12/10/08

3M buys Abrasivos S.A. (abrasives manufacturer) in Peru

3M Co., an American multinational conglomerate corporation with a worldwide presence, acquired on Tuesday a Peruvian company that makes abrasives used for manufacturing.

Maplewood-based 3M said it bought Abrasivos S.A., which is based in Lima, Peru. Terms of the deal weren't disclosed.

Abrasivos sells abrasives with cloth and paper backing under the ASA brand. The company was founded in 1963 and has about 140 employees. About 30 percent of its sales come from exports to the United States, Canada and Latin America, according to its Web site.

The company will join 3M's existing business in Peru and be included in 3M's Abrasive Systems Division. That division, which makes sandpaper, is 3M's heritage business upon which the company was founded in 1902.

"3M's technology, expertise and global reach combined with our already strong brand and reputation will continue to build our business," said Luis Roca, general manager of Abrasivos.

Abrasivos S.A. develops advanced technology products with high quality standards prevalent in the American market. Since its founding, Abrasivos has been the leader in the manufacture of coated abrasives in Peru, supplying the Peruvian market with a large variety of abrasive tools and related specialties and services.

Abrasivos exports specialty products to North American converters and private label products for South American markets. Abrasivos has 45 years experience in all phases of coated abrasives production and converting, and constantly participates in advanced research programs.

A recognized leader in research and development, 3M produces thousands of innovative products for dozens of diverse markets. 3M's core strength is applying its more than 40 distinct technology platforms - often in combination - to a wide array of customer needs.

With $24 billion in sales, 3M employs 79,000 people worldwide and has operations in more than 60 countries. For more information, visit www.3M.com.

Publication: Andina - English Newswire
Provider: Andina
December 10, 2008

11/21/08

Ericsson forms digital TV collaboration with Peru's PUCP

Ericsson has signed an agreement with the Pontifical Catholic University of Peru (PUCP) to collaborate on the development of digital TV platforms in the country, including tests on IPTV platforms, the design of mobile TV projects, the implementation of DTT in Peru, and the investigation of new multimedia communication channels.

The project also involves the construction of an infrastructure for technology testing, the future development of a proprietary signal for interactive television delivered via the Internet, specialised training programmes, and the operation of internships and student exchanges between Ericsson's centres in Chile and Spain.

"We feel very honoured to have the opportunity to establish an alliance with the Catholic University for the development of communication facilities in the country," said Héctor de Tommaso, General Manager of Ericsson Peru.

Luis Guzmán Barrón of the PUCP added: "Today we witness the impressive progress of the technology that is developed by private companies, among which Ericsson is one of the most prominent. We hope, through our investigations and the professionals which we train, to contribute to this advance."

Publication: Andina - English Newswire
Provider: Andina
November 21, 2008

Chinese enterprises likely to invest in rail transport and ports

Peru's minister of Transport and Communications, Verónica Zavala, said today that some Chinese businessmen are interested to invest in the Peruvian rail transport of minerals and port sectors.

"There is an interest of China in railways and ports as part of its projects in the mining industry, specifically in terminals as Marcona (Ica)", she said after the opening ceremony of the APEC 2008 CEO Summit held in Lima.

In this sense, she said that these possible investments aim to insure an efficient transport for the future mining initiatives; even though nowadays these are located at the center and north zones of the country, there is also an interest in the southern zone.

"This is the reason why it is important to point out that the portfolio of projects for concessions and public.private partnerships in this sector amounts to 3.3 billion dollars", she said.

Zavala indicated that another project that has attracted the Chinese interest is the Tren Electrico (Electric Train), because one of the bidders is the investor that currently has the concession of the Shangai train.

Publication: Andina - English Newswire
Provider: Andina
November 21, 2008

11/10/08

Fashion brand Cherokee launches in Peru

Cherokee Inc., a leading licensor and global brand management company, has recently launched its Cherokee brand products in Peru with Falabella's Tottus Stores.

Mark Nawrocki, Executive Vice President and Managing Director of Cherokee Brand Development, said they are proud of their recent launch in Peru as the company continues to execute their 'world brand' strategy.

With partners covering over 30 countries around the world, Cherokee has become one of the fastest growing family lifestyle brands internationally.

"While we continue to build our brand with our existing partners, we look forward to our upcoming launches over the next 12 months in Spain with Grupo Eroski, and in the Middle East with Geant, a division of Al Hokair," Nawrocki said Friday.

Cherokee Inc., based in Van Nuys (Los Angeles, USA), is a marketer, licensor and manager of a variety of brands it owns (Cherokee, Sideout, Carole Little and others) and represents.

Currently, Cherokee has licensing agreements in a number of categories, including family apparel, fashion accessories and footwear, as well as home furnishings and recreational products

Publication: Andina - English Newswire
Provider: Andina
November 9, 2008

11/9/08

Peru, Brazil to promote production and marketing of Arapaima

Authorities, entrepreneurs and communities from Peru and Brazil will create a "strategic alliance" to jointly promote production and marketing of Arapaima, a South American tropical freshwater fish, the Peruvian Amazon Research Institute (IIAP) reported today.

IIAP's director, Luis Campos, told Andina news agency that they are arranging a meeting in February attended by regional governments of Ucayali, San Martin, Loreto, and the Brazilian National Institute of Amazonian Research, among other intitutions.

"The aim is to achieve strategic alliances for the resource management, give added value to our products and strengthen scientific research", he said.

Campos said they seek to establish an environmentally profitable bio-trade which helps to expand production of this organic fish without harming the environment.

The arapaima, pirarucu, or paiche (Arapaima gigas) is a South American tropical freshwater fish. It is one of the largest freshwater fish in the world, reportedly with a maximum length up to 4.5 m (14.75 ft.) and weight up to 200 kg (440 lb.). The maximum weight and length is disputed.

It is the largest freshwater fish in South America. As one of the most sought after food fish species in South America, it is often captured primarily by handheld nets for export, by spearfishing for local consumption, and, consequently, large arapaima of more than 2 m are seldom found in the wild today.

IIAP is a Peruvian institution which is focused on scientific and technological research for development and sustainable use of biodiversity in the Amazonian region.

Publication: Andina - English Newswire
Provider: Andina
November 9, 2008

11/2/08

Juniors lacking finance options for mining exploration

Mining exploration in Peru in what is left of this year and next will diminish due to the fact that the 150 juniors at work locally are or will be struggling to obtain the financing they need from the markets on which they trade (mainly the bourses of Toronto and Vancouver, Canada, plus The City of London). Some juniors have seen their shares fall by 50% this year, notes Miguel Cardozo, president of the Comite de Mineria at the Camara de Comercio Canada-Peru as well as being executive president of the junior Alturas Minerals. The firms have been struggling for cash since February.

Peru received almost US$550mil in mining exploration investment in 2007; Cardozo expects the total to be similar this year before dropping substantially (around 30%) in 2009.Luis Vela, executive vice-president of Andean Exploraciones, a junior trading on the Vancouver exchange, says that firms must seek out other financing formats. Andean boasts two projects, Invicta (in Lima) and Sinchao (in Cajamarca). Between them, they will require investment of US$80mil in 2009 if reserves are to continue to be confirmed. Meanwhile, the director of finance at Compania Minera Buenaventura, Carlos Galvez points out that a slowing-up of investment will return to haunt firms further down the road when quality and volumes take a tumble.

Publication: SABI - Business News
Provider: South American Business Information
Date: November 2, 2008

10/31/08

Galletera del Norte expanding plant

Galletera del Norte, part of Grupo Salomon, is close to completing a US$5mil expansion of its plant in Ate-Vitarte. The Peruvian biscuit-manufacturer's installations are growing by 25% to meet with growing demand and a raft of new launches (over ten a year).

Leandro Mariategui, general director of Galletera del Norte, states that the firm will be looking to enter new markets and to consolidate its presence in southern Peru (Arequipa, Puno and Cusco). The firm reached out to Chile early this year and is also present in Ecuador now. The company has invested US$2.5mil in doubling its pannetoni production too.

Publication: SABI - Business News
Provider: South American Business Information
Date: October 30, 2008

Chema to post 60% revenue growth in 2008

Peruvian industrial group Chema hopes to end 2008 with revenue growth of 60% to end up with sales of US$15mil, says its head of the technical-commercial department at the firm, Percy Morales. This looks set to be the fourth year in a row that Chema has posted such high levels of growth but for 2009 the target is just 30%.

The operation has grown its provincial sales to the extent whereby they now represent 40% and not 20% of production. Exports should be rising soon since Chema only exports 5% of its output to the US, Costa Rica and Colombia at present. The firm is looking into building two new plants outside Lima since currently it runs three shifts and is at 100% of its installed capacity.

Publication: SABI - Business News
Provider: South American Business Information
Date: October 30, 2008

10/30/08

Six-airport concession to be granted in 2009

The concession of six regional airports in southern Peru is expected to be granted during the first three-month period next year, announced Thursday Peru's minister of Transport and Communications, Veronica Zavala.

"It is almost certain that the concession of six airports located in southern Peru will be awarded during the first three-month period of 2009", he told Andina news agency.

The air terminals included in this second package are the airports of Andahuaylas (Apurimac), Arequipa, Ayacucho, Juliaca (Puno), Puerto Maldonado (Madre de Dios) and Tacna, currently managed by the Peruvian Corporation of Airports and Commercial Aviation (Corpac).

Peru's Promotion Agency of Private Investment (ProInversión) has recently reported that it will call a tender in order to grant the concession of these six regional airports.

