📋 Tender Overview
The private initiative contemplates a total project amount of US$ 2,753 million, made up of an investment of US$ 759 million and operating expenses of US$ 1,994 million in the first 10 years. The Private Investment Promotion Agency - PROINVERSION and the Ministry of Energy and Mines (MINEM) declared of interest the promotion of the El Algarrobo mining project, located in Tambogrande - Piura, which includes a total project amount of US$ 2,753 million. The amount is broken down into investment of US$ 759 million and operating expenses of US$ 1,994 million in the first 10 years, according to the Pro-Mining and Energy Committee agreement No. 172-3-2024-ALGARROBO PROJECT and the Resolution of the Executive Directorate of PROINVERSION No. 57-2024-DEP.13.
The self-financed private initiative called Social Management, Design and Execution of Hydraulic Infrastructure Projects, Construction, Implementation and Exploitation of the Mining Concessions comprising the TG-3 El Algarrobo Deposit has been proposed by the Buenaventura Mining Company S.A.A. The first stage of the project prioritizes social management with the community linked to the project and the agreement for the implementation of a water project, to then continue with the exploration phase, preparation of bankable feasibility studies, environmental impact and construction engineering, commercial operation of the project until engineering for the closure of the mine (when operations are concluded), ensuring the rehabilitation of the area.
This is a polymetallic copper, zinc and silver project, which will begin with a production of 5 thousand tons per day and then scale up to 15 thousand tons per day. Likewise, with the feasibility studies the real dimension of the project will be determined, and it may be larger than initially estimated. The project will contribute significantly to the economic reactivation of the region, particularly in the agricultural sector, and will strengthen Perus position in the world mining ranking. Meanwhile, the formation of Participatory Monitoring Committees is contemplated, made up of local representatives, who will supervise environmental aspects, such as water quality, and disseminate the results of the monitoring.
Additionally, El Algarrobo is considering the creation of a Social Fund that will manage the contributions derived from the contractual commitments assumed by the investor. These funds will be destined to the execution of social programs for the benefit of the communities in the area of influence. Likewise, the income generated by the fee and royalties will increase the budgets of the subnational governments, with special emphasis on the area of direct influence.
The modality will be through a Mining Concession Transfer Option Contract, which will be carried out by the state company Activos Mineros SAC, in application of the provisions of article 165 of the General Mining Law (DS No. 014-92-EM).
Following the declaration of interest, companies interested in the project may express their interest to PROINVERSION within ninety (90) calendar days. In the event that there are no third parties interested in the execution of the project, PROINVERSION will proceed - in accordance with section 89.1 of the Regulations of Legislative Decree No. 1362 (PPP Law) - with the direct award of the project to the proponent.
