12 May 2025 | Gold

Peru's gold production could drop by 60,000 ounces in one month due to mining ban

Peru's gold production could drop by 60,000 ounces in one month due to mining ban

According to Bloomberg, Peru's gold production is expected to drop significantly in the coming month due to a mining ban in the country's northern region. The government has taken extreme measures to curb a surge in criminal activity.

Peru's central bank estimates that companies affected by this ban would lose about 60,000 ounces of the yellow metal in 30 days, worth approximately $200 million at current prices. This volume represents about one-fifth of the country's total production in February, Bloomberg reports. So, the damage from the production shutdown in the northern region of Peru would be rather tangible, says Adrian Armas, the central bank's chief economist.

Cia Minera Poderosa, which operates a large gold mine in the area affected by the government's measures, will be hit hardest. In February, it produced roughly 24,000 ounces of the precious metal. However, this is not the first time the mine has been linked to conflicts and illegal activities.

Peru’s mining industry association (SNMPE) has expressed dissatisfaction with the government’s decision to ban all mining activities in the northern region.

Elena Berseneva MarketCheese
Period: 31.03.2026 Expectation: 2100 pips
Investing in USDCAD with 1.38800 in sight
27 February 2026 45
Gold buy
Period: 06.03.2026 Expectation: 1200 pips
Accumulate gold up to $5,200 per ounce
27 February 2026 70
Brent sell
Period: 31.03.2026 Expectation: 150 pips
Selling Brent crude from $72.0
27 February 2026 52
Period: 31.08.2026 Expectation: 8000 pips
Buying USDJPY on stubborn US inflation
27 February 2026 38
Period: 31.08.2026 Expectation: 700 pips
Building medium-term buy position in NVIDIA
27 February 2026 25
Period: 09.03.2026 Expectation: 13000 pips
Investing in BTCUSD with $81,500 in view
26 February 2026 59
Go to forecasts