The National Maje Authoritys (Autodema) ended the procedure that sought to annul the temporary use of more than 12,000 hectares for the Zafranal mining project in the Arequipa mountains. This investment is in its culminating phases of evaluation. If the last permits are obtained, the first works will begin in 2025. They will add 441 million tons of copper sulfide ore to the country.
The dependency attached to Regional Government of Arequipa (GRA), published yesterday on its website, the resolution of the executive management 156-2023, which ends the controversy. Last May, Autodema initiated a procedure to annul management resolution 249-2022 signed by the previous manager Arturo Arroyo. In this document, the company was allowed to make temporary use of this area located between the provinces of Caylloma and Castileto develop the mining project: the exploitation of copper for a period of thirty years (this period includes the closure of the mine.
The right of usufruct was put into question since the previous management of the regional governor Kimberlee Gutierrez. A group of advisors and even the governor herself objected to the resolution signed by Arroyo.
In the new government of Rohel SanchezUp to three arguments were raised to annul the usufruct of the land. Based on an Internal Control report, it was argued that the company was not precise about the number of years that it would use the area; nor did it comply with depositing a monetary guarantee for an amount not greater than two UIT (Tax Tax Units). The central controversy was the appraisal, the amount to be paid for the use of the property. It was held that the assessment was derisory. From the interpretation of Autodema, the valuation should have been done by an address of the Ministry of Housing, Construction and Sanitation. Zafranal he turned to a private company, JP Planning SAC. The company clarified that the rate was not flat, it would vary according to the consumer’s price index and the progress of the project. An annual readjustment was planned.
Zafranal He made his defenses on May 10, 2023. All were acquitted. Regarding the appraisal, the Superintendence of National Assets was consulted. This entity agreed with Zafranal. The Ministry of Housing is not the only entity for valuations, they can do it privately.
project horizon
The lawsuit with Autodema was an obstacle overcome. The company has the Environmental Impact Study approved. Your next step will be to choose a company to design the mine. With the engineering file concluded, they will request the construction permit from the Ministry of Energy. The shareholders meeting will decide the disbursement of 1,263 million. If this schedule goes smoothly, construction of the mine will begin in early 2025.
mining project in figures
He Zafrana mining projectHe envisions a investment of $1,263 million. In the construction stage, more than five thousand jobs will be generated, between direct and indirect. During construction, Arequipa’s gross domestic product would grow by 4.8% in a favorable scenario.
With Zafranal the mining project could reach 490 million dollars, while the royalty contribution would be 120 million dollars.
Source: Larepublica
Alia is a professional author and journalist, working at 247 news agency. She writes on various topics from economy news to general interest pieces, providing readers with relevant and informative content. With years of experience, she brings a unique perspective and in-depth analysis to her work.
