Bloomberg News

Peru Hasn't Set Deadline to Authorize Newmont Project

April 27, 2012

Peru hasn’t set a deadline for the authorization of Newmont Mining Corp. (NEM:US)’s suspended $4.8 billion Minas Conga gold and copper project, Energy & Mines Minister Jorge Merino said.

A government-commissioned review recommends “permanent” environmental monitoring of the project, halted by protests last year, Merino said today at a news conference in Lima.

“We hope to put in black and white as soon as possible an agreement with the company to comply with these technical recommendations,” Merino said. “But there is no timeline.”

Peru suspended the project and commissioned an environmental review after Andean farmers, concerned that the project would dry up water supplies, blocked roads and destroyed Newmont installations in November.

The company has “other options” if the report’s recommendations make Conga too expensive to build, Chief Executive Officer Richard O’Brien said today on a conference call.

Newmont rose 0.3 percent to $47.86 at the close in New York. The stock has dropped 20 percent this year.

To contact the reporter on this story: Alex Emery in Lima at aemery1@bloomberg.net

To contact the editor responsible for this story: Dale Crofts at dcrofts@bloomberg.net


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Companies Mentioned

  • NEM
    (Newmont Mining Corp)
    • $18.79 USD
    • -0.06
    • -0.32%
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