China-owned copper mine set to evict protesters

Indigenous groups camped on property in dispute over financial benefits

Chinese-owned MMG’s huge Las Bambas copper mine in Peru is considering a plan to evict indigenous communities that have camped on the property and forced a production halt, according to an executive and official documents.

Under Peruvian civil law, property owners can attempt to evict trespassers by force during the first 15 days after they have settled in the property. If that time period lapses, then they need to go through a lengthier legal process.

People from the Fuerabamba and Huancuire communities pitched tents inside the property on April 14, including near the mine’s massive open pit. Las Bambas, which produces 2 per cent of the world’s copper, halted operations on April 20.

“It’s still in the process of being decided,” Carlos Castro, Las Bambas head of corporate affairs, said in a text message, when asked about an eviction plan.

“The repossession defence can be exercised within the 15 days established by law.”

Getting the mine started again would add to global supply, potentially dampening prices, though the mine has faced recurring disruptions from local communities demanding higher financial contributions.

According to a letter from Peru’s official ombudsman, Las Bambas was planning to attempt the eviction yesterday, local time.

The document, addressed to Peru’s chief of police, asks that law enforcement officials abstain from engaging in violence if the eviction attempt takes place, considering the presence of women, children and elderly people.

A government source confirmed that the eviction had been discussed but he said a final decision was likely to be made yesterday. Peru is the world’s second-largest copper producer.

On Tuesday the Fuerabamba and Huancuire communities were preparing for a potential eviction, community leaders said.

Rumours had circled throughout the day about a potential attempt.

The Fuerabamba community was resettled to make way for Las Bambas around a decade ago. The Huancuire community has sold land to Las Bambas.

“We could stay here for years,” Edison Vargas, 32, the president of the Fuerabamba community, said last week. Vargas and others have set up camp inside Las Bambas and say they are demanding the return of their ancestral lands.

Peru’s leftist President Pedro Castillo has signalled a tougher stance on protests against mining companies, mobilising the army in a sharp tactical shift from a previous conciliatory approach.

Mining activity has also been halted at Southern Copper’s Cuajone site since late February as protesters from the mostly indigenous surrounding communities demand financial compensation and a share of future profits.

Protests have also hit other mines in Peru since Castillo came to office last July, including the Anglo-Swiss firm Glencore’s Antapaccay, and Canada-based Hudbay Minerals’ Constancia and Antamina mines, co-owned by Glencore and the AngloAustralian miner BHP.

In neighbouring Chile, the top global copper producer, BHP is also facing road blockades that have disrupted operations at its Escondida mine, forcing it to cut its annual copper production outlook last week.

But the pinch has been felt harder in Peru, where Cuajone and Las Bambas put together add up to 1.5 per cent of the country’s gross domestic product.