Newmont Sticks to Mine Investment Delay, Dashing Peru Hopes

(Bloomberg) -- Newmont Corp. has no plans to expedite a decision on its $2.5 billion Yanacocha Sulfides project, dashing the Peruvian government’s hopes of a forthcoming announcement.

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Peru’s Energy and Mines Minister Romulo Mucho told a local outlet that he hoped Newmont would announce a commitment to the project later this month, when Chief Executive Officer Tom Palmer is scheduled to speak at a conference in Lima. But in a written response to Bloomberg, Newmont said the time-line remains unchanged, with no decision expected before at least 2025.

Read More: Newmont Delays $2.5 Billion Peru Project Amid Newcrest Takeover

“We will continue to work closely with government stakeholders, business partners and local communities in Peru as we prepare for a future investment decision on the Sulfides Project,” the company said in a statement.

Peru’s economy is largely dependent on mining, but new investments have become scarce, slowing growth. Mucho said he sees potential for mining expansions in the short term, such as Yanacocha Sulfides, but not for the construction of brand new mines.

(Recasts story with statement from Newmont)

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