MMG warns that community protests are not resolved

Kitco Media
By Michael McCrae
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Top-five copper miner in Peru, MMG, warned today that protests against its operations are still threatening production.

The company released its 2Q today, showing total copper production was 44,514 tonnes, a decrease of 52% compared to Q1 2022.

The company said it was temporarily withdrawing guidance due to "...impacts arising from the extended shut at Las Bambas and uncertainties regarding dialogue outcomes."

The company has faced months of disruptions. In December the miner said the mine would shut down due to protests and blockades. The Peru government has attempted to mediate.

“During the second quarter our Las Bambas team has continued to engage with ongoing dialogue and every effort has been made to transparently and comprehensively review the existing commitments with community members. We are thankful to the Government of Peru for their efforts in seeking a resolution to the current impasse and we remain committed to ongoing dialogue,” said MMG interim CEO, Liangang Li.

“Las Bambas is a major contributor to the local, regional and national economies of Peru and MMG has provided significant social investment and business support to local communities since we started production in July 2016. This world-class operation has a bright future and we will continue to drive our contribution to our local communities, the broader Apurimac region and at a national level, to Peru,” he added.

On its website, MMG describes Las Bambas as one of the world’s largest copper mines, with an annual nameplate throughput capacity of 51.1 million tonnes and annual production expected to be between 300,000 to 305,000 tonnes of copper in copper concentrate.

MMG acquired Las Bambas from Glencore in 2014.

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Michael McCrae

Michael McCrae is leading Kitco's coverage of the mining sector. McCrae, who has both an MBA and CMA, knows how to build digital media properties. He was co-founder and publisher of MINING.com, an award-winning news site. Before coming to media, McCrae worked in IT and banking. Please reach out: mmccrae@kitco.com or (514) 670-1383. You can also follow him at @michaelmccrae.

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