Peru is one of the world's leading mining countries; a top five producer of many of the worlds precious and leading base metals. Numerous economic resource discoveries have been made throughout the country and much of the land remains largely underexplored.
The Peruvian Government estimates at least 6500 small scale independent miners are currently producing approximately 3,000 tons per day of high grade gold ore from near surface epithermal vein systems in Northern Peru. Some estimates have placed these numbers much higher. As there are no significant ore processing facilities in the region, many miners are currently trucking 400 - 600 tons a day of this ore roughly 1400 kilometers for processing, at a high capital and opportunity cost.
There are significant prospective resources in Northern Peru, however, foreign prospectors have had mixed success working with the locals. The most notable difficulty was the high potential gold deposit at Tambo Grande, which resulted in a bitter dispute between the mining company that owned the rights to the land and the locals who resisted their efforts to develop it. The traditional staking model often pushes the locals away from resources that have helped support their livelihood. The local community can be resistant to large scale mining in order to preserve the small scale mining industry, potentially making a mineral processing plant an ideal fit.
For more information on the Peru Project, please contact Canada Gold.
