By Robert Kozak
LIMA, Peru--Protesters have removed a security gate on a road
leading into the area around the proposed Minas Conga copper and
gold mine project, although the company running the project says
the gate was placed legally.
Minera Yanacocha, which is hoping to develop the $5.0 billion
Conga project, said in a statement sent Wednesday that the security
gates were installed on private property and that it has the
permission of the Ministry of Transportation and
Communications.
On Tuesday afternoon a group of protesters reached a checkpoint
known as Namacocha and removed the security gate despite warnings
from the police. The protesters said the gates were blocking free
movement.
"Yanacocha's buses and trucks that transport police are impeding
free movement by community buses," said antimining activist Marco
Arana in a Twitter account in his name.
Minas Conga is one of the biggest private-sector investment
projects in Peru, and is being mainly developed by Newmont Mining
Corp. (NEM), which owns 51.35%, and by Peruvian precious-metals
miner Compania de Minas Buenaventura SAA (BUENAVC1.VL).
The companies have faced difficulties developing the project due
to opposition from local politicians and residents concerned that
it will affect their water supply in the northern region of
Cajamarca. Construction has been put on hold while the companies
build reservoirs that would provide water to residents.
Minas Conga could have an average annual output of 580,000 to
680,000 ounces of gold and 155 million to 235 million pounds of
copper during its first five years.
"Yanacocha regrets the events that took place and as a
law-abiding company will continue with legal actions in order to
enable the authorities to identify and eventually punish those
responsible for the illegal actions," the company said.
Write to Robert Kozak at robert.kozak@wsj.com
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