The 2017-2018 Guide brings together key information on the mining industry in Peru that should be considered by investors.
This mining & investment guide is the first, and still the finest, handbook of its kind. This document has been structured to serve as an initial step in the process of evaluating the mining landscape in Peru. As such, it will be useful to those who contemplate at least the possibility of making long-term investments into the exploration and development of new mines in the country.
This publication has brought together several of the mining industry’s leading professionals from EY Peru, with a mix of legal, tax, economic and accounting backgrounds, to share their unique insights and explain the key elements for a successful expansion by international mining and metals companies into Peru.
Within this guide we have examined various aspects usually taken into consideration by miners and investors from around the world before making critical decisions on the development of new mining operations. Included in this guide is an overview of Peru’s political structure, business environment, macroeconomic profile, key indicators and outlook for the next years, geological potential, mining and metals sector trends and recent developments. The guide also provides access to essential information to assist foreign investors in understanding the regulations governing investment and in particular the legal, taxation and regulatory requirements to operate in Peru’s mining sector.
Importance of Peru’s mining sector
The mining sector is, and has always been very important to the national economy of Peru. Its well-known mining tradition dates back to the pre-Inca times, and goes on through the Inca, colonial and republican periods. In each of those stages, mining has been one of the major activities in the country’s development. Traditionally it has contributed about half of the country’s export revenues.
Peru is one of the most extensively mineralized countries of the world. It currently plays host to some of the largest precious and base-metals mines in the world, including, Glencore-Xstrata, Vale, Freeport-McMoRan, Rio Tinto, Anglo American, MMG Ltd, Chinalco and Barrick. Since the liberalization of the industry in the 1990s local and foreign investment – increasingly Chinese – has been deployed to develop major modern mines.