Peruvian Mining

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www.minem.gob.pe consultas_dgm@minem.gob.pe


PERU Mining Sector

Febrary, 2013


STRATEGIC LOCATION

Located right in the middle of South America and the World, Peru has an strategic location that allows easy access to Southeast Asian markets and the United States. Also, as a member of the Asia-Pacific Economic Cooperation (APEC) and the Andean Community enjoys the advantages of being integrated to these markets.

ASIA

• Canada * • United States * • Mexico*

• Australia • China * • South Korea * • Malaysia • Singapore * • Thailand • Japan

• Cuba • El Salvador

OCEANIA

PERU PACIFIC OCEAN

* FTA

ATLANTIC OCEAN

• Germany • Begium & Luxembourg • Denmark • Spain • Finland • France • Netherlands • Italy • Norway • Portugal • United Kingdom • Czech Republic • Romania • Sweden • Switzerland

• Argentina • Ecuador • Bolivia • Paraguay • Chile * • Venezuela • Colombia

Peru has signed Bilateral Investment Treaties and Free Trade Agreements, which consolidate our policy of openness. Moreover, Peru has signed Double Taxation Agreements with Brasil, Chile and Canada.


MACROECONOMIC INDICATORS


MACROECONOMIC INDICATORS


MACROECONOMIC INDICATORS


MACROECONOMIC INDICATORS


MACROECONOMIC INDICATORS


MACROECONOMIC INDICATORS


MACROECONOMIC INDICATORS


LEGAL STABILITY FOR INVESTORS


INVESTMENT GRADE


PERU IN WORLD MINERAL PRODUCTION RANKINGS

Peru is the largest producer of gold, zinc, tin and lead in Latin America. Worldwide is the third largest producer of copper, silver, zinc and tin.

Source: U.S.Geological Survey-USGS-, The Silver Institute; Gold Fields Minerals Services-GFMSInternational Copper Study Group -ICSG-; International Lead and Zinc Study Group-ILZSGInternational Tin Research Institute - ITRI-; International Molybdenum Association-IMOAInstituto Latinoamericano del Hierro y el Acero - ILAFA-


MINING AND PERUVIAN EXPORTS TIN IRON ZINC

Metallic and nonmetallic minerals represent almost 65% of total Peruvian exports.

LEAD COPPER

GOLD

In the last years, Peruvian mining exports have increased eight times its value, and together represent over 65% of its total exports. In its wide polymetallic and non metallic range, copper and gold are products that lead peruvian exports.


MINING INVESTMENT

The notable increase in mining investment in Peru has lead to an historical record the year 2012: more than US$ 8,500 millions, most of which was invested in infrastructure, production and exploration.

Source: Ministry of Energy and Mines Peru


MINING INVESTMENT

MINING EXPLORATIONS INVESTMENTS (US$ MILLION)

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There are about 400 mining units under exploration and some more in early prospecting. Exploration investments in Peru have sustained its growth for over six years and the last four year it has shown significant development. Peru remains among the first investment destinations for exploration budgets worldwide.

Source: Ministry of Energy and Mines Peru


ESTIMATED INVESTMENT PORTFOLIO: TOP MINING PROJECTS

ESTIMATED PORTFOLIO OF INVESTMENT PROJECTS: US$ 54,680 Millions The estimated portfolio includes important Expansions and New Projects, mainly copper, gold, zinc, and others.


The estimated portfolio includes important Expansions and New Projects, mainly copper, gold, zinc, and others.

US$ Millions EXPANSION

9,058

WITH APPROVED EIA

17,963

UNDER EXPLORATION

23,713

TOTAL

54,680


COPPER PROJECTS

Peru is the third largest producer of copper and second in reserves worldwide MEGAPROJECTS COPPER WITH AN INVESTMENT OF:

US$ 34,937 million 63.9% estimated portfolio correspond to copper projects

The operation of these projects next triple domestic production Current copper


GOLD PROJECTS

Peru is the largest gold producer in LATIN AMERICA MEGAPROJECTS GOLD WITH AN INVESTMENT OF:

US$ 7,302 million 13.35% estimated portfolio correspond to gold projects


SILVER PROJECTS

MEGAPROJECTS SILVER WITH AN INVESTMENT OF:

US$ 1,026 million SAN LUIS

Ancash

Huánuco

RONDONI

1.88% estimated portfolio

correspond to silver projects

Junín

PALLANCA Cusco

CORANI Ayacucho

CATANGA ESTE

INMACULADA CHAQUELLE

Puno

Arequipa


IRON PROJECTS

MEGAPROJECTS IRON, WITH AN INVESTMENT OF:

US$ 6,780 million 12.40% estimated portfolio correspond to iron projects


MODERN MINING IN PERU

W AT E

R TU UL RIC AG

R

INVESTOR

COMMUNITY The state came from the beginning

MINING

PROJECT

E

SUSTAINABLE DEVELOPMENT

STATE SUSTAINABLE DEVELOPMENT


MODERN MINING WITH SOCIAL ENVIRONMENTAL RESPONSIBILITY AMBIENTAL Legislación minera - ambiental Respeto al ambiente Estudios ambientales Rigurosos Estándares Nacionales Estándares Internacionales Sistemas de Gestión Ambiental Innovación tecnológica

SOCIAL Empleo Directo Local, regional y nacional Empleo Indirecto Programa de Desarrollo Sostenible Fideicomisos Sociales Apoyo a la Producción Compras Locales y nacionales Aporte Voluntario

ECONÓMICA Impuestos y Tributos Canon Minero Regalía Minera Derecho de Vigencia y Penalidad Aporte Voluntario Aranceles e ISC Fondo Empleo

We promote a sustainable mining development in three areas: economic, social and environmental. We promote a continuous dialogue with the communities with the aim of achieving socio-environmental agreements and licenses and the strict accomplishment of all the international standards in force. What do we expect from the Mining Investor? • Productive investment, non-speculative

• Environmental excellence • Social Responsibility excellence •We expect modern businessmen, integrated to the community and compromised with its development.


www.minem.gob.pe consultas_dgm@minem.gob.pe


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