Either Oscar was feeling his oats or, as you speculate, it was concocted, but sure as heck it wasn't Julio on his own ....... I'll go with concocted.
Now let's see if the permit is issued by the end of this month and if it isn't, we'll have to do more "speculatin".
Maybe the whole thing is concocted. Can't put out a false statement (cough, cough). Maybe the board was considering cancellation and Julio "misunderstood", putting out an erroneous (not false) statement to shake up the government people that the money would be spent elsewhere if they did not put down the protests. Oscar comes to the rescue, but the government is warned. If things don't quiet down over Tia Maria....the investment and consequent jobs and economic impact goes elsewhere.
The above coming from Grupo would not surprise me. IMO, they play hardball with a very hard ball.
Apparently Bloomberg reported it, and StreetInsider had a news article that showed up in a data feed reporting that Bloomberg reported it. StreetInsider also had the original cancellation as well.
The SCCO website shows neither the cancellation, nor the retraction when I looked.
Do you really think that Julio went out on a long limb on his own and issued a statement not approved by the highest levels of SCCO?
I sincerely doubt it ...... unless he was drunk, high or hard of hearing.
Very interesting ..... maybe Oscar went out on that long limb and then got a phone call from the real boss.
Where did you get this?
Here's what I got from the WSJ today a 11:47AM ..... Julio Moriberon to RPP radio (whoever they are) ..... "I am here to announce the cancellation of the Tia Maria project and the removal of all our investments in Arequipa."
If you picked up something else it is indeed strange.
Told'ya we'd hear more about this. Guess who is out of a job.
LIMA, March 27 (Reuters) - Peru's Mining and Energy Minister Rosa Maria Ortiz said on Friday Southern Copper's announcement to cancel its Tia Maria project had taken the government by surprise and that the company was expected to reverse its decision.
Ortiz said she spoke with Oscar Gonzalez, the president of Southern Copper Corp, who said the company will "rectify" its previous announcement.
Yeah, old Julio is gunna get rectified in his rectum.
Correction .... it's NOT SCCO's mine in Spain ..... it belongs to Grupo Mexico and Minorbis. Minorbis is owned by Magtel of Spain and appears to be an engineering company with strength in environmental engineering, etc..
This mine supposedly has 80 M tons of Copper, Zinc and Lead ore. I think they are looking to get 245,000 tons of concentrate per year for 19 years. Investment is not clear but it looks like initially its 304 M Euros.
Looks to provide 476 direct and 700 indirect jobs.
Protests on 3/24 ..... cancel the project on 3/27 ..... pretty quick decision.
On 3/24 SCCO said they expected a permit to proceed by the end of this March ..... wonder if they will still receive the permit? If not it's likely political ..... shooting a few protesters for SCCO doesn't play very well with those who need votes to stay in power ..... even in Peru. Maybe SCCO didn't make it "worthwhile" to the politicians?
That being said a others have bailed from Peru ..... Newmont, Bear Creek and Zijin come to mind and they were planning to invest a lot more.
Think about SCCO's mine in Spain making up for lost anticipated Peru production and under more favorable circumstances. Then think about where the $1.4 B will go ..... buybacks, financing in Spain, lower debt or ????
Then again, IF SCCO still gets the permit maybe it is just a bluff until Peru "sees the light."
If correct, it is very unlike Grupo to give up a fight before being knocked out by the highest court in the land.
LIMA, March 27 (Reuters) - Southern Copper Corp has canceled its $1.4 billion Tia Maria project amid protests in Peru, Julio Morriberon, the company's head of institutional relations in the South American nation told local radio RPP on Friday.
I suspect we will here more about this.
If you had read the 10-K, you might know that Grupo shares are used for incentive compensation, not scco shares.
These buybacks are at the market.......no takeover premium. IMO, Grupo will cause scco to buy back as many shares as it can without paying a premium before it makes the "going private" move which will cost a 15% to 18% premium to win the inevitable shareholder lawsuit that the takeout price was too low.
IMO, grupo will force us out just before the big increases in production are about to kick in. I'm going to wait for the endgame.
Holler all you want, a voice crying in the night with nobody around to hear it.
Buybacks stink. They are mostly used just to fill executive stock options with ZERO benefit to stockholders. The buybacks are supposed to boost the share price but they usually do NOTHING. PROTEST...if you do not holler to management then nothing will happen.
From USW website dated 3/9/15.
“Last week in negotiations with Asarco/Grupo Mexico management, our committee proposed fair improvements to our pensions and the 401k plan along with reasonable successorship language, which the company flatly rejected.”
“Management's main statement at the bargaining table this week was that they don't want to increase costs.”
“Asarco's corporate parent recently purchased a mine in Spain.”
From Mining.website dated 2/26/15.
“Reopening of controversial Spanish copper mine sparks heated debate”
“The contract has been awarded to a consortium headed by Grupo Mexico, the same company responsible for a major toxic spill in Sonora last year.”
From the guardian dated 2/25/15.
“A controversial mine which caused one of Spain's biggest ever environmental disasters is set to reopen, the government has announced.”
“Spanish officials insist that Grupo Mexico has guaranteed its Aznalcollar mining activities will not affect protected zones and that the area will eventually be restored to its original state.”
“The Andalucian regional government claims reopening the mine will create 450 jobs in an area with one of the highest unemployment rates in Spain.”
My summary ….. ASARCO's successorship demand is very important and any modifications to this demand will not be considered, additionally any increase in costs will be met by a hard-line from ASARCO. To me this opens the door to a potential sale of ASARCO.
But ….. why would Grupo consider the sale of ASARCO if they are entering agreements to re-open a Spanish mine? Lower costs and a more compliant labor situation is probably two of the answers.
I couldn't find any info. on who the consortium members are and how much the project will cost ….. but I'm still looking.
Well, if the socialist pig gets to ban the XM855, the profit on my 5,000 rounds will exceed the unrealized loss (so far) on my unfired Bushmaster M4 A2. It gives me a good feeling legally owning something the socialist pig wants to ban, not to mention the self defense firepower (using hollow points).