Copper production in Peru will end 2017 at 2.7 million metric tons, up by over 10% from 2016, when extraction reached 2.4 million, the National Society of Mining, Oil and Energy (SNMPE) reported.
"2017 copper production could reach more than 2.7 million tons, a considerable jump compared to 2014, when only 1.3 million tons were extracted," SNMPE President Carlos Galvez told Andina news agency.
He explained this year's growth will be underpinned by the dynamism of megaprojects Cerro Verde (Arequipa) and Las Bambas (Apurimac), as well as the production of Toromocho (Junin), Antamina (Ancash) and Constancia (Cusco).
"As for Cerro Verde, which saw an expansion by the end of 2015, production was steady between March and April last year. This stable output will be an important contribution to growth this year," he commented.
He also said Las Bambas achieved stable production in May last year.
"Total copper output for this year might continue thanks to projects like Tia Maria or Quellaveco, which would result in a major qualitative change," he underlined.
Accordingly, Peru is expected to end up as the world's second largest producer of copper in 2017, just like last year, ahead of China and behind Chile, which takes the first spot.
"We will hold the second place worldwide; it is highly unlikely that other countries will overtake us. Let's move forward," he underlined.
Prices
On the other hand, Galvez referred to U.S. President-elect Donald Trump's plans to spend massively on infrastructure, as it will positively impact commodity prices.
"The construction and reconstruction of houses, announced by President-elect Trump, will be accompanied by higher demand for household appliances and the automotive industry development. All this definitely impacts the copper price," he noted.
All these qualitative changes have brought the copper price to about US$2.66 per pound.
"These factors show positive changes in the Peruvian economy, and we must take advantage of the situation. We cannot miss the boat of history," he pointed out.
(END) RGP/MDV/RMB
Published: 1/14/2017