The awarded bidder will be in charge of the construction, financing, operation, maintenance, and exploitation of the six airports.

The concession term will be 25 years and will be public co-financed; the competence factor will be the lower amount required by investors for the operation and maintenance of the air terminals.

The estimated investment amounts to 131.9 million dollars for the whole concession period, not including the General Sales Tax (IGV).

This concession aims to improve the quality of airport services in a sustained way, allow the foreign trade and tourism development, increase the flow of passengers in the respective localities, and boost the interest of air companies towards these destinations, resulting in a favorable impact in these regions.

It is worth mentioning that the first package of regional airports, located in Trujillo (La Libertad), Anta-Huaraz (Ancash), Tumbes, Talara (Piura), Pucallpa (Ucayali), Chachapoyas (Amazonas), Tarapoto (San Martín), Cajamarca and Iquitos (Loreto), was granted in August 2006.

Publication: Andina - English Newswire
Provider: Andina
Date: October 30, 2008

10/20/08

Seven Peruvian SMEs close deals worth US$1.55 million during U.S. tradeshow

Seven Peruvian small and medium enterprises involved in the broad natural and organic food sector achieved export sales worth 1.55 U.S. dollars during his participation in the Natural Products Expo East tradeshow in Boston, USA.

Peru's participation in this tradeshow aimed to promote our export-oriented production and explore business opportunities in a booming sector worth nearly 5 billion dollars.

This year's Natural Products Expo East, held October 15-18 at the Boston Convention & Exhibition Center, drew more than 26,000 industry attendees and featured more than 2,100 exhibits.

The show's healthy attendance echoes the continued strength of natural and organic products nationally and in the northeast region in particular.

Publication: Andina - English Newswire
Provider: Andina
Date: October 20, 2008

10/10/08

Cusquena sales soaring worldwide

Sales of the Peruvian beer Cusquena in Chile grew by 270% in the first three quarters of 2008 compared to January-September 2007, states Richard Gallagher, director of exports at Backus. A study by Nielsen suggests that Cusquena has achieved 70%-plus penetration at Santiago de Chile supermarkets. In 2007, Backus and Chile's Vina Concha y Toro began a commercial relationship; in April 2008, the Backus brand Cusquena was presented in Chilean society as a premium beer. It is also available in Valparaiso and Vina del Mar. Cusquena sales rose 45% in the US in the first three quarters of 2008 and by 15% in both Spain and Britain in the same period. This year, Cusquena's home-town plant in Cusco, Ciudad Imperial, is celebrating its one-hundredth birthday.

Publication: SABI - Business News
Provider: South American Business Information
Date: October 9, 2008

Luxury Properties to spend up to US$15mil in five years

Italian hotel chain Luxury Properties plans to invest between US$10mil and US$15mil in Peru over the next five years, says its local general director, Jose Carlos Canales. It will build three boutique hotels, one in Cusco, another in Lima and a third in an as yet undecided location. The hotels will respect the colonial style of the buildings acquired. Luxury carried out a pre-inauguration a few months back of the hotel Casa Cartagena Luxury Properties & Spa in Cusco after spending of US$5mil. The establishment is Patrimonio Historico de Peru, named so by both the Instituto Nacional de Cultura (INC) and the Congreso de la Republica. It now features 16 150-square-metre suites and a big spa as well as a gourmet restaurant and bar. Luxury's next local project is likely to be the boutique hotel in Lima.

Publication: SABI - Business News
Provider: South American Business Information
Date: October 9, 2008

10/9/08

Copeinca close to choosing strategic partner

Before the year is out, Pesquera Copeinca of Peru should have decided on the incorporation of a strategic partner with whom to expand its role in the direct human consumption segment of the fishing sector. At present, it participates in this area via the subsidiary Marinasol. Samuel Dyer, general director at Copeinca, states that the partner should bring both capital and (processing) know-how to the table since his firm will stick to mackerel fishing by and large.

Marinasol plans to build a canned- and frozen-fish plant in Paita for US$10mil soon. Dyer already has a partner in mind, a big international operation allegedly. Copeinca is currently merging with Pesquera San Fermin and Piangesa, two firms bought last year.

Publication: SABI - Business News
Provider: South American Business Information
Date: October 9, 2008

Kimberly Clark Peru to invest $30 million in machinery next year

US Kimberly Clark Peru reported Thursday it will invest 30 million dollars in complementing equipment and new machinery, at its two production plants located in districts of Puente Piedra and Ate.

On February 11 this year, the company announced an investment of 60 million dollars to expand its two production plants, which would increase significantly the number of employees, from 600 to 1,200.

The general manager of the company Blanca Quino, explained that these expansions will improve processes in family care line, because the company will purchase toilet paper rolls converting machinery, as well as some personal accessories for personal care products machines.

"We will make this investment due to the internal demand growth, the privileged geographical location of the country and the competitive costs when exporting from Peru to other countries of the region such as Bolivia, Ecuador, and some Central American countries.

Publication: Andina - English Newswire
Provider: Andina
Date: October 9, 2008

10/1/08

AFPs to invest in electricity and retail to protect customers funds

Private Pension Fund Administrators (AFP) in Peru are evaluating new investment opportunities in the local market to protect their customers' funds from International financial crisis, reported Monday the investment central manager of Integra (AFP), Gonzalo de las Casas.

"At the moment, we are investing in infrastructure projects, but we are also interested in new investment opportunities related to electricity and retail", de las Casas stated.

He said the international financial crisis which is getting worse after US House of Representatives defeated a 700 billion dollar bailout plan, will have a minimum impact on the workers' pension funds.

"The biggest impact will be focused on global stock markets, which expected US Congress would pass the bill in order to overcome the crisis", he told Andina news agency.

He said most of the customers' funds are invested in the local market, so Peru does not have a direct problem with the financial crisis.

Publication: Andina - English Newswire
Provider: Andina
Date: September 30, 2008

9/30/08

Chef Acurio brings Peru's food boom to the poor

In a tucked away neighborhood in a dirt poor part north of Lima, Peru's capital, a school started by an elite chef is training students from humble backgrounds in the skilled art of Peruvian cuisine.

Like its economy, Peru's culinary community is exploding, and chef Gaston Acurio says people from all walks of life should have a chance to take part.

"On the one hand, we have a booming food culture ... and on the other hand, we have youth without opportunity. The school is meant to bring the two hands together," said Acurio, who runs the school and dozens of successful restaurants all over the world.

Though trained in Spain and France, Acurio is best known inside Peru for combining classic European techniques with typical ingredients in the Andean country, and for telling Peruvians their cuisine is world-class. Plates in his restaurants reflect the country's desert coast, frigid mountains and sweltering jungle, while appealing to people with different size wallets.

Students at the cooking school in Pachacutec are encouraged to experiment while being taught to make the classics.

"For us, it is the best school in Peru. The cooks that will graduate from here already have contracts with the best restaurants. They are fighting over students," Acurio told Reuters at a food festival in Lima this week.

His top-end flagship restaurant is Astrid y Gaston, now with branches in Lima, Santiago, Caracas, Bogota, Quito and Madrid. Acurio has two middle-range chains, Tanta, an urban classic, and La Mar, a ceviche restaurant with kitchens in Lima, Mexico City, Santiago and soon, in San Francisco. And he has a fast-food chain called Pasquale Hermanos, which serves criollo dishes like fried pork skin on bread.

Students at the school pay roughly 60 soles ($20.20) a month to attend classes taught by some of the country's most prominent chefs. Private companies also make contributions and students, like Cesar Raul Toribio, help clean to cut costs.

Toribio lives near the school and pays for his classes by hopping on public buses to play music and ask for donations.

He spoke as his teacher poured over the texture of his causa - a typical Peruvian dish made from mashed potatoes, aji pepper, lime, vegetables and fish.

"My idea is to work five years at a good restaurant where I can learn and gain enough experience to be able to open my own place," Toribio said.

Publication: Andina - English Newswire
Provider: Andina
Date: September 30, 2008

9/29/08

San Isidro to gain more office space

The Triple-A office-space market in San Isidro, Peru, is attracting ever greater investment. Yesterday, the family Martinez (shareholders in Pesquera Hayduk) and the brothers Kulenkampff, owners of the site measuring 7,000 square metres that is to be used, announced investment of US$70mil in the project Plaza Republica.

The Martinezes and the Kulenkampffs will put up two tower-blocks of 19 storeys apiece plus underground parking for 1,500 cars, explains Rafael Florez-Estrada, director-general of Binswanger, the property development group the two families have brought on board for consultancy purposes.

The building on the site already, home mainly to town-council space, will be demolished. Nextel has already signed up for office-space in tower one, already 45% reserved and set to open in March 2010 (at which point tower two will go under construction).

Publication: SABI - Business News
Provider: South American Business Information
Date: September 29, 2008

9/19/08

Brazil Petrobras May Participate in Peru Pipeline Expansion - Petroperu

A possible alliance between Peru's state-owned company Petroperu and Brazil's federal oil giant Petrobras could participate in infrastructure projects in Peru such as the expansion of the oil pipeline Oleoducto Norperuano, Petroperu's president, Cesar Gutierrez, projected on September 18, 02008.

The alliance has been proposed by the Peruvian President Alan Garcia at the opening of Peru-Brazilian forum ExpoPeru 2008 in Sao Paulo, southeastern Brazil, on September 18.

