This aggressive expansion policy has been successful for Eco Exploration in recent years in Chile where the company is headquartered and in Argentina. Although Peru is new territory, Eco Exploration C.E.O Andrew Davis said "Peru is one of the worlds foremost mining countries, we are all excited at the prospects this new asset holds for the company".
Peru's economy depends on the mining of copper, gold, silver and other minerals for over 60% of its export income. The industry has been the key to Peru's rapid economic growth. This has meant mining conditions in Peru including transport, equipment, and public support have drastically improved in the last 10 years, which ultimately reduces the cash cost for Eco Exploration to an estimated $308 / oz.
The Eastern Cordillera region of the north Peruvian Andes, where the company's latest asset lies, is mineral rich and well known for gold mining. Eco Exploration have spent many months assessing the viability of this early stage asset and preparing the site for operations; and are now looking to execute the company's long term plan and begin extraction in early September.
The Eastern Cordillera project outlines an estimated initial production of 250,000t per annum of gold and silver reserves. Other established mining districts in the region include, Balsas, Bolivar, Pataz and Parcoy and the Huachon area, which lies close to the south.
Eco Exploration is looking to approve a further $1bn investment to develop this initial site and other sites in Peru over the next 5 years.