Denver-based Newmont Mining Corp. prepared Wednesday to reopen part of its Peruvian gold mine, one of the world’s largest, after protesters ended their occupation of the property.
Local residents demanding more jobs staged a demonstration Tuesday at the La Quinua deposit at the Yanacocha mine in northwest Peru, disrupting workers’ access for two days.
The protesters agreed to leave late Wednesday after Newmont said it will hold talks with the group at an unspecified later date.
The closed deposit accounts for about half of Yanacocha’s annual output. Newmont hoped to reopen the property today, said spokesman Omar Jabara.
“As production dips, there’s less work for everybody,” Jabara said. “We shut the pit to ensure our workers’ safety, but the trespassers now are off-site, and we’re in the process of bringing things back to normal.”
The disruption marked the second time in less than a year that the property had been hit by demonstrations. Newmont closed the entire mine for two days last August after a series of protests over hiring and environmental concerns. One activist was killed in clashes with police.
This week’s takeover was the latest in a wave of protests from Peruvians seeking a greater share of the profits producers are generating from surging metal prices. Peru is the world’s largest producer of silver; the third-biggest in copper, zinc and tin; and the fifth in gold.
Talks resumed Wednesday between Yanacocha officials and employees who on Tuesday rejected a three-year proposal to increase wages by an average of 42.6 percent, Jabara said. The offer included a $2,515 bonus.
Newmont expects Yanacocha’s production to drop 36 percent to 1.6 million ounces this year as ore grades decrease. Newmont is the world’s second-largest gold producer, after Toronto-based Barrick Gold.
Bloomberg News contributed to this report.
Staff writer Steve Raabe can be reached at 303-954-1948 or sraabe@denverpost.com.