The companies are interested to ally on the expansion of Oleoducto Norperuano, which will allow to produce heavy crude oil close to Andoas, in the Peruvian northern region of Loreto, Gutierrez explained.

The alliance between the two companies could also participate in an expansion of Peru's Bayovar port terminal to increase its oil storage capacity.

Publication: Business Digest
Provider: AII Data Processing Ltd.
Date: September 19, 2008

9/18/08

T-Copia shows graphic strength

The graphic-arts industry is enjoying a successful period in Peru, set to post sectorial sales of almost US$750mil in 2008, a rise over year 2007's US$600mil. Jose Francisco Hidalgo, marketing director at T-Copia, states that big companies from home and abroad are attracted to the sector now but that for now there is space for everyone. In 2007, his firm posted a turnover of US$4mil; for 2008, from its independent operations, it should post US$6mil plus another US$2mil from franchises such as Office 1. T-Copia wants a chain of 50 shops across Peru as of 2010 when at present it operates 18, 16 of which are in Lima. It also wants to internationalise more; currently, it operates solely in Peru, Ecuador and Bolivia.

RIL, China firm team wins Peru gas lot

Puno is located in the south eastern region of the country. Lima, Sep. 18 (ANDINA).- Reliance Industries has for the first time teamed up with China's CNPC to win a gas block in Peru in an effort by the Mukesh Ambani-run company to expand its presence in Latin America.

Reliance Exploration and Production DMCC, a fully-owned subsidiary of Reliance Industries, along with China National Petroleum Corp (CNPC) and Argentina's Pluspetrol last week won rights to explore for gas in Block 155, in the southern highland department of Puno, next to the border with Bolivia, industry sources said.

Meanwhile, Jindal Steel and Power Ltd teamed with up Enigma Oil and Gas Exploration (Pty) Ltd to win onshore blocks 147, 159 and 153 in Peru's 2008 bidding round that auctioned 17 new oil and gas blocks.

Reliance-CNPC-Pluspetrol offered royalty of 24.58 per cent to Peruvian government while Jinda-Enigma offered 30.02 to 32.03 per cent royalty, sources said.

Peru had originally offered 22 oil and gas lots, but received bids for only 17.

Reliance has, since April this year, steadily increased its presence in the Latin American nation. On June 29, it acquired 10 per cent stake in Lot 39 in northern Peru from Burligton Resources Inc.

In May, it had teamed up with Woodside Petroleum to acquire 50 per cent in Block 108 in Peru from Pluspetrol Energy SA. Of the 50 per cent stake acquired, Reliance got 30 per cent, while Woodside Petroleum got 20 per cent. Pluspetrol Energy will retain the remaining 50 per cent stake.

The company also acquired 90 per cent stake in Block 141 in Peru from Pan Andean Resources Plc in April this year.

Publication: Andina - English Newswire
Provider: Andina
Date: September 18, 2008

9/9/08

Colombian ISA To Invest $550 Mln in Transmission in Peru

Colombian electricity group Interconexion Electrica SA (ISA) projects to invest nearly $550 mln (380 mln euro) in new electricity transmission infrastructure in Peru over the next four years, the managing director of ISA's local subsidiary Red de Energia del Peru (REP), Carlos Ariel Naranjo said on September 8, 2008.

REP has recently presented to the Peruvian Energy and Mines Ministry a plan for electricity transmission projects, due to be developed over the next 10 years. The plan includes the construction of a 500 kV line between Chimbote and Trujillo, and another line of 220 kV between Trujillo and Cajamarca, all in the northern part of the country.

The new lines are necessary amid the expansion of the local mining sector, Naranjo explained.

REP will focus on northern Peru, as the electricity demand in the southern part of the country will be guaranteed by several ongoing projects.

On September 8, ISA signed a 30-year concession contract for the construction and operation of the 94 km Chilca-La Planicie-Zapallal line. ISA won the concession on June 17.

Besides REP, ISA is present in Peru's power transmission sector through TransMantaro and ISA Peru.

Publication: Business Digest
Provider: AII Data Processing Ltd.
Date: September 9, 2008

Egenor to bring Carhuaquero expansion online in October, Flores in 2010

Peruvian generator Duke Energy Egenor aims to begin expanded operations of its Carhuaquero hydroelectric plant in October, according to company adjunct general manager Mark Hoffmann.

Plant capacity will increase by 5.7MW to 112MW, state news agency Andina quoted Hoffmann as saying.

Carhuaquero began operations in 1991 and is in Cajamarca region.

The executive also announced that operations of the 170-197MW Las Flores thermo project are planned to begin in 2010.

The project's equipment has been purchased, Hoffmann said. The plant will be built in Chilca south of capital Lima.

The energy and mines ministry's energy environmental affairs department (DGAAE) has approved Flores' EIS and a US$95mn leasing contract has been signed with Banco de Crédito to finance construction.

The generator already operates the 263MW Cañon del Pato hydro plant and six thermo plants that total 144MW.

Publication: Business News Americas - English News
Provider: Business News Americas
Date: September 8, 2008

9/8/08

19 bidders presented offers for 17 hydrocarbons blocks tender

Some 19 bidders, including enterprises and consortiums, presented Monday their technical and economic offers for 17 hydrocarbons blocks in the framework of the international bidding process organized by Perupetro, to be held on Wednesday.

The general manager of Perupetro, Ronald Egúsquiza, reported that 58 companies have sent their intention letters to take part in the next tender. Only 44 bidders have pre-qualified to continue the process, and only 19 sent their intention letters today.

In addition, 17 of 22 blocks incorporated to the bidding process have received offers, which means that investors are interested in 85 percent of these blocks.

He said that most of the interested companies were from India, such as Jindall Steel, Reliance Industries and Global Steel Holdings.

He stated that block 149, located at the Marañón basisn and close to the area of heavy crude oil, was the most demanded. Five enterprises were interested in it.

Publication: Andina - English Newswire
Provider: Andina
Date: September 9, 2008

9/6/08

California investors eye Peru's dairy & biodiesel sectors

A group of businesspeople of the Greater San José Hispanic Chamber of Commerce (GSJHCC) in California, USA, is planning to invest 33 million dollars in Peru's dairy, manufacturing and biodiesel sectors, its executive director Carlos Figueroa announced today.

Figueroa explained that the San José Hispanic Chamber of Commerce invests in profitable projects in a joint effort with other companies.

He said the GSJHCC is interested in building a dairy plant, through a joint venture, which will require an investment of between 12 and 15 million dollars.

"In this occasion, we have met with stockbreeders from Trujillo (La Libertad), and then we will visit Arequipa because in one of these cities we plan to build the plant", he told Andina news agency.

The Greater San José Hispanic Chamber of Commerce (GSJHCC) is a democratic, open, transparent, membership-driven, entrepreneurial organization committed to serving the needs of the varied business community in the San Jose Area.

Publication: Andina - English Newswire
Provider: Andina
Date: September 5, 2008

9/5/08

Cementos Lima flexes unused muscles in front of Cemex

The cement sector in Peru is dominated by six players, Cementos Lima, Pacasmayo, Andino, Yura, Sur and Selva. The most important of the six is Cementos Lima (with its Sol and Atlas brands): the group boasted 38.2% of the year-2007 market nationally, according to the local Asociacion de Productores de Cemento, selling 2.57 million m tons, almost twice as much as Pacasmayo, the second leading firm.

Cementos Lima, aged 92, has its brands distributed by La Viga, a firm which notes that the majority of sales are for home-building, the vast majority sold in 42.5-kilo bags. Lima had recourse to an advertising agency for the first time just last year, asking Mayo to transform generic products into brands. In 2007, Cementos Yura, the fourth player in the industry with a 15.9% market share, invested just US$469 in advertising (on one magazine advert). Lima spent almost 1,000 times more as it prepared for battle with Latinamerican Trading, the name behind which Cemex of Mexico has entered the market.

Publication: SABI - Business News
Provider: South American Business Information
Date: September 5, 2008

9/4/08

Clinica Internacional expanding again

Clinica Internacional, owned by Grupo Brescia, acquired Clinica San Lucas in 2006 and is now keen on further expansion to become the health-centre group with the largest capacity and the best infrastructure in all Peru, says its commercial director Pedro Chavez-Cabello. Clinica Internacional is to open what it calls a new medical centre in 2010 at a Grupo Brescia mall in Lima. It is also growing San Lucas at a cost of US$7mil this year, adding a building and a new floor for the existing building. Chavez-Cabello is hoping for a turnover of US$48mil, a rise of 18% over 2007, from its four existing medicentros in San Isidro, Surco, San Borja and Huaraz.

Publication: SABI - Business News
Provider: South American Business Information
Date: August 21, 2008

9/2/08

Six consortiums interested in Paita port concession, to be awarded October 22

Peru's state agency for the promotion of private investment ProInversión announced that six private consortiums are interested in the Paita port concession, in Piura region, state news agency Andina reported.

The concession will be awarded on October 22 and it is the only port concession that will be awarded this year, according to ProInversión executive director David Lemor.

Pisco port (Ica region) and the fluvial port of Yurimaguas (Loreto) will be awarded in the first half of 2009.

"In the Yurimaguas port, there is a strong will on behalf of the authorities and the local population to hand it over in concession," Lemor was quoted as saying by Andina.

Yurimaguas is different to other concessions as the terminal needs to be built in a different location.

Lemor said the delay in awarding Pisco port was not ProInversión's responsibility and that the transport and communications ministry announced the delay due to certain problems in the process.

