UAE-based JFR Investments seals major mining deal in Peru

JV aims to develop iron, gold and copper resources in the Peruvian mining belt

  
Coal mineral exploitation. Image used for illustrative purpose.

Coal mineral exploitation. Image used for illustrative purpose.

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UAE-based JFR Investments, part of Angola-based Ridge Solutions Group, has signed its second major mining investment agreement in Peru.

The company said in a statement that it signed an agreement with Negociaciones Y Construcciones EIRL (Peruendes) to form a special purpose vehicle, RS Global Peruendes, to develop iron, gold and copper resources in the Peruvian mining belt.

The agreement with Peruendes follows the partnership and investment pact in May with Brazil’s JBP Cabral Minerios to develop its portfolio of upstream mining assets in copper, gold, silver, nickel, iron ore and tantalite.

JFR Investments didn’t disclose the investment figures but said the agreement would position RS Global Peruendes as a major player in the Peru’s iron ore mining sector.

JFR’s Chairman and Executive President Jose Ferreira Ramos, said: “Our integrated business strategy has started delivering results as we continue to tap significant and commercially viable mining resources in Peru, in addition to recently announced similar partnership in Brazil. This would allow us access to optimal exploration and production with low cost (Capex and Opex) and large scale unextracted reserves, which will ring fence our long term off-take agreements in trading segment of our operations.”

Technical and commercial evaluations forecast production potential of 735,000 metric tonnes of iron ore during the first year, which will increase to 1,206,000 metric tonnes during the second year with further exponential growth over the mid to long term, according to the press statement.

In 2020, RS Global had entered into two major agreements with Chinese companies for the supply of copper cathode with combined revenue potential of $2.07 billion.

(Writing by Anoop Menon; editing by Seban Scaria)

(anoop.menon@refinitiv.com)

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