Peru Mining – Projects to Watch for in 2025

Peru is a prime destination for mining companies seeking high-quality mineral deposits. As the second-largest producer of copper globally, it also ranks among the top producers of silver, lead, zinc, tin, and molybdenum.

In recent years, Peruvian miners have significantly increased their investments in advanced technology, equipment, and services, making the country an attractive market for suppliers in the mining industry.

According to projections from the Peruvian Ministry of Energy and Mines (Minem) earlier in 2024, the mining project pipeline now includes 51 projects, representing a total investment of US$54.5 billion. This marks a 2.7% increase (US$1.4 billion) from last year, reflecting the removal of some projects and the addition of six new initiatives.

As we approach 2025, several projects are worth watching closely, as they have the potential to begin construction in the near future.

Projects to Watch for in 2025

Zafrana (USD$1.26bn)

• Compañía Minera Zafranal (CMZ) is the owner the project. Teck has an 80% stake in CMZ while the remaining 20% is held by Mitsubishi Materials Corporation (MMC).
• Zafranal has an expected mine life of 19 years. The project’s original budget was USD$1.26bn but Teck has acknowledged that the cost will be most likely be over USD$2bn.
• Copper ore processing, including crushing, grinding, flotation, thickening and filtering, will be carried out in a concentrator plant with a processing capacity of up to 80,000 tonnes of ore throughput per day. The mine and concentrator are expected to produce an average of 133,000 tonnes of copper contained in concentrate during its first 5 years of production.
• Surface rights and construction permits are pending, while the environmental impact study was approved. While detailed engineering is on-going, executives have commented to media recently that they expect construction could start in the third quarter of 2025.

Corani (USD$679mn)

• Bear Creek’s wholly owned Corani deposit is one of the largest fully permitted silver-polymetallic deposits in the world.
• The future mine will have a 15-year mine life and will produce 8 million ounces of silver per year, as well as more than 47,000t of zinc and 16,000t of lead per year.
• Bear Creek has obtained all infrastructure permits for its US$679mn Corani silver project in Puno. This is up 20% from the original budget due to inflation.
• The project has been granted all key permits, including an approved environmental and social impact assessment (ESIA), construction permits and accreditation of water availability. It was also the first industrial project in Peru to undergo the state-run Consulta Previa process for which it received 100% community support.
• The Corani project consists of 3 open pits that will last 5 years each. The project is being developed using conventional drilling and blasting. The mining plan includes the delivery of approximately 7.88Mt of ore a year (22,500t a day) to the crushing unit.
• The silver-lead-zinc deposit will be accessed through a new 63km-long road, which will be connected to the Interoceanic Highway that further connects to the Port of Matarani.
• While executives acknowledge that construction should have started already, the company is doing a new preliminary economic assessment that will extend the mine life to 18 years. They expect construction to start in 2025.

Coroccohuayco Integration (USD$1.5B)

• The US$1.5 billion Coroccohuayco Integration brownfield project, located in the Cusco region, is owned by Compañía Minera Antapaccay (Glencire) and is set to continue the operations of Antapaccay which is only 12km away.
• The Peruvian Ministry of Energy and Mines reports that the new pit contains 643 million tons of mineral resources with a copper grade of 0.6%. The project is expected to have a 15-year lifespan, with an estimated annual production of 100,000 tons, increasing Antapaccay’s total output to 250,000 tons per year.
• The project would extend Antapaccay’s life of mine until 2043 has no formal construction date, but some industry insiders believe it could be kicked off in 2025.

San Gabriel Gold Project (USD$650m)

• The USD$650m project by Buenaventura  is expected to produce 150,000 ounces of gold annually, with reserves of 1.9Moz and a 14-year mine life.
• The start-up was recently announced to be delayed to Q4 2025 (originally planned for late Q3 2025).
• Current completion: 65%; US$299 million left to spend, with US$219 million committed and US$80 million pending.
• Project milestones for 2025:
  • 1Q25: Complete waste landfill and primary crusher construction.
  • 2Q25: Complete tailings dam, leaching plant, filtration plant, and grinding plant.
  • 3Q25: Finalize water dam, power supply, commissioning, and obtain operational permits.
  • 4Q25: Begin commercial production.
• Recruitment and training for staff are ongoing, with a pre-operational testing team ready by Q1 2025.

