Peru targets long-term mining dominance with copper, silver and zinc projects

Peru is ramping up efforts to cement its role as a global mining powerhouse, forecasting $4.8 billion in new investment in 2025 as demand for copper and other critical minerals accelerates.

The Energy and Mines Ministry expects output to rise in 2025, as global producers and junior miners double down on one of the world's richest copper reserves. Copper output is expected to rise to 2.8 million metric tons this year. This is up slightly from 2.7 million tons of copper produced in 2024, driven by both mine expansions and new projects entering development.

With global copper demand forecast to jump 70% by 2050, Peru, as the world’s third-largest producer, is positioned to benefit from the accelerating push towards electrification and clean energy technologies. The country also ranks among the top producers of silver, zinc, lead, tin, and molybdenum, all crucial components for emerging technologies. 

Political stability, competitive operating costs, and developed infrastructure continue to support Peru’s mining sector and encourage investment. While the country still faces its challenges, including regulatory complexity, social unrest, and illegal mining, both miners and juniors alike are securing the country's long-term future as a global mining powerhouse.

Major pooducers extend mine life

Peru’s major mining companies are at the forefront of efforts to extend mine lives and increase production capacity, which is crucial as these flagship assets mature and often see declining ore grades.

As Peru’s top copper producers Freeport-McMoRan Inc (NYSE:FCX, ETR:FPMB) and Glencore PLC (LSE:GLEN) look to extend their operating mines Cerro Verde and Antamina respectively for at least another 10 years, others, like MMG, are developing satellite pits to raise the country’s annual copper output.

Alongside expansions, major mining companies are also investing in greenfield projects to sustain Peru’s production growth. There are currently 51 projects at various stages being advanced across Peru valued at $54.5 billion, with about $40 billion of this focused on copper alone, complemented by 75 exploration projects.

Copper miner at operating mine (credit: Shutterstock)

Southern Copper Corporation (NYSE:SCCO) anticipates a production boost with the upcoming Tía María project, which should produce about 120,000 tons of copper per year once production starts in 2027. Global miner Teck Resources Ltd (TSX:TECK.B) is also nearing a final investment decision at its Zafranal project, expected to produce an average of 133,000 tons of copper concentrate annually during its first five years of operation.

But it’s not just copper that boosts Peru’s investment appeal. As the world’s third-largest silver producer, responsible for about 14% of global output in 2023, the country’s silver strength is largely anchored in its polymetallic deposits, where silver is often extracted alongside copper, zinc, and other metals. Many of Peru’s top copper projects yield considerable silver as well as other precious metals. Antamina, which led the nation in silver output in 2023 of approximately 12.6 million ounces, is one of the world’s most significant polymetallic mines. 

Juniors filling the development gap 

Junior companies play a pivotal role in replenishing Peru’s mineral pipeline by exploring and developing new copper and polymetallic projects, which often attract interest from major producers as potential acquisition or joint venture opportunities.

Aftermath Silver Ltd (TSX-V:AAG, OTCQX:AAGFF) is among the most active of its group, currently advancing its Berenguela polymetallic project in southern Peru’s Puno region. The deposit hosts significant resources of silver, copper, and manganese. Recent drill results include intercepts of 153 meters grading 1.12% copper, 290 grams per ton of silver, and 7% manganese. The company has made early payments under its option agreement with EMX Royalty to secure 100% ownership of the project, and an updated NI 43-101 resource estimate is expected in the near term.

Aftermath exploring at the Berenguela project

While Aftermath is focused on developing a large polymetallic resource in southern Peru, other juniors like Excellon Resources Inc (TSX:EXN, OTCQB:EXNRF) are turning to past-producing assets with near-term restart potential. Excellon is targeting the restart of the Mallay Mine, a past-producing silver-lead-zinc operation located about 180 kilometers from Lima. The company is working toward re-establishing underground access and preparing for initial rehabilitation and drilling activities.

Meanwhile, early-stage explorers like Solis Minerals Ltd (ASX:SLM, TSX-V:SLMN, OTCQB:SLMFF) are staking ground in some of Peru’s most geologically promising terrain. Solis is targeting copper exploration in Peru’s prolific porphyry belts, aiming to develop high-potential deposits that align with global decarbonization trends. The company is focused on early-stage assets with the potential to become acquisition targets or joint ventures with major producers.

Others, such as Condor Resources Inc. (TSX-V:CN, OTC:CNRIF), are taking a different approach by acting as project generators, advancing multiple targets to drill-ready stage. The company has five active drill-ready properties, including the Pucamayo gold-silver project, where sampling has identified high-grade gold and silver mineralization.

Cerro de Pasco's Quiulacocha Tailings Project

Reprocessing legacy tailings is also emerging as a strategic play. Cerro de Pasco Resources (TSX-V:CDPR, OTC:GPPRF) is advancing the Quiulacocha Tailings Project, which contains an estimated 430 million ounces of silver equivalent and notable quantities of gallium, a critical metal used in semiconductors and clean energy technologies. The company aims to begin production by late 2025 or early 2026, using low-impact reprocessing methods.

By balancing the expansion of legacy assets with a pipeline of discoveries, Peru is positioning itself to meet soaring global demand for critical minerals and maintain its mining dominance well into the future.