Chinese miner MMG to delay copper shipments as Peru community blocks road

by Reuters
Monday, 25 February 2019 05:00 GMT

(Inserts dropped word "delay" in first paragraph)

HONG KONG, Feb 25 (Reuters) - Chinese miner MMG Ltd said on Monday it will have to delay some shipments of copper concentrate from Matarani Port in Peru due to a blockade by an indigenous community of a road used to transport copper from the company's Las Bambas mine.

The indigenous community has blocked MMG from using the road to take copper to the port for the past 10 days, a lawyer representing the community said on Friday.

"To date there has been no impact to production, however, with low stocks of copper concentrate at the Matarani Port, the company will now need to delay some shipments," CEO Gao Xiaoyu said in a filing to the Hong Kong bourse.

The community says the government illegally turned the road, which runs through its farmland, into a national highway, and wants to reach a deal with MMG for the use of it, the lawyer said.

MMG, controlled by state-owned China Minmetals Corporation , has been using an alternate route to get its copper concentrates from Las Bambas to the port of Matarani for shipment, according to Peru's ombudsman's office.

"The primary focus remains on ensuring the health, safety and security of community, employees, contractors and public road users," Gao from the Hong Kong-listed mining group said. (Reporting by Donny Kwok; Editing by Anne Marie Roantree and Richard Pullin)

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