Pisco port was affected by an earthquake in August 2007 and has an insurance claim for damage. The amount to be paid has not yet been established, Lemor said.

He added that it has still not been decided whether the insurance claim will be part of the concession process, as it could be used to improve the financial attractiveness of the project.

"It would not make much sense to receive an insurance compensation and make repairs that might be modified later by the concessionaire," Lemor said.

Previously, deputy transport minister Carlos Puga said that the concession of the fluvial ports Pucallpa (in Ucayali) and Iquitos (Loreto) would be awarded in the first quarter of 2009.

Publication: Business News Americas - English News
Provider: Business News Americas
Date: September 2, 2008

9/1/08

Mibanco shareholders agree to raise up to US$15mn via IPO

Shareholders of Peruvian microfinance lender Mibanco agreed to raise up to 45mn soles (US$15.5mn) via an IPO, the bank told securities regulator Conasev in filing.

Funds will be raised through a public offer of shares and American Depositary Receipts (ADRs).

The shares will be class B, which have no voting rights, the filing said.

Mibanco reported 2.194bn soles in assets and equity of 209mn soles as of June 30, 2008, according to financial sector regulator SBS.

Publication: Business News Americas - English News
Provider: Business News Americas
Date: September 1, 2008

8/28/08

Kuntur and Odebrecht to sign agreement to develop Andean Gas Pipeline Project in southern Peru

Gas Transport Company Kuntur and Brazil's construction company Odebrecht will sign an agreement that will allow the Brazilian conglomerate to join the consortium led by Kuntur, responsible for the development of the Andean Gas Pipeline project in Southern Peru, which means that the work team for this project is already consolidated.

The Andean Gas Pipeline project in Southern Peru, led by Kuntur, will transport natural gas from fields located at Cusco region up to 16 provinces in southern Peru, including cities of Cusco, Arequipa, Matarani (Arequipa), Juliaca (Puno) and Ilo (Moquegua) with and investment of about 1,3 billion dollars.

"The signing of this agreement means that we will count with the vast experience and prestigious of Odebrecht in the construction of big energy projects", said the executive president of Conduit Capital Partners, parent company of the Peruvian Gas Transport Company Kuntur.

In turn, Odebrecht investment manager Luis de Castro stated that the company is pleased to join this project and contribute its experience in works of same nature.

Publication: Andina - English Newswire
Provider: Andina
Date: August 28, 2008

8/27/08

King Kong, traditional Peruvian pastry likely to be exported to Mexico

King Kong, traditional Peruvian pastry likely to be exported to Mexico. Photo/Andina/Archive Lima, Aug. 26 (ANDINA).- Peruvian San Roque company plans to export this year to Mexico the traditional pastry of Lambayeque called "king kong", that consists of several sheets of a type of shortbread stuffed with manjar blanco, peanuts and cooked fruits such as pineapple, reported today the manager of the company, Jorge Piscoya.
Peru's government also shows expectations for a possible exportation of this product to South American countries.

Piscoya emphasized that after the successful exportation of "king kong" to the US market, the product has also been offered to the Peruvian communities in Dominican Republic, Costa Rica, Sweden, Switzerland and Japan.

"After great difficulties, we are sending to Japan half a ton monthly", he added.

Publication: Andina - English Newswire
Provider: Andina
Date: August 27, 2008

8/25/08

Camargo Corrêa wins contract to build, operate US$270mn treatment plant

Brazilian construction firm Camargo Corrêa won the contract to build and operate the second biggest water treatment plant in Peru, valued at US$270mn, Brazilian press reported.

The new plant will be built in Huachipa, in the metropolitan area of Lima.

To participate in the process, Camargo Corrêa formed a consortium with French OTV, in which the Brazilian firm has an 81% share. As part of the contract, Camargo will operate the plant for the first four years.

Currently, Camargo has a portfolio of projects worth about US$400mn in Peru but this is the first sanitation initiative. The firm plans to expand operations in sanitation by participating in a series of tenders for water and sewerage services that Peruvian President Alan García is planning to implement by 2011.

"This is one of our principle focus points here. There is a lot of room for growth in the sanitation sector in Peru," Marcos Wanderlei, Andean division director of Camargo Corrêa, was quoted as saying by Brazilian paper Valor Econômico.

He added that the company is planning to invest nearly US$600mn in new projects over the next two years.

The Huachipa treatment plant is one of the most important projects in García's sanitation program. The plant will supply potable water to 2.4mn people in five municipalities in the metropolitan region.

The winning consortium will also build a 27km distribution network, two 5km tunnels and five reservoirs. "This is a big project, one of the largest ever carried out in the Peruvian sanitation sector," Wanderlei said.

The US$270mn plant is part of a series of investments that the Peruvian government is making in sanitation. García aims to supply potable water and sewerage services to the entire greater Lima population by 2011, with investments of roughly US$2.7bn.

In the coming months, the government will call tenders for a water supply plant in the capital which requires a US$285mn investment and two sewage treatment plants costing over US$500mn.

Camargo Corrêa plans to participate in these bids, Wanderlei said.

Publication: Business News Americas - English News
Provider: Business News Americas
Date: August 25, 2008

8/21/08

Inca Pacific buys ball mill for Magistral

Vancouverite Inca Pacific Resources (TSX-V: IPR) has awarded Bateman Engineered Technologies the contract for the supply of a ball mill, expected to be delivered by September 2010, for its Magistral copper-molybdenum project in Peru, the former reported.

"We are very pleased to be placing this long lead-time order while we wait to receive approval of our environmental and social impact assessment as well as many other key permits. We believe that working on multiple critical path matters at the same time is essential to keep the Magistral project on schedule," Inca Pacific's CEO Anthony Floyd said in a statement.

Inca Pacific said it is also evaluating the purchase of either a semi-autogenous grinding (SAG) mill or a high pressure grinding roll (HPGR) mill.

"Operating costs and delivery times for HPGR mills are currently better than SAG mills. In addition, the HPGR technology may offer advantages in plant capacity and process recoveries," the statement said.

A decision regarding which milling technology will be used at Magistral, as well as finalization of negotiations with a vendor to provide the selected technology is expected within 45 days.

The project entails building a 20,000t/d open-pit mine and concentrator to produce copper and molybdenum concentrates for 15 years, and has an estimated US$402mn capex.

Publication: Business News Americas - English News
Provider: Business News Americas
Date: August 20, 2008

8/20/08

Pucallpa, Iquitos ports to be launched for concession in 2009

Peruvian ports Pucallpa and Iquitos are scheduled to be concessioned during the first quarter of 2009, local paper Gestión quoted transport and communications (MTC) deputy minister Carlos Puga as saying.

The tenders were expected to launch this month, following a statement issued by the national port authority (APN) earlier this year.

The modernization of Iquitos port will require an US$18mn investment, while works in Pucallpa will need at least US$24mn, Puga said.

MTC is currently working on the development of a multimodal transport plan that will include new concession initiatives, he added.

The government is also working on modifying a policy that holds MTC responsible for highway maintenance. Authorities want to be able to hand these services over to the private sector as well.

The ports will be concessioned separately and their master plans have already been submitted to MTC's public investment projects department for approval.

According to past reports, Chinese investors have expressed interest in the Iquitos port, in Loreto region. Meanwhile Spanish capitals have sought information regarding Pucallpa, in Ucayali region.

In the meantime, APN continues to design master plans for ports Yurimaguas in Loreto, Ilo in Moquegua and Salaverri in La Libertad.

All bidding processes will be handled by state agency for promoting private investment ProInversión.

Publication: Business News Americas - English News
Provider: Business News Americas
Date: August 20, 2008

Argentina keen on investing in Peru due to FTA with United States

The secretary of External Relations in Argentina, ambassador Victorio Taccetti, during his official visit to Peru, said that Argentine investors would go into partnership with Peruvian entrepreneurs to carry out exports to countries, where Peru have signed trade agreements.

Mainly, Taccetti pointed out the benefits that a Free Trade Agreement between Peru and the United States represents, as well Peru's participation in the Asia-Pacific Economic Cooperation Forum (APEC).

"Of course, we want to seize every business opportunity along with Peruvian companies, according to the norms established by free trade agreements and Peru's integration into this process to help us entering these markets; if they are great opportunities, we will take advantage of them.", he said to the local press.

In addition, he guarantteed that trade and investment relations between Peru and Argentina are on the right track, as 60 Argentine businessmen' presence prove it.

Thease investors will participate in the seminar called "Business Opportunities between Argentina and Peru", to be held during their visit.

Publication: Andina - English Newswire
Provider: Andina
Date: August 20, 2008

Argentina keen on investing in Peru due to FTA with United States

The secretary of External Relations in Argentina, ambassador Victorio Taccetti, during his official visit to Peru, said that Argentine investors would go into partnership with Peruvian entrepreneurs to carry out exports to countries, where Peru have signed trade agreements.

Mainly, Taccetti pointed out the benefits that a Free Trade Agreement between Peru and the United States represents, as well Peru's participation in the Asia-Pacific Economic Cooperation Forum (APEC).

"Of course, we want to seize every business opportunity along with Peruvian companies, according to the norms established by free trade agreements and Peru's integration into this process to help us entering these markets; if they are great opportunities, we will take advantage of them.", he said to the local press.

In addition, he guarantteed that trade and investment relations between Peru and Argentina are on the right track, as 60 Argentine businessmen' presence prove it.

Thease investors will participate in the seminar called "Business Opportunities between Argentina and Peru", to be held during their visit.

