Chinese Miners Lead Battle For Peruvian Copper Mine
News: Sources involved in the sale of the Las Bambas copper mine in Peru have suggested that two groups of Chinese mining companies are winning the battle to secure the mine from Swiss mining company Glencore Xstrata , Mineweb reports. Rival Chinese mining companies Chinalco and Minmetals are thought to be leading the bidding process, with US gold producer Newmont Mining also in the running . Bids are expected to be in the region of CNY36.1bn (US$5.9bn) .
BMI View: We forecast Peru's mining sector will grow steadily over our forecast period, driven primarily by investment in both base and precious metals. We forecast Peru's mining sector will grow an average of 4.3% a year through to 2017, reaching a value of US$23bn. Various projects remain in early development and construction phases, and the sector presents promising growth opportunities for miners of a wide array of minerals. Investment from mining companies through to 2020 is currently estimated at US$53bn, although continued protests by local communities may reduce this figure as project delays mount and costs continue to rise.