%, and infrastructure 11.9%.
