• Connect with us
    • Information
      • About Us
      • Contact Us
      • Careers
      • Partnerships
      • Advertise With Us
      • Authors
      • Browse Topics
      • Events
      • Disclaimer
      • Privacy Policy
    • Australia
      North America
      World
    Login
    Investing News NetworkYour trusted source for investing success
    • North America
      Australia
      World
    • My INN
    Videos
    Companies
    Press Releases
    Private Placements
    SUBSCRIBE
    • Reports & Guides
      • Market Outlook Reports
      • Investing Guides
    • Button
    Resource
    • Precious Metals
    • Battery Metals
    • Base Metals
    • Energy
    • Critical Metals
    Tech
    Life Science
    Base Metals Market
    Base Metals News
    Base Metals Stocks
    • Base Metals Market
    • Base Metals News
    • Base Metals Stocks
    copper investing

    Southern Copper to Begin Operations at Michiquillay in 2022

    Scott Tibballs
    Jun. 13, 2018 04:45PM PST
    Base Metals Investing
    LSE:AAL

    Southern Copper’s CEO says the company hopes to conclude negotiations with locals in a year and begin a three-year construction period shortly afterwards to start production by 2022, three years ahead of schedule.

    The Michiquillay copper mine in Peru could be producing the red metal as soon as 2022.

    Southern Copper (NYSE:SCCO) CEO Oscar Gonzales says the company is aiming for an advanced timeframe. “It’s expected operations will start by 2022,” said Gonzales.

    “Hopefully we can do that once communities and the Cajamarca region give social approval of the project,” he added.

    Local media reported that Gonzales expects talks with communities to take a year, followed by construction, which should take another three years, allowing the mine to begin operations in 2022.

    In March, the company had projected Michiquillay would open in 2025 after a US$2.5-billion investment to make it one of the largest mines in Peru, with output of 225,000 tonnes of copper annually.

    Southern Copper acquired the mine in February of this year after purchasing rights to the project for US$400 million. Previous owner Anglo American (LSE:AAL) walked away from Michiquillay after experiencing financing issues.

    Aspirational plans to open Michiquillay three years earlier than originally envisaged might be inspired by ongoing frustrations with other projects in Peru. 

    For example, Southern Copper’s Tia Maria project in the south of the country has been stalled since 2015, holding up its projected 120,000 tonnes per year of production.

    Former Michiquillay owner Anglo American also has the Quellaveco mine to contend with. It is stalled as well, and has been for even longer, with its operations held up since 2013.

    Last month, Peruvian precious metals miner Buenaventura (NYSE:BVN) — which works with Southern Copper in the region already — confirmed it had approached Michiquillay’s owners to work together on optimizing development of the project.

    Buenaventura CEO Victor Gobitz said at the time that the two companies could “create more value” through working together on Michiquillay; a response from Southern Copper is pending.

    On Wednesday (June 13), shares of Southern Copper were trading down 1.23 percent in New York at US$50.51. Meanwhile, copper was trading on the London Metal Exchange at US$7,200 a tonne, down from a recent high of US$7,261 last week.

    Don’t forget to follow us @INN_Resource for real-time updates!

    Securities Disclosure: I, Scott Tibballs, hold no direct investment interest in any company mentioned in this article.

    anglo americansouthern coppernyse:sccolse:aalcopper investingnyse:bvn
    The Conversation (0)

    Go Deeper

    AI Powered
    Many copper bobbins and warehouse copper pipes.

    Top 10 Copper-producing Companies

    Copper pipes laid on top of each other in bundles.

    5 Best-performing Copper Stocks on the TSX in 2025

    Latest News

    Noble Announces Filing of NI 43-101 Technical Report for Previously Announced Mann Central and Mann West Initial Resources

    Vertex Minerals Limited Capital Raising Update

    Quarterly Activities/Appendix 5B Cash Flow Report

    Maiden Mt Boppy Open Pit Ore Reserve

    Blackstone Secures New Diamond Drill Rig to Advance Mankayan

    More News

    Outlook Reports

    Resource
    • Precious Metals
      • Gold
      • Silver
    • Battery Metals
      • Lithium
      • Cobalt
      • Graphite
    • Energy
      • Uranium
      • Oil and Gas
    • Base Metals
      • Copper
      • Nickel
      • Zinc
    • Critical Metals
      • Rare Earths
    • Industrial Metals
    • Agriculture
    Tech
      • Artificial Intelligence
      • Cybersecurity
      • Gaming
      • Cleantech
      • Emerging Tech
    Life Science
      • Biotech
      • Cannabis
      • Psychedelics
      • Pharmaceuticals

    Featured Base Metals Investing Stocks

    Blackstone Minerals

     
    BSX:AU

    Osisko Metals: Pure Potential

     
    OM:CA

    Los Andes Copper

     
    LA:CA

    Questcorp Mining

     
    QQQ:CC

    Cygnus Metals

     
    CYG:CC

    Redstone Resources

     
    RDS:AU
    More featured stocks

    Browse Companies

    Resource
    • Precious Metals
    • Battery Metals
    • Energy
    • Base Metals
    • Critical Metals
    Tech
    Life Science
    MARKETS
    COMMODITIES
    CURRENCIES
    ×