Securing Energy for a Strategic Copper Operation
Peru’s Ministry of Energy and Mines (MINEM) has approved the fourth amendment to the definitive concession allowing Southern Peru Copper Corporation to continue developing the 220 kV Montalvo–Tía María transmission line. Ministerial Resolution No. 342-2025-MINEM/DM, issued on October 20, 2025, authorizes the extension of the commercial operation deadline to December 22, 2027. The decision follows Southern’s submission of a guaranteed execution schedule and the corresponding performance bond, ensuring the project’s continuity and compliance with national energy regulations.
From Abengoa to Southern: A Complex Project History
Originally granted to Abengoa Perú S.A. in 2011 and later transferred to Southern in 2017, the concession has undergone three prior amendments—in 2015, 2016, and 2020—due to delays linked to force-majeure events. The high-voltage line runs through the districts of Cocachacra and Punta de Bombón in Arequipa and extends into Moquegua, forming a critical link for supplying power to the future Tía María copper operation and to the southern segment of the national grid. The project is considered a key enabler for both regional industrialization and Peru’s long-term copper export capacity.
Legal Framework and Strategic Implications
Under Peru’s Electricity Concessions Law (Decree-Law No. 25844), concessionaires may request a one- time extension by submitting a guaranteed work schedule and an additional bond to prevent expiration of the concession. Technical reviews from MINEM’s Electricity Directorate and Legal Office confirmed Southern’s full compliance, paving the way for formal registration of the amendment. Beyond regulatory continuity, the project underscores Southern’s commitment to maintaining operational readiness for Tía María—a project emblematic of both opportunity and contention in Peru’s mining landscape. With energy infrastructure advancing, the extension marks a step toward ensuring that the region’s next major copper venture will have the power it needs to proceed when conditions allow.