Antamina Operational Continuity (US$2bn)

• The project will allow the company to extend its operations from 2028 to 2036. 
• Among the main modifications are the expansion of the footprint of the open pit, and the expansion and optimisation of the dumps and tailings dam. 
• The mine area will be increased by 25% and the open pit will be deepened by additional 150 m will be deepened. Up to 173,000 t/d of ore will be extracted, with a waste movement of up to approximately 742,000 t/d.
• There will be replacement of the primary ore crushing station and installation of a new Waste 2 rock crusher. Two new tunnels will be built along with associated conveyor belts: one for ore towards the processing plant and the other (Waste 2) for waste towards a spreader at the waste dumps. The conveyor belt system will complement transportation by mining trucks, which will remain at the current levels. The Waste 1 part of the project involves optimisation of the existing waste crushing and transportation system to the waste dumps.
• Antamina will also optimise some equipment and processes in the processing plant in the main stages of crushing, grinding, classification and flotation, to reach a capacity of 208,000 t per day and maintain the annual production volume, through the replacement, modification and/or addition of equipment in seven areas.
• Preliminary works are set to begin in 2025, but the government’s granting of a construction license is still pending.

Tia Maria Project (USD$1.8b)

• The Tia Maria copper mine is a greenfield project located in Southern Peru. Southern Peru Copper Corporation, a unit of Grupo Mexico, owns 100% of the project.
• The project was originally expected to cost USD$1.8b but the company acknowledges that the price will likely rise due to inflation.
• The project is expected to produce 120,000 metric tons (mt) of copper from two open pits Tapada and Tia Maria over a mine life of 20 years. The Tapada deposit will produce 40,000t per year – and then the Tía María deposit – 80,000t per year.
• During construction, 3,600 direct jobs are expected to be generated, in addition to numerous indirect jobs in the sector. During the operation phase, 5,400 jobs are expected to be created.
• The crushed ore from the primary crusher located near the pit will be transported via a conveyor to the coarse ore storage with a capacity of 60,000t. The ore will be then fed into three lines of secondary crushers followed by six tertiary crushers.
• Desalinated seawater will be used for mining operations, requiring the use 235l/s of water during its operation, which will be transported through a series of pipelines. Of the total seawater collected, 40% will be used in the mining process and 60% will be returned to the sea in the form of brine.
• The project can be accessed from the Pan American Highway in the Cachendo sector through a 5km paved road, which will be modified to an all-weather access road. A new 32km railway line from Guerrero to the mining facilities will also be constructed. The final copper concentrate will be transported via a rail to Matarani port for export.
• Power supply required during construction will be met with portable electric generators. Once mining operations start, power will be received from the Montalvo substation.
• According to the latest presentation of results, in 2025 more than US$360 million will be allocated for works with the aim of starting commercial operations in 2027, 

Conclusion

The Peruvian mining industry offers significant potential, but challenges remain that cannot be overlooked. On the positive side, the country has a robust project pipeline capable of supporting global copper production if these projects move forward. However, progress is hindered by lengthy permitting processes, social conflicts, and concerns over political stability.

The government has prioritized addressing these barriers to encourage investment. Efforts are underway to streamline permitting processes and hire additional staff to expedite project reviews. While these steps are promising, social conflict remains a persistent issue without a clear resolution. The government continues to balance its support for the mining industry with efforts to address the demands of local communities.

Despite these challenges, Peru remains an attractive market for mining suppliers, and the pipeline of potential projects only adds to its appeal. Over the past decade, the country has significantly increased its copper production, and this growth is expected to continue. With the potential for a tight copper market in the future, Peru is well-positioned to play a critical role in meeting global demand.

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