MINING OUTLOOK 2010
The global economic crisis in our century will be remembered as one of the most difficult because even we do not fully dimensioned.
The new financial landscape seems to be established in China since the ability of the Chinese ruler was to maintain its economic dynamism through the construction of mega-projects pushing for an overall recovery supported by domestic consumption growth and facilitating demand raw materials of many emerging countries that have established solid foundations for the best price you are generally commodities, especially copper.
In this scenario, many mining companies are regaining the projects that had been left frozen when the crisis erupted and everything points to a recovery in investment levels. Most investment activity, however, not be accompanied by significant increases in production in Protected content .
In Peru, however, investors can expect some reluctance since Protected content a pre-electoral year that could lead to an increase in political activism, especially in the interior of the country, where mining has faced protests from some communities .
On the side of exploration activity is also expected to recover after the sharp fall that showed that spending in Protected content , although with significant limitations on access to capital markets by new corporate investors.
Moreover, as demand for copper has driven prices of this metal, grows a concern shared by everyone from commodities to manufacturers of microwave: the lack of new fields to exploit. The upshot is that the world has unusually low levels of copper, which is bad news for the global economy. Considering that copper is one of the most important industrial metals, since it is used in everything from electrical wiring to plumbing to the minting of coins.
Given this scenario and with great mineral resources, it is necessary to rethink the negotiations with mining companies in Peru and that could push for more revenue for the national treasury.