Re: Mining Protests In Peru
in response to
by
posted on
Dec 03, 2011 10:23PM
Keep in mind, the opinions on this site are for the most part speculation and are not necessarily the opinions of the company WITHOUT PREJUDICE
LOL, yes we have to be real, but I think I can find ways around everything. I am strong willed.
The political risk will always be a risk, wherever you go. The general thing is, you can,t mine without changing the ecosystem in some way. Investors get leary when they read stuff like this and have every right to.
I look from a different perspective on the political risk. Humala does have his hands full with genuine problems concerning the pollution of the nations water source. These big min ers are just gonna have to find cleaner ways to mine, period. The dry stacking is one I found quite interesting.
The Tesoro, I don,t think, should have a problem with pollution. You have Dynacor permitted and running a profittable business, sitting right beside the Acari River. If you look on Google Earth, you can see numerous leach pads uphill from the river. If you look south, around the Chorunga mine, there are similar operations scattered above the rivers there. Now the scale of the mines mentioned is really small in comparison to the Yanacocha mine, but they are there and operating.
For the Vilcoro, Barrick has an operating mine close by with no current conflict there, that I know of. So it should be not much of a problem there.
Humala needs the revenue that mining brings plus he has to protect the water supply. I expect to see comprimising with maybe Humala diverting some of the newly increased revenue from mining, put in the form of a subsidy, to help these miners upgrade their pollution control. It would be a comprimise and help keep the investing incentive there. Also it would allow these mines to continue, employ more locals and make them happy that their water will be safer to consume. It would be a big step in resolving this issue, not only for Peru, but the rest of the world as well. I see China is willing to put some of their money back into the U.S. in the form of infrastructure upgrades. I think this is a new important concept that will get the world economy stabilized and maybe even booming again. The Chinese could do something like this in Peru to help out and establish better economic ties that will enable them to share in the metals there further as an incentive.
IMO