Peruvian metals miner Compania de Minas Buenaventura SAA (BVN, BUENAVC1.VL) is considering the purchase of other precious metals assets in Latin America as it also plans to expand its own projects.

"We are looking for opportunities," Chief Executive Roque Benavides told Dow Jones Newswires Friday. "There are a few."

He would not specify which companies Buenaventura is considering but said it would consider precious metals deposits in other Latin American countries. Any copper deposit purchases would have to be inside Peru. Buenaventura is not looking for acquisitions outside Latin America.

"When we go abroad we are specifically looking for precious metals," Benavides said.

At least 60% of the company's revenue should come from gold and silver, he said.

While Buenaventura is looking to buy assets currently owned by other companies, the Peruvian miner is also focused on growing the reserves from projects it already owns.

It is in the process of determining whether it will double or triple production from its 19.26% ownership in the Sociedad Minera Cerro Verde SA (CVERDEC1.Vl) mine, which is majority controlled by Freeport-McMoRan Copper & Gold Inc. (FCX).

Such a move would take Buenaventura's copper production to between 500,000 and 700,000 metric tons, Benavides said. Production at the mine in 2010 was 302,711 metric tons, virtually flat compared to 2009.

An announcement about the expansion decision will be made "in the next couple of months," Benavides said.

The expansion plans come as copper and gold are at record highs and silver is nearing its strongest price in 31 years.

On Friday, the most actively traded gold futures contract, for April delivery, rose $12.20, or 0.9%, to settle at $1,428.60 a troy ounce on the Comex division of the New York Mercantile Exchange. Silver for May delivery settled up $1, or 2.9%, at $35.327 an ounce. Copper for May delivery settled 0.1%, or 0.45 cent, lower at $4.4855 a pound.

"The base for the future of metals prices has gone up," Benavides said. "The world in general is looking for more tangible assets instead of fancy financial instruments."

-By Matt Whittaker, Dow Jones Newswires; 212-416-2139; matt.whittaker@dowjones.com
Freeport McMoRan (NYSE:FCX)
Historical Stock Chart
Von Jul 2024 bis Aug 2024 Click Here for more Freeport McMoRan Charts.
Freeport McMoRan (NYSE:FCX)
Historical Stock Chart
Von Aug 2023 bis Aug 2024 Click Here for more Freeport McMoRan Charts.