Publication: Andina - English Newswire
Provider: Andina
Date: August 20, 2008

8/18/08

Torvisco hard at work

Grupo Torvisco of Peru is busy as a bee right now. It plans to construct three malls in Lima; the Anpay Peru brewery is 98% finished just two kilometres from the Anypsa paint plant it owns; a new mall, Imperio, is 25% built in Puente Piedra; said mall will feature the Torvisco supermarket chain Uniko; the group already owns another three sites in Lima that could be used for shopping centres too, notes Nemecio Torvisco Palomino, financial director of the holding company. The brewery was meant to have been built two years ago but a lack of liquidity was not overcome. Soft drinks and waters will also be launched during 2009 using the brands Top Kola and Gaviota.

Publication: SABI - Business News
Provider: South American Business Information
Date: August 18, 2008

8/15/08

Petroperu Doubles Diesel Imports to Supply TPPs

Peruvian state-owned oil company Petroperu has doubled diesel imports in order to supply the country's thermoelectric power plants (TPPs) amid gas supply problems, it said on August 14, 2008.

The company raised its diesel imports to 12,000 barrels per day (bpd) from 6,000 bpd on demand by electricity producers Edegel and EnerSur, Petroperu president Cesar Gutierrez said.

The companies sought to use diesel in the place of natural gas due to reduced gas supplies following a congestion of a pipeline which transports natural gas from Peru's Camisea field.

Publication: Business Digest
Provider: AII Data Processing Ltd.
Date: August 15, 2008

8/14/08

Epicor signs Teresópolis, SCS BMS as new channel partners

US business software solutions provider Epicor (Nasdaq: EPIC) has signed alliances with IT systems integrators Teresópolis and SCS BMS Perú, as a way to enter the Peruvian market, Epicor said in a statement.

Through these alliances, Epicor plans to offer Peruvian companies its entire portfolio of ERP, CRM, SCM and professional services automation solutions (PSA).

"Our alliances with Teresópolis as SCS support plans to increase our presence in the Latin American market," Epicor sales director for Latin America, Iván Rebolledo said.

Founded in 1984, Teresópolis provides company streamlining products and services in several business areas. In association with Technology Coast Partners, Teresópolis plans to offer consultancy, implementation, installation, customization, support and training for Epicor's solutions oriented to the manufacturing industry.

Meanwhile, SCS BMS Perú is the local unit of Venezuelan integrator SCS BMS and one of Epicor's channels for sales, implementation and support of the Epicor iScala solution.

With nearly 13 years of operations in Latin America, Epicor distributes three versions of its ERP in the region: Enterprise, iScala and Vantage. With the solutions, the company has penetrated the distribution and financial, pharmaceuticals and manufacturing segments, respectively.

Publication: Business News Americas - English News
Provider: Business News Americas
Date: August 13, 2008

Egasa granted hydro concession totaling 560MW

Peru's energy and mines ministry has granted generator Egasa a temporary concession for hydro projects totaling 560MW of installed capacity.

Egasa, which submitted the request for the concession in May, has six months to carry out feasibility studies, the official gazette reported.

The projects are Lluta I and II, and Lluclla I and II.

Studies will be carried out in the Huambo, Lluta, Huanca and Santa Isable de Siguas districts of Caylloma and Arequipa provinces in Arequipa region.

Egasa already holds a temporary concession for the 310MW Molloco hydro project.

The generator operates the Charcani I, II, III, IV, V and VI hydro plants and thermo plants Chilina y Mollendo. Egasa June output reached 73.1GWh.

Publication: Business News Americas - English News
Provider: Business News Americas
Date: August 13, 2008

8/13/08

Gold Fields plans to invest $800 million to operate Cerro Corona mining project

The company Gold Fields, fourth producer of gold in the world, plans to invest 800 million dollars in the exploitation of minerals of the deposit found in the project Cerro Corona, located in Cajamarca region, reported today its executive vice-president for South America, Juan Luis Kruger. Kruger indicated that the company has already invested 550 million dollars in the mentioned project and that it is in the final stage of the mining plant setting up.

"On August 10 the plant started producing as a test, minerals concentrates and, from this weekend, we will begin to produce the lot of minerals that we will export to the refineries that we have abroad ", he indicated.

In addition, Kruger pointed out that the first consignment of golden and copper concentrates will depart from Salaverry's port in La Libertad to international markets in the month of September.

Cerro Corona project is located ten kilometers northwest of the town of Hualgayoc, 30 kilometres southwest of Bambamarca (provincial capital) and 90 kilometers away from Cajamarca city, the capital of the department.

Publication: Andina - English Newswire
Provider: Andina
Date: August 13, 2008

Apoquindo Minerals lists on Lima exchange

Vancouverite Apoquindo Minerals (TSX-V: AQM) has started trading on Peru's Lima stock exchange under symbol AQM, the company reported in a statement.
Apoquindo is one of several foreign juniors that have listed on Lima's bourse in recent years as a complement to their initial listings, typically in Toronto or London.

The company is optioning the Pachagón porphyry copper project in Peru's La Libertad region from ASC Peru, a subsidiary of US-based Apex Silver (Amex: SIL).

However, Apoquindo is not focused strictly on exploration and plans to bring into production a roughly 25,000t/y copper mine of the same name in Chile within the coming years.

The company is planning to release a resource update on the project this month following which it will embark on a road show to raise funds.

Publication: Business News Americas - English News
Provider: Business News Americas
Date: August 13, 2008

8/11/08

Precor mulls investment in neighboring markets

Peru's major construction steel fabricator Precor is mulling investments in neighboring countries, such as Chile and Colombia - or even the Mexican market, Steel Business Briefing hears from company sources.

In Peru, the group is finishing an expansion program that will lift processing capacity by 35% to 120,000 t/y or so. It has invested US$9m in 2007 and should invest another US$5m this year, in order to maintain its leadership in the Peruvian market.

"A strategy to invest abroad should be defined over the next 12 months," a source at the company says. For 2008, Precor expects to reach revenues of US$100m, a 20-25% growth compared to last year.

Publication: SBB - Steel Business Briefing
Provider: Steel Business Briefing
Date: August 11, 2008

8/8/08

Wong Administracion y Servicios invests in Plaza Norte mall

WAS (W. Administracion y Servicios), the new firm set up by Erasmo Wong (the former main shareholder in Wong Supermercados), is to invest over Soles$180mil in the first stage of the Plaza Norte mall project. This first stage will be inaugurated for Christmas 2008, featuring an Hipermercado Metro, a Maestro Home Center and other smaller operations. Overall, the project will boast six anchor stores, three of which are already on board via leasing contracts signed with WAS. A bus terminal and a hotel will go up nearby soon.

Publication: SABI - Business News
Provider: South American Business Information
Date: August 8, 2008

8/4/08

Eco Inn plans to open four-star hotel in Lima district in 2009

The US hotel chain Eco Inn plans to open a four-star hotel near the El Olivar park in the Limean district of San Isidro during the second half of 2009.

The hotel, which aims to meet the demand of the growing business sector, will have 45 rooms, a business center, swimming pool and gymnasium, among other facilities.

"Although we had planned to open the hotel about the middle of this year, we have to postpone the opening till we get all municipal permissions and license", Eco Inn marketing manager in Peru, Rocío Gil, said.

She added that the company has the necessary investment for the project and so far the only reason why they do not build is because they do not have the municipal license.

Last year, the company said that it was interested in investing in other hotel projects in the country, as in the main cities of the north: Trujillo (La Libertad) and Chiclayo (Lambayeque), and some of the south.

Eco Inn also has a three-star hotel on the shores of Lake Titicaca and opposite the Island Esteves in Puno, and a recently renewed 22-room hotel at the ancient Mirador de Colca, in the Arequipa region.

Eco Inn is a brand of the US Interamerican Promo Hotels, with operations in Venezuela and Peru, where it combines low cost maintenance material and an energy saving system to run its hotels.

Publication: Andina - English Newswire
Provider: Andina
Date: August 3, 2008

8/3/08

Brazil-based scientists to promote nanotechnology development in Peru

Peruvian scientists living in Brazil are very interested in further promoting the development of nanotechnology and basic sciences in Peru, said physicist Ángel Bustamante of the Universidad Nacional Mayor San Marcos.

The initiative came after the International Scientific Meeting (ECI 2008) "Science and Technology for Sustainable Development", held this week at the Universidad Nacional de Ingeniería in Lima.

Most attendees were Peruvian scientists living in Brazil who expressed their willingness to collaborate with Peruvian public and private universities in technology development.

One of the conclusions reached at this meeting was to develop nanotechnology approaches, a field of applied science and technology whose unifying theme is the control of matter on the molecular level in scales smaller than 1 micrometre, normally 1 to 100 nanometers, and the fabrication of devices within that size range.

The ECI 2008 aimed to promote the exchange of information and experiences between scientists and engineers who take root out of Peru and the scientific Peruvian community; and to stimulate the scientific and technical cooperation of the Peruvian scientists taken root abroad.

Publication: Andina - English Newswire
Provider: Andina
Date: August 3, 2008

7/23/08

Huancavelica to become first trout exporting center with 7,000 tons a year

The department of Huancavelica, located in the center of the country, will become the first Peruvian trout exporting center, with an expected production of 7,000 tons of this fish a year, reported today Sierra Exportadora president, Gastón Benza Pflucker.

