While it did not disclose the costs and planned capital expenditure for the Albany project, Rio has previously said the deposit had enough potash to sustain a low cost operation for decades.
The country is also struggling with rising energy cost, which threatens the competitiveness of its copper industry and poses a major challenge for new developments.
Cajamarca region governor Gregorio Santos was ordered to jail for 14 months amid a corruption probe. Supporters claim he is being target of political repression for opposing Newmont's mine.