en.Wedoany.com Reported - On April 10, 2026, Peru's Ministry of Energy and Mines announced the revocation of the exploitation license for the Tía María copper mine project held by Southern Copper Corporation (NYSE, LSE: SCCO) and ordered the project to be returned to the competent authorities for re-evaluation. Located in the Islay Province of the Arequipa region in southern Peru, the project involves an investment of approximately $1.8 billion and was originally scheduled to commence production between late 2026 and early 2027. This revocation means one of Peru's most controversial copper mining projects faces a comprehensive review.
In a statement, the Ministry of Energy and Mines stated that the decision to revoke was based on the original approval "lacking legal basis," with incomplete technical documentation that did not meet the relevant requirements of mining regulations and administrative procedure laws. The ministry pointed out that the original administrative permit had deficiencies in its justification, failing to adequately address key technical issues such as waste rock dump design and project construction schedule. This revocation was made in accordance with Resolution No. 236-2026-MINEM/CM issued by the Mining Council on March 19, 2026, which declared the original approval documents null and void. This resolution was initiated following a reconsideration request submitted by the Islay provincial government in November 2025. The review ultimately concluded that the original authorization had legal basis flaws and instructed the General Directorate of Mining to strictly adhere to current regulations in the new evaluation.
The Tía María project is one of Peru's major copper mines under development, with a designed annual production capacity of 120,000 tons of copper and an expected mine life of 20 years. As of October 2025, the overall project progress was approximately 23% complete. The project has been stalled for nearly 20 years due to community and environmental controversies, with its history dating back to its first public announcement in 2009. In 2011 and 2015, large-scale protests erupted among local farmers and residents concerned about water pollution and agricultural safety, resulting in six deaths and triggering significant violent confrontations, which long hindered the project's progress. Southern Copper obtained the exploitation permit in October 2025 and commenced construction in November of the same year, only for it to be halted less than five months later.
Southern Copper Corporation is one of the world's major copper producers, controlled by Grupo México. In 2025, it was the largest copper producer in Peru. Apart from the Tía María project, Southern Copper also operates the Cuajone and Toquepala copper mines and the Ilo smelter in southern Peru. As part of the company's $10.3 billion investment plan for the next decade, Southern Copper is also developing several other projects in Peru. As of now, Southern Copper has not commented on the license revocation. Adrian Armas, Chief Economist at Peru's Central Reserve Bank, expressed hope for a swift resolution and added that this move should not affect the overall mining investment climate. This license revocation has once again cast uncertainty over the future of the Tía María copper mine project. Peru's Ministry of Energy and Mines stated that the action aims to enhance transparency, legal certainty, and regulatory compliance in the mining development sector.
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