The Michiquillay copper property in northern Peru. (Image: Southern Copper)
PERU – Southern Copper Corp., part of Grupo Mexico, is the winning bidder for the massive Michiquillay copper property in Cajamarca. The auction was held by Proinversion, the Peruvian investment agency.
Southern Copper’s bid was US$400 million and a 3% royalty.
Michiquillay has 1.15 billion tonnes of resources grading 0.64% copper (not 43-101 compliant). Annual production is estimated at 225,000 tonnes of copper plus molybdenum, gold, and silver. The estimated cost to put the project into production is US$2.5 billion. Southern Copper plans to restart production in 2015.
Go to the Southern Copper website by clicking here.