Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
Brazil’s Nexa Resources (TSX, NYSE: NEXA) and the Chavín y Valle de Topará farming communities in Peru’s western department of Ica, reached a deal related to the benefits people are expecting to receive for allowing the Cerro Lindo operation near their respective towns.
Following a long negotiation process that required the intervention of the Ministry of Energy and Mines, the company agreed to sponsor pre-professional and professional programs for youth in both communities.
A new round table between Nexa and the community of Chavín will take place in January 16-17, 2020
According to a media statement issued by the ministry, Nexa will be offering 10 pre-professional practicums during the first half of the year and will open applications for 10 professional practicums in the second half of 2020.
The Brazilian miner also agreed to organize a visit to its polymetallic underground operation so that authorities and community representatives can assess labour conditions.
In an email to MINING.com, Nexa said that its goal is to “continue contributing to the harmonious development of the areas of influence of the Cerro Lindo unit, a plan that contemplates initiatives to promote the hiring of a local workforce.”
Cerro Lindo is a volcanogenic massive sulfide deposit that comprises a number of lens-shaped massive and semi-massive sulphide bodies. The operation comprises an underground zinc-lead-copper-silver mine, a conventional comminution flotation process plant, a coastal desalination plant, and associated infrastructure.
As of July 31, 2019, proven and probable mineral reserves estimates amounted to 50 million tonnes, while measured and indicated mineral resources were calculated in 5.4 million tonnes.
Mine life at Cerro Lindo is forecasted in eight years using the existing mining capacity and infrastructure.
