Categories: Economy

Poderosa expects to surpass 2023 results, but multiplies its security spending by 10

Poderosa expects to surpass 2023 results, but multiplies its security spending by 10

The Corporate Affairs Manager of Minera Poderosa, Pablo de la Flor, announced that this year the mine expects to produce close to 300,000 ounces of gold, despite the complicated situation in Pataz due to the constant attacks by illegal mining on its operations.

Poderosa is Peru’s main gold supplier. Last year alone, it closed its fiscal year with 296,039 ounces extracted. The Government has declared a state of emergency in Pataz and Trujillo, while the company reinforced its security.

In dialogue with the “Mining Dialogues” program, of the Institute of Mining Engineers of Peru (IIMP), De la Flor also said that, as a company, they are excited due to the explorations they will carry out this year in the departments of La Libertad and Huánuco.

After remembering that, for the second consecutive year, the company leads the ranking of companies that invest in exploration with a value close to US$60 million, he maintained that they maintain this same momentum, so in 2024 they will explore in Santa María, Marañón and other areas in Huánuco.

“We are in an area that has important resources and we have to value them, so we are very excited about the possibilities that this represents in the future with investments in exploration in Santa María, in Marañón, also exploring areas in Huánuco. In short, the entire length and width of the Pataz Batholith,” De la Flor highlighted.

“Last year we were at almost US$60 million, which is a little more than 12% of the total investment in exploration in the country, last year Poderosa was in charge. In the last 5 years, almost US$300 million has been allocated to exploration,” she added.

Powerful: less revenue from security cost overruns

However, the Corporate Affairs manager of Minera Poderosa revealed that the company has multiplied its security budget by 10, due to the constant attacks by illegal mining on its operations in Pataz, an area that has been declared in a state of emergency by the Executive power.

“There has been a notable increase in police presence in the area. Now we have an Army presence and we, at the same time, have had to reinforce our heritage protection, especially last year. Currently, our budget dedicated to these tasks has multiplied by 10 compared to the situation we had before the pandemic,” he said.

To date, the company has approximately 1,200 security guards guarding its assets. This deterioration in security conditions has translated into higher costs and there is a decrease in competitiveness as a result of these attacks and defense against illegal miners.

As recalled, on December 2 of last year and January 25, illegal miners attacked the Minera Poderosa facilities, leaving a total of 17 injured and 9 dead.

Source: Larepublica