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Peru Govt: Southern Copper Needs To Explain Tia Maria Impact19 days ago
LIMA (Dow Jones)--Peru's mining ministry repeated demands Monday that Southern Copper Corp. (PCU) better explain the impact its proposed copper mine project in Tia Maria will have on local water supplies.
It made a similar request last week following protests in the area.
"We are asking the company to adequately communicate the alternatives they are evaluating to carry out the project without any environmental impact," Peru's vice minister for mining, Fernando Gala, told local TV station Canal N.
Gala said there were perceptions the project could diminish the local water supply and damage other sectors such as agriculture.
The mine, in the southern Peruvian region of Arequipa, is expected to produce 120,000 tons of copper annually as of 2012.
In the same interview, Gala reiterated government demands that Doe Run Peru guarantee 100% of its environmental clean-up costs, and repeated hopes that polymetallic smelter operations restart within the first three months of 2010.
Doe Run's smelter in La Oroya, one of the world's most polluted towns, has been closed since June this year due to problems with cash flow and environmental pollution. Last month, the government gave Doe Run an extra 30 months, as of Nov. 1, to complete an environmental clean-up operation.
-By Sophie Kevany, Dow Jones Newswires; 51-198-903-8043; peru@dowjones.com
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