By Marcelo Rochabrun
LIMA, Oct 27 (Reuters) - Peruvian residents living near MMGLtd's Las Bambas copper mine agreed on Wednesday tolift a road blockade affecting the company's metal shipments,following a public meeting with Prime Minister Mirtha Vasquez.
At the meeting, Vasquez said Las Bambas would begintransferring tax funds to the region where the mine is locatedin January, a key demand from residents who say the localmineral wealth has not translated to better living conditions.
"As a sign of good faith, we ask that you clear the roads,"Vasquez said at the meeting with residents of the Cotabambasprovince.
Las Bambas has yet to pay the tax transfers because underPeruvian law those funds are only due after the company recoversits initial investment. While Las Bambas began operations in2016, its initial investment was $10 billion.
MMG did not immediately respond to a request for comment onwhether shipments had resumed, or when they would resume.
Las Bambas is Peru's fourth largest copper mine, responsiblefor about 2% of global supply.
Vasquez is a lawyer who has in the past defended ruralcommunities in conflicts with mining companies, including theCotabambas province in its longstanding dispute against LasBambas.
"We are really conscious of the fact all your demands arelegitimate and that we should try to resolve them," she saidduring the meeting.
(Reporting by Marcelo RochabrunEditing by Chris Reese and Bill Berkrot)