Peru expects a combined $4 billion investment in iron ore projects in the coming years, according to government data.
The Peruvian subsidiary of Jinzhao Mining should invest $2.5 billion at its Pampa de Pongo iron ore project, while Shougang Hierro Perú expects to expand its Marcona iron ore mine by H2 this year by investing an additional $1.5 billion.
Preliminary research indicated the company’s Pampa de Pongo iron ore reserves may have some 1.2 billion mt of the commodity. The company has not provided a timeline to complete the project, but a media report said the mine could produce an estimated 22.5 million mt/year.
Shougang Hierro Peru’s Marcona mine should expand production to 20 million mt/year from 10 million mt/year.
The country’s ministry of mines and energy said this week mining investments in the country reached $363 million in April this year and $1.2 billion in the accumulated period from January to April 2018.
The investments represent a 53.2 percent year-on-year growth for April, when compared to the same month of 2017, and a 36.3 percent year-on-year growth for the January-April period.