Benza Pflucker recalled that the mining group Rodríguez Mariátegui and the company Topy Top, both of Peruvian capitals, will invest a total of 11 million dollars for the installation of two industrial centers of trout breeding in Choclococha's lagoon in Huancavelica.

The project will generate 250 new jobs and each industrial plant will produce 3,000 tons of trout annually.

Nowadays Peru exports 1,500 tons, which turn both plants into the major center of industrial centre of trout breeding of the country.

Rodríguez Mariátegui group created the Peruvian Aquaculture Company, Benza Pflucker commented in the framework of the workshop: "Strategies to Develop Trout industry in Huancavelica's Highland".

Publication: Andina - English Newswire
Provider: Andina
Date: July 23, 2008

7/22/08

Energía Renovable picks up Marcona I, La Pampa wind concessions

Peru's energy and mines ministry has granted Perú Energía Renovable two temporary concessions for wind power generation projects totaling 200MW.

The projects are Marcona I (100MW) and La Pampa (100MW), the country's official gazette reported.

Energía Renovable submitted the temporary concession requests for Marcona and La Pampa in May and June respectively. The company has two years to carry out feasibility studies.

Marcona I studies will be carried out in the Marcona and Lomas districts of Nazca and Caraveli provinces in Ica and Arequipa departments. La Pampla studies will be carried out in San Pedro de Lloc and Rázuri districts of Ascope and Pacasmayo provinces in La Libertad department.

Earlier this year, the ministry awarded Perú Energía Renovable temporary concessions for wind projects Talara (300MW), Ilo 1 (200MW) and Ascope (100MW).

Publication: Business News Americas - English News
Provider: Business News Americas
Date: July 22, 2008

7/18/08

IFG to build frozen-fish plant

In the first week of August 2008, Investment Fishing Group (IFG) will begin to construct its first frozen-fish plant on a site measuring 20,000 square metres in southern Pisco, Peru. The plant will cost US$14mil but will boast a processing capacity of 100 m tons per day and storage space of 4,000 m tons of mackerel. IFG will later look to double storage space and quadruple processing capacity, says general director Santiago Freundt. The firm will be adding to its fleet.

Publication: SABI - Business News
Provider: South American Business Information
Date: July 18, 2008

7/17/08

Peru To Get 15,000 LPG Stations Until 2009

Peru will get 15,000 stations, that will offer liquefied petroleum gas (LPG) until 2009, Peruvian regulatory body for investment in the energy and mining sector Osinergmin said on July 16, 2008.

The body noted that the 15,000 stations are in fact existing informal stations for sale of LPG. These stations are obliged, in accordance with the law, to register their operations and to start selling the fuel legally until 2009.

Furthermore, Osinergmin issues between 300 and 500 licences per month for the sale of LPG nationwide.

Osinergmin's official, Jose Diaz, explained that the illegal trade of liquid fuels as petrol, kerosene and diesel oil fell to 3.0 pct now from 100 pct four years ago. However, 50 pct of the LPG sold in Peru now is illegally traded, Diaz added.

As regards to the natural gas, Osinergmin did not detect any illegal trade due to the modern infrastructure and the higher control.

Publication: Business Digest
Provider: AII Data Processing Ltd.
Date: July 17, 2008

Tradisa: Peru's largest steel service center to lift storage capacity

Peru's largest steel distributor and service center Tradisa will increase its storage and processing capacity in order to meet growing domestic demand. A source within the company tells Steel Business Briefing consumption has grown about 12% during the last few months and is expected to grow further.

Tradisa, which operates four plants in Peru, has around 30,000 tonnes of storage capacity. The group handles both longs and flats and has a sales agreement with local steelmaker Aceros Arequipa to supply longs. The group currently imports flat steel.

"We are installing new equipment to increase our processing capacity, as well," the source says, though he says the company does not intend to open any new sites. The first new lines should be commissioned in a couple of month, he adds.

Publication: SBB - Steel Business Briefing
Provider: Steel Business Briefing
Date: July 17, 2008

Romero Group to invest up to US$ 45 million in biodiesel products in Loreto

The company Palma del Espino, which belongs to Romero Group, might invest up to 45 million dollars in a project for oil palm cultivation in Loreto and a plant for oil extraction to produce biodiesel, reported today the general manager of Palma del Espino, Ronald Campbell

The project consists of 10,000 hectares of oil palm cultivation in the region. It will be invested 3,000 and 3,500 dollars per hectare that fulfills all the technical requirements, he said to the Andina news agency.

"If we plan to install 10,000 hectares, we are talking about 30 millions to 35 million dollars of investment for the agricultural industry, and it must be accompanied of an extraction plant to get the oil (for the biodiesel) from the palm and this can mean up to ten million dollars of investment ", he said.

Publication: Andina - English Newswire
Provider: Andina
Date: July 16, 2008

América Móvil likely to invest $200 million to enlarge infrastructure in Peru

The general manager of América Móvil (Peru), Humberto Chávez, reported today that the company aims to invest approximately 200 million dollars in enlarging telecom's infrastructure in Peru this year.

"This investment is based on the fact that our company is strongly betting for the development of telecommunications in Peru, especially the wireless one", he affirmed.

Chávez specified that after eight years in Peru, the Mexican company has an accumulated investment of around one billion dollars.

Up to now, Claro (the commercial name of América Móvil which offers its mobile services) has around six and a half million users and thsi number is expected to increase with the wireless landline phone services.

Chávez mentioned that the potential of the Peruvian market in this area is important since the penetration level of the wireless landline phone services is very low reaching only ten percent.

Publication: Andina - English Newswire
Provider: Andina
Date: July 16, 2008

7/11/08

Peru ranks sixth in manufacturing investment ranking, says Pricewaterhouse Coopers (PwC)

Peru figures as the sixth country with the higher index of interests for manufacturing investment among the emerging markets, according to Pricewaterhouse Coopers (PwC), that gathers the top 20 emerging countries of the world regarding manufacturing investment, reported today the company.

"Peru and its successful location inside the Index PwC EM 20 is due to Peru's low labour costs and its reasonable proximity to United States, country with which Peru has signed a Free Trade Agreement (FTA) and one of its main markets of exportation", Sergio Koremblit, partner of PwC Advisory stated .

In addition, he said that among other reasons are the good conectivity with the principal markets of the European Union, its vigorous rate of growth and its low level of risk that the country represents.

Publication: Andina - English Newswire
Provider: Andina
Date: July 11, 2008

7/9/08

Geneva Resources, Inc. Receives Final Geophysics Report on Vilcoro Gold Property, Peru

Marcus Johnson, President of Geneva Resources Inc. ("Geneva"), and Lori McClenahan, President of St. Elias Mines Ltd. ("St. Elias" or the "Company"), announce that the final geophysical report on the Vilcoro Gold Property in Peru has been received from Fugro Ground Geophysics. The Company has an option to earn a 66% interest in the Vilcoro Property from St. Elias Mines Ltd.

The geophysical survey comprised 13.9 km on 17 lines with IP-Resistivity readings at 25-meter intervals and Magnetic readings at 10-meter intervals. The geophysical interpretation shows that the "MAIN TREND" of gold mineralization is cored by a distinct chargeability (IP) anomaly that begins approximately 100 meters below surface. Such anomalies are commonly caused by disseminated sulphides associated with epithermal gold mineralization. This chargeability anomaly, which is about 400 meters long and 200 meters wide, corresponds to that part of the "MAIN TREND" where highest gold grades were obtained from surface sampling, and is considered a top-priority drill target.

The Company has secured the services of a professional organization to immediately begin an Environment Impact Study required by the Government of Peru to obtain a drilling certificate. Representatives of the Company are currently in the field negotiating with the owners of surface rights for permission to build drill roads and platforms.

Publication: PR Newswire
Provider: PR Newswire
Date: July 9, 2008

7/7/08

Sensoria opens shop in Santa Anita

Sensoria is a firm dedicated to flavours, fragrances and ingredients in Peru. Part of Grupo Fierro, Sensoria has a 20% market share and posts an annual turnover of US$18mil. It expects 20% growth next year. The company specialises in sweet flavours. It recently opened a shop in Santa Anita, where it sells its products in small formats to small-scale business and would-be small-scale business. The store should post monthly sales of US$10,000 and a second could well open up in Lima Norte.

Publication: SABI - Business News
Provider: South American Business Information
Date: July 7, 2008

7/6/08

Electronorte invests $233 thousand in public lighting in Chiclayo

Empresa Electrica del Norte (Electronorte) will invest around 223 thousand dollars to improve the lighting system of the principal entrances in Chiclayo, mainly in the routes which goes to Lambayeque and Ferreñafe towards the Asia-Pacific Economic Cooperation Forum (APEC).

Electronorte regional manager, Alberto Chancafe Guerrero, pointed out that these works during its first stage consisted of the installation of new concrete poles with lights and wiring in the entrance of Lambayeque and Ferreñafe cities"

"Lambayeque seeks to improve its presentation towards Asia-Pacific Economic Cooperation Forum (APEC), which will take place next August in this northern department", Chancafe said.

In addition, the representative stated that besides this works, there are lighting works carried out by part of the local municipalities as well as by the regional government of Lambayeque.

Publication: Andina - English Newswire
Provider: Andina
Date: July 6, 2008

7/5/08

Around $88 million invested in Peruvian rainforest' s productive works

Peru's president, Alan García, said today that around 88 million dollars are invested in a diversity of productive works in the central rainforest benefiting population of this zone.

