Freeport hit by mining royalties dispute charges at Cerro Verde

January 25, 2019 / www.metalbulletin.com / Article Link

United States-based global miner Freeport-McMoRan has been issued with pre-tax charges of nearly $400 million in penalties and interest related to disputed mining royalty assessments for its Cerro Verde copper mine in Arequipa, Peru.

The charges relate to the years 2009 to 2013, and have come after Cerro Verde, in which Freeport owns a 53.56% stake, chose not to appeal a decision by the Peruvian Tax Tribunal to deny the company the right to waive the charges.Cerro Verde is continuing to evaluate alternative strategies to defend its rights, Freeport said.The charges, equivalent to $195 million net of income tax...

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