In Peru President Ollanta Humala has declared an emergency in the northern Andes to control anti-mining protests and demonstrations which have been paralyzing the largest gold mining project in the country.
The project is owned by the Denver based Newmont Mining Corp.
Armed forces have been granted extra regulatory powers by President Humala for a period of 60 days. This includes the right to arrest a protestor without a warrant. The emergency is effective in four provinces of the Cajamarca region.
The emergency was imposed due to the all out demonstrations and protests against the proposed development of the Minas Conga gold mine by Newmont Mining Corp. The $4.8 billion worth project would be the largest of its kind in Peru. The company has currently stopped work on the mine and site that there is no danger to the environment from their operations.
The mining project is likely to produce $800 million in royalties and taxes for Peru. However it is also proving to be the largest source of challenge to the President who must take control of the situation without alienating his supporters.
Already environmentalists have managed to temporarily shut down other projects in the country including ones run by Southern Copper Corp., Anglo American Plc and Bear Creek Mining Corp.