Pacific Alliance can be a pillar for the mining industry – experts

The four Pacific Alliance nations, Chile, Peru, Colombia and Mexico, must redouble their efforts to boost mining activity, a fundamental pillar for the post-pandemic economic reactivation, according to experts in the online conference "mining industry in the Pacific Alliance: a block for the world".

The chairman of the board of Peruvian company Minas Buenaventura, Roque Benavides, said that the four countries jointly have a portfolio of projects that will require investments of US$252bn over the next 10 years.

The projects include copper, gold, iron ore, molybdenum, silver, coal, nickel and polymetallic operations.

In the event, organized by the Chile-Peru chamber of commerce, the specialists also highlighted the potential of Peru and Chile to take advantage of their membership of the Pacific Alliance to support mining.

“Between Peru, Chile and Mexico we have more than 40% of world copper production, we have significant participation in gold in the world and we are important producers of iron and have very important lithium potential,” Benavides said during the event.

The Peruvian ambassador to Chile, Jaime Pomareda, highlighted the potential of these two particular countries to work together to make better use of mining resources.

According to the ambassador, the mining clusters in southern Peru and northern Chile could complement each other to creation production chains that are integrated and involve the other members of the Pacific Alliance.

Manuel Viera, president of the Chilean mining chamber, pointed out copper production in Mexico and Peru is already set to increase significantly in the next 10-15 years.

THE CHALLENGES

According to Benavides, two of the main challenges for the members of the Pacific Alliance are reforming mining institutions and preventing and managing the impacts of the industry.

Regarding the institutional framework, the expert highlighted the need for regulatory and administrative frameworks that can accelerate investment, reduce unregulated and illegal mining operations and highlight the nation's geological appeal.

On the issue of impact prevention, Benavides said that it is necessary to extend work with local communities.