Gold, Silver and Copperproduction in Peru will decline in 2011, according to a report by the Ministry of Energy and Mines Peru is the world’s second largest producer of these metals.

Gold output is expected to fall 0.18%, copper by 3.8% and silver 7.1%.

The government had earlier said that mining investment over the next 10 years could total $40 billion. However, the nation stands the risk of losing the investment due to clashes between mining companies and rural communities who claim that these companies infringe on their ancestral lands and water supplies.

In response, President Ollanta Humala had signed a law requiring such companies to work with rural communities to resolve issues prior to setting up projects.

Major mining investments in Peru include projects of companies like Buenaventura, Xstrata and Chinalco. – Source: http://www.commodityonline.com