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LIMA (MarketWatch) -- Mining companies in Peru invested $3.47 billion in the first seven months of 2011, up 71% compared to the same period last year, the government said.
In the January-to-July period, mining companies invested $556 million in infrastructure, $534 million on mining equipment, $499 million on preparation activities for projects and $481 million on processing plant equipment, the Mines and Energy Ministry said Thursday.
Companies also spent $457 million on production and $488 million on exploration, the ministry said.
Cajamarca region had investments of $636 million, representing 18.3% of the total expenditures in the period. It was followed by Apurimac at $513 million, Cuzco at $466 million and Ancash at $373 million.
Companies investing in the sector include Xstrata PLC (XTA.LN), which has the Tintaya mine and the Antapaccay and Las Bambas projects in southern Peru. At Tintaya, Xstrata invested $479 million and at Las Bambas it invested approximately $449 million.
Gold producer Minera Yanacocha S.R.L had investments of $468 million, the ministry said.
Peru is the world's second biggest producer of copper and silver and a major producer of gold, zinc, lead and other minerals. Mining companies plan to invest about $50 billion in new mines and expansion projects this decade, according to the ministry.