From the province of Chanchamayo (Junín) where the President inaugurated works of enlargement and rehabilitation of the bridge Raither that connects Lima with the district of La Merced, he indicated that such budget is invested in drinking water works for six towns, in highways, and in the above-mentioned bridge.

The president said that 2.30 million tons of production travel on this bridge, "which is considerable, but now more tons will be able to transit, five or ten more times according to we have rural electrification and infrastructure".

"This is the reason why I ask Peruvians for thinking in Peru and children's tomorrow, this bridge can be a sign of our alliance and the seal of our union for the Peru's future", he expressed.

He also said that boosting the country's infrastructure is work and essential goal of the government. "because without roads, bridges or electrification, there is not production and it is what insures long-term employment and the income of producers".

Publication: Andina - English Newswire
Provider: Andina
Date: July 6, 2008

6/25/08

Peruvian gastronomy expanding abroad through franchises

In the 1990s, the big names of American fast food, such as Burger King and McDonald's, saw an opportunity in Peru. But they did not foresee that they would have to fight an extremely resilient rival in the Andean country.

Bembos, a local burger chain, not only survived the invasion of Whoppers and Big Macs but emerged as king of the burger market. And now, 15 years after the first McDonald's opened its doors in Lima, Bembos owns roughly 50 percent of the market.
Exporting its successful experience abroad, Bembos is expanding beyond the Peruvian borders -- beginning in India, where it has opened three fast-food restaurants that sell burgers made of anything but beef -- lamb, soy or beans.

Bembos is not an isolated case. Indeed, a number of successful Peruvian restaurants, from fast food to gourmet, have begun to sell Peruvian cuisine all over Latin America and are eyeing more-difficult markets, such as the United States.

China Wok, a Peruvian food chain specializing in ‘chifa’, a tasty mix of local and Chinese flavors, already has 50 restaurants in seven Latin American countries, and it plans to enter the U.S. market next year.

According to the manager, Carlos León Velarde, it has already begun negotiations with businessmen from the East Coast. ‘It will be our entrance door to the American market,' he said.

Pardo's Chicken, a popular roasted chicken fast-food chain, opened its first restaurant in the United States in 2006, in New York's West Village, and this year it will open two more -- one in Coral Gables and the other in Mexico City.
To explain the chain's success, Arnold Wu, the company's CEO, talks about what he calls the 'Peruvian taste' and Pardo's secret formula, made of a mix of 14 ingredients imported from Peru.

But not all the international expansion comes from the fast-food chains.
Higher-end restaurants are also making inroads in the international market.
One of the first of this kind of restaurant to cross the Atlantic is Astrid y Gastón, which in 2007 opened in Madrid's most exclusive zone.

This year the owner, Gastón Acurio, one of Peru's most prominent chefs, is opening another restaurant, La Mar, specializing in marine dishes, in the San Francisco Bay area, with an investment of about $6 million. Acurio says soon there will be La Mar restaurants in New York, Las Vegas and Florida.

'It's time for the Peruvian cuisine to make the big leap to achieve global recognition,' said Acurio. He thinks this global expansion can get help from foreign investors who find it is profitable to invest in Peruvian cuisine, because of both its quality and the fact that other national cuisines are overexposed.
The Peruvian government is also part of the collective effort to sell the national cuisine abroad.

According to Mara Seminario, tourism director of Promperu, the National Committee for the Promotion of Exports and Tourism, Peru is participating in gastronomic fairs around the world with the motto ‘Perú, mucho gusto,' a phrase that plays with the double meaning of ‘mucho gusto’ – ‘nice to meet you,’ and ‘very tasty.’ Also, the government has declared the national cuisine as one of its seven ‘flag products’ to be actively promoted abroad.

‘Peruvian food is unique. The first wave of Peruvian restaurants outside the country were made by immigrants, but this second one is of a much better quality and mixes tradition with modernism, sophistication with history,’ Seminario said.

Among the Peruvian dishes that already attract global attention are ceviche, a raw fish cooked in lime juice, and causa, mashed potatoes mixed with fish or seafood.
Peru is also selling itself as a gastronomic destination. Statistics from Promperu show that in 2007 more than 20,000 visitors came to the country to do ‘gastronomic tourism’ -- paying an average of $3,500 to eat at exclusive restaurants, visit local markets and visit fishing ports.

Source: Miami Herald

Shougang Hierro Peru gets go-ahead for expansion

Peruvian iron ore producer Shougang Hierro Peru's board has authorized the company to begin a major investment program to increase its output capacity by 8m tonnes/year.

The project foresees installation of a beneficiation unit and a pelletizing plant, besides mine development in Marcona (southern Peru). In total, Shougang is expected to invest around US$1bn in the program, Steel Business Briefing learns from a company announcement.

As previously reported, the upgrade is expected to be concluded by mid-2010 and will virtually double Shougang’s capacity to 16m t/y. The company is also considering a second expansion phase that would eventually increase output to 20m t/y.

Publication: SBB - Steel Business Briefing
Provider: Steel Business Briefing
Date: June 25, 2008

6/21/08

Brazilian Natura likely to open plant in Peru

Brazilian direct sales cosmetics player Natura evaluates several locations, including Peru, to satrt the construction of its new production plant.

Currently, the company has a production plant in Cajamar, 40 minutes from Sao Paulo (Brazil) and a soap production plant in Belen du Para, also in Brazil.

According to Natura Peru chief executive officer, Jose Ramon Hernandez, cosmetics and skin care demand in the region has increased substantially in recent years, and that is why the company has begun to evaluate the possibility of building a new production plant.

"Eventually, the project could be located in Peru because of the proximity of inputs and its strategic position within Latin America enabling the company to access the largest consumer markets of this sector", he told Andina news agency.

In addition, Peru has a high level of legal security, economic strength and a favorable environment for investment in the long and medium term, making it an attractive market.

"A location study to find the most suitable area to build the new plant is being carried out, and it is expected that the location will be defined in the medium term, between three to five years", he said.

However, he commented that Natura investments are located near the north of Latin America since the largest consumer markets such as Mexico, Venezuela and Colombia, are located.

As for the local operation, Hernandez said that the company is positioning in key markets such as provinces Trujillo (La Libertad), Lima (Lambayeque), Arequipa and Cusco, where it comes from a good percentage of sales of the company.

"In addition, as part of sales strategy we are entering the east of the country, in cities like Tarapoto (San Martin) and Iquitos (Loreto)", elaborated.

The company owns a portfolio of 600 products with which this year expects an increase in sales of 40 percent, driven mainly by products for the treatment of the face, perfume and makeup.

Publication: Andina - English Newswire
Provider: Andina
Date: June 18, 2008

6/19/08

Acqua invests $10m. to build five-star hotel in Urubamba, Cusco

Hotel chain Acqua Hotel Resort Spa announced today they will invest more than 10 million dollars fo the construction of a five star hotel located in the valley of Urubamba, about 80 km from Cusco city.

Acqua's marketing manager, Gonzalo Tafur, said that the hotel spa will have 115 colonial rooms, including a presidential suite, 15 suites and 99 standard rooms .

"The 500 square-meters presidential suite will include two bedrooms (a matrimonial and a double room), two living rooms, one dining room, a terrace, a pool, an observatory, and a movie and music theater", detailed Tafur to Andina news agency.

Furthermore, the project will include the construction of an artificial lake, two restaurants, a bar, a sushi bar, an art gallery, a library, a museum, and a movie theater for 25 people, he added.

Tafur detailed that the total area of the hotel is ten hectares, but they will only use six hectares in the first stage of the construction. The remaining four hectares will be used for the second stage, which will take place in 2010.

Publication: Andina - English Newswire
Provider: Andina
Date: June 18, 2008

Taca Cargo to start Lima-Guatemala direct flights from July 15th

Taca airline will start direct cargo flights from Lima to Guatemala from July 15th, with three flights a week, the director of Taca Cargo, Víctor Mejía, reported Wednesday.

Flights will be available on Tuesday, Thursday and Saturday in both ways. Flights from Lima will take off at 10:30 hours (15:30 GMT) and land in Guatemala at 14:05 hours.

While, flights from Guatemala will take off at 15:00 hours and land in Lima at 20:35 hours.

In this way, Peruvian exporters will have a larger offer for their exports abroad, and the central american entrepreneurs will be benefited as well.

"For us, it is important to be able to provide an excellent service on aour flights".

Publication: Andina - English Newswire
Provider: Andina
Date: June 19, 2008

6/10/08

16 Peru Utilities Invest $39.1 Mln in Power Projects Jan-Apr 2008 - Fonafe

Sixteen Peruvian state-owned utilities invested 111 mln Peruvian soles ($39.1 mln/25.1 mln euro) in 90 power projects for January to April 2008, the National Fund for Financing State Business Activities (Fonafe) said on June 9, 2008.

The projects form part of the 197 projects approved by Fonafe to be developed in full 2008.

The energy generators Egasa, Egemsa, Egesur, Electroperu and San Gaban invested 19 mln soles ($6.7 mln/4.3 mln euro) in 14 thermal and hydro power projects in the first four months of 2008.

Fonafe said that some state-owned utilities were developing projects in line with the government's policy for increased usage of natural gas. One of these companies is Egesur that started a project for conversion of its Calana thermoelectric power plant to use natural gas. The project demanded investments of 10 mln soles ($3.5 mln/2.3 mln euro).

Fonafe also mentioned the utility Electroperu that is now investing in a new hydroelectric power plant La Guitarra and in a gas-fired thermal power plant, that are seen to absorb a total 187 mln soles ($65.9 mln/42.3 mln euro).

On the other hand, local state-owned distributors as Electrocentro, Electronorte, Electronoroeste, Electropuno, Electrosureste, Electrosur, Hidrandina, Adinelsa, ElectroOriente, ElectroUcayali and Seal invested 91 mln soles ($32.1 mln/20.6 mln euro) in 76 projects for January to April 2008.

To meet the demand in the Madre de Dios region, Electrosureste is building a 138 kV transmission line San Gaban – Mazuko - Puerto Maldonado, that will be kicked off in the second half of 2008.

ElectroOriente plans to invest 26 mln soles ($9.2 mln/5.9 mln euro) in 30 projects in full 2008, of which 10 are now under development.

ElectroUcayali is investing 760,000 soles ($267,900/171,900 euro) in electrification of the settlements La Marina, Aguaytia and Pucallapa. The second stage of the company's electrification programme will demand 2.0 mln soles ($705,000/452,000 euro).

Both Electropuno and Electrocentro are now investing in the construction of transmission lines to cover their concession areas. Electropuno will allocate 21 mln soles ($7.4 mln/4.8 mln euro), while Electrocentro will invest 15 mln soles ($5.3 mln/3.4 mln euro), Fonafe added.

Publication: Business Digest
Provider: AII Data Processing Ltd.
Date: June 10, 2008

Colombian Promigas, Peru Kuntur in Talks for Alliance on Concession of Gas Pipeline in Southern Peru

Colombian gas utility Promigas is in talks with U.S. Conduit Capital Partners, owner of Peruvian Kuntur Transportadora de Gas (Kuntur), for alliance for the concession of a gas pipeline to be built in southern Peru, Colombian media reported on June 9, 2008.

Conduit Capital Partners said that it was also negotiating with an unnamed construction firm to build the pipeline, should Kuntur win the concession.

The pipeline, named Gasoducto Andino del Sur, will demand investments of $1.2 bln (770 mln euro). It will allow the transportation of natural gas from the deposits in the region of Cusco to 16 provinces in southern Peru, including the cities of Cusco, Arequipa, Matarani and Juliaca.

Kuntur's president, Samuel Gomez, said that the role of each company in the consortium was now under consideration.

Promigas (www.promigas.com) activities include natural gas transport and distribution, gas pipeline construction, operation and maintenance, and data, voice and image transmission services along with high-speed connection to the Internet. Promigas is controlled by U.S. power company AEI, which in turn is controlled by Ashmore Investment Management Ltd., part of Ashmore Group PLC. In Peru, Promigas is involved with the gas transportation in Lima and Callao via Peruvian natural gas company Calidda Gas Natural del Peru. Promigas and Ashmore Energy International, a company owned by British Ashmore Investment Management, acquired 100 pct in Calidda in mid-2007. After the operation Promigas holds 40 pct in Calidda, while Ashmore acquired the remaining 60 pct. Ashmore controls 53 pct in Promigas.

Now, the development of the gas pipeline project depends on the approval of the Peruvian Mines and Energy Ministry.

Publication: Business Digest
Provider: AII Data Processing Ltd.
Date: June 10, 2008

6/8/08

10 Ecuadorian companies to invest in Peru through Banco Financiero

Ten enterprises will invest in Peru this year through Banco Financiero due to the good conditions and clear rules for investing in Peru, stated today the general manager of the bank, Carlos Blanco.

"These enterprises are our costumers and all their investments plans in Peru are highly advanced", he stated to Andina news agency.

Blanco pointed out that these enterprises are dedicated to industries such as construction, metal mechanic, hotels, among others.

He explained that the interest of the Ecuadorian enterprises to establish in Peru has grown in the past months to the point that their projects have speed out so that they can start operations in the following months.

"We have noticed that the interest for investing in Peru has increased since this country offers clear rules not only for Peruvians but also for foreign investors and also because of the region sustainable economic growth", he added.

Publication: Andina - English Newswire
Provider: Andina
Date: June 6, 2008

6/3/08

Bancolombia leasing unit invests US$1.5mn in Peruvian market entry

The leasing unit of Colombian bank Bancolombia (NYSE: CIB) will invest US$1.5mn to start up operations in Peru, Leasing Bancolombia said in a statement sent to the Colombian regulator.
Leasing Bancolombia said it will request authorization from both Colombian and Peruvian regulators to launch the company.

Bancolombia also operates a car leasing subsidiary in Peru and has said it plans to launch a trust fund unit in that country later this year.

Bancolombia is the largest bank in its home market in terms of overall market share and began expanding abroad last year when it acquired El Salvador's biggest bank Banagrícola for some US$900mn.

Publication: Business News Americas - English News
Provider: Business News Americas
Date: June 2, 2008

Petro-Peru picks four to proceed in refinery modernisation supervision tender

Four consortia have been pre-classified within the tender run by Petro-Peru for a firm to supervise the modernisation of the Talara refinery. The president of the state group, Cesar Gutierrez states that the quartet is as follows: ABSG Consulting Inc (of the US); Inelectra-Idom Ingenieria Consultoria SA-Nippon Koei Co Ltd (of Spain and Japan); Germaischer Lloyd (of Mexico); and Venezolana de Proyectos Integrados (of Venezuela). The whole selection process should be complete before June 2008 is out. Petro-Peru needs to invest US$1bil in modernising its number-one asset (the Talara refinery).

Publication: SABI - Business News
Provider: South American Business Information
Date: June 3, 2008

5/30/08

87% of Singapore imports to enter Peru duty free with FTA signing

Some 87 percent of imports from Singapore will enter Peru duty free with the Free Trade Agreement (FTA) signed by Peru's minister of Foreign Trade and Tourism Mercedes Aráoz and the minister of Trade and Industry of Singapore Lim Hng Kiang, in a ceremony carried out at Peru's Government Palace, leaded by the Peruvian president, Alan García.

The FTA agreement was subscribed today by Peru's minister of Foreign Trade and Tourism Mercedes Aráoz and the minister of Trade and Industry of Singapore Lim Hng Kiang, in a ceremony carried out at Peru's Government Palace, leaded by the Peruvian president, Alan García.

Aráoz stressed on the FTA with Singapore will facilitate the purchase of counting edge technology by part of the Peruvian enterprises.

In addition, she said that Singapore is an state city that in the last 40 years has turned into a developed country.

The most outstanding industries of this country are logistics, transport, financial, biotechnology, information technology, among others sectors.

Publication: Andina - English Newswire
Provider: Andina
Date: May 30, 2008

Peruvian rebar prices reach US$1,300/t

Rebar prices have sharply increased in the Peruvian market, with the product being negotiated for around US$1,290-$1,300/tonne delivered, an inside source at steelmaker Aceros Arequipa tells Steel Business Briefing.

As previously reported by SBB, the product was US$1,050-$1,100/t in the first half of April. Notwithstanding, there is no readjustment foreseen in the near future, the source says.

The increase follows hikes in international steel prices and higher raw materials costs.

Furthermore, in order to better supply growing domestic demand, local steelmakers Arequipa and Siderperu have been importing large volumes of rebar, boosting the product’s cost.

Publication: SBB - Steel Business Briefing
Provider: Steel Business Briefing
Date: May 30, 2008

5/15/08

Peruvian company to export sea cucumber to Singapore and Japan

General manager of Hidrobiológicos Perú S.A.C., Rosa Feliciano Rodríguez, announced that this company have established contacts with Singaporean and Japanese businessmen to export sea cucumber, a high demand product in Asian countries for its nutritional value.

Feliciano Rodríguez told Andina that export opportunity was made possible during the Exhibition of Businesswomen's Products and Business Round carried out in Arequipa in the framework of the Asia Pacific Economic Cooperation (APEC) Forum.

"Today, I will meet with a Singaporean company interested in buying sea cucumber, which is high demand product in Asia. We are also schedule to meet with a Japanese company to explore export opportunities", Feliciano Rodríguez said.

She added that this exhibition has also allowed establishing contacts with national companies selling natural medicine products.

Feliciano Rodríguez pointed out that Hidrobiológicos Perú exports different products such as horse mackerel, mackerel, pota, anchovies, shell to Dominican Republic, Italy, Spain, Belgium and Africa.

Publication: Andina - English Newswire
Provider: Andina
Date: May 14, 2008

5/4/08

Grupo Yes grows business from clothing brands

Grupo Yes, a Peruvian representative of exclusive clothing brands, posted a turnover in excess of US$10mil in 2007 and predicts a continuation of growth rates of 15% racked up consecutively over the last five years. The plan is to move into the social strata B and C and to open ten stores nationwide over the next three years, explains Tomas Vega, general director of Yes.

He adds that two new brands will be brought to Peru this year and states that the stores will open in Plaza San Miguel, Megaplaza, the new malls going up in Trujillo, Arequipa and Chiclayo, Jockey Plaza and the Parque el Golf de San Isidro (a project handled by Parque Arauco).

Grupo Yes represents the brands Hugo Boss, Givenchy and Trial as well as manufacturing clothing for Perry Ellis and Cacharel via outsourcing contracts. So far in 2008, Yes has invested US$30,000 in an airport store and US$200,000 in bringing Spanish brand Adolfo Dominguez to Peru.

Publication: SABI - Business News
Provider: South American Business Information
Date: May 2, 2008

Isonor to build Peruvian transmission lines

Southern Peru has an evident energy problem with the main transmission line heading away from the Mantaro power-plant (Huancavelica) towards Socabaya (Arequipa) