RE:RE:Ulises Solis responds to Corani's mayorI think that this thing of "the community required us to work" is only partially true, and the main reason they strated drilling without the permits is because the claims are oficially "expired" until the "appeal for review" is accepted by the Mining Council and INGEMMET's Expiration Resolution is consequently revoked. That is, management decided that drilling was important enough to start it even without the permits, and because the sanction/fine wasn't too costly, or at least that's what I hope.
And regarding the "anti-mining protests" I must say that every protest of this kind that I can remember has been against mining in the south of Puno (where Aymaras live) so we shouldn't confuse things in that regard. In fact, communities in Macusani's area of influence have been working quite well with the management of Corani project, as you can see in Bear Creek's last MD&A report (page 5):
The Company has maintained excellent working relationships with the local communities and has continued to conduct activities at Corani without interruption. One of the areas of primary focus for the coming year will be to build on the positive relations with the local communities as the project is advanced. The Company owns 100% of the surface rights covering the mine, waste dumps and processing plant. The Company is working with the Peruvian government to provide the access rights for the ancillary facilities including the access roads and power.
The Company entered into a Life of Mine Investment Agreement (“LOM Agreement”) in June 2013 with the District of Carabaya, five surrounding communities, and relevant, ancillary organizations specifying investment commitments over the project life, including the pre-production period. Under the agreement annual payments totaling 4 million nuevo soles per year (approximately $1.2 million per year) are to be made into a trust designed to fund community projects. The first installment was made in 2013. Subsequent installments were contingent upon certain permits being received. All of the permits were received by the end of June 2018 and as a result, payments will remain constant at 4 million nuevo soles throughout the term of the agreement. All future yearly obligations were present valued and recorded as a liability in June 2018. The required payment for 2018 was paid in July 2018. Cessation or interruptions of operations will cause pro-rata decreases in the annual payments. Under the LOM Agreement, a trust structure was established to fund approved investments. Each of the five communities (Corani (Aconsaya), Chacaconiza, Quelcaya, Isivilla, and Aymaa) has agreed to the formation of committees that will consider and approve investment projects for the benefit of the communities, such as schools, medical facilities, roads, or other infrastructure. The annual investment to be directed toward each community is agreed to and defined in the agreement. Bear Creek is an oversight member of the trust; however, the Company has no voting or governing powers. Bear Creek appoints independent members with community social responsibility experience to provide oversight of the foundation's functions in meeting its commitments to the communities and all of its members.
During September 2018, the Company started construction of the Antapata electrical substation near the town of Macusani, the nearest sizeable town to the Corani Project, located on the Interoceanic Highway approximately 30 kilometers directly east of Corani (approximately 64 kilometers by road). A purchase order for the transformer in the amount of $0.5 million was placed on October 16, 2018 and delivery on site is expected in August 2019. This substation will be used to direct electricity to a future power line that will supply the Corani Project and to provide a consistent power supply to the residents of Macusani, who experience regular power brownouts. The Company began substation construction activities during September 2018.
The Company will continue to cultivate the social license it has earned with the communities neighboring the Corani Project by maintaining the open, honest and transparent relationships it has established and by continuing its funding of the community trust established through the LOM Agreement.
So, among other things (like consistent power supply), these communities are receiving $1.2 million per year from Bear Creek, don't you think they want to "repeat the dish" with PLU?
That said, I think we must keep an eye (or two) on how these affairs evolve.
https://www.bearcreekmining.com/site/assets/files/4361/bcm_q1_2019_mda_-_final.pdf