Mining major Rio Tinto and Canadian company First Quantum Minerals have completed a deal to form a joint venture to develop the La Granja copper project in Peru.
La Granja is a complex orebody located at high altitude in Cajamarca, Northern Peru, that has the potential for a large, long-life operation. The current inferred mineral resources totaled 4.32 billion tons at 0.51% of copper.
First Quantum previously acquired a 55% stake in the project for US$105 million. It will invest a further US$546 million in the JV. At present, First Quantum, as the majority owner of the joint venture, will start to operate the La Granja project.