Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious Outperformance
Find Stocks Now

UPDATE 1-Peru mines minister predicts record copper output for 2021

Published 10/03/2021, 03:51 am
Updated 10/03/2021, 03:54 am
© Reuters.

(Updates with additional detail on source of production, quotes from minister, context)

By Marco Aquino

LIMA, March 9 (Reuters) - Peru's copper output could hit a record 2.5 million tonnes in 2021, well over the 2.15 million tonnes produced last year, Energy and Mines Minister Jaime Gálvez said on Tuesday.

Gálvez said recent mine expansions would help the world's No. 2 copper producer boost output, as well as the opening in April or May of the $1.6 billion Minas Justa project, owned by Minsur MINSURI1.LM .

"This will compensate for the problems that still exist in the copper industry as a result of this second wave of the coronavirus," Gálvez said in a press conference call.

Local copper production plummeted last year due to strict restrictions placed on mines when the coronavirus pandemic first struck the South American nation. Output has since gradually recovered.

Peru's top copper producers last year were Southern (NYSE:SO) Peru Copper SPCCPI1.LM and Antamina - controlled by BHP BHP.AX and Glencore GLEN.L , according to data from the Ministry of Energy and Mines. said that Peru could produce up to 3 million tonnes in 2023, provided new projects continue to come online as expected. He noted that forecast would "depend a lot on the political stability of the country...after the electoral process."

Peru is slated to hold presidential elections on April 11 after a tumultuous year of political and coronavirus-related crisis that has badly dented the country's economy.

The country's projections for increased production, however, coincide with a soaring copper price CMCU3 in 2021, as a nascent global economic recovery has prompted demand to boom for the commodity, used in construction and manufacturing. outlook for copper prices remained strong thanks to strong demand from China and the United States' $1.9 trillion stimulus bill, according to market analysts. Peru's Southern Copper: global price rally spurring new projects

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

ANALYSIS-Chile's big copper producers cheer price spike; wary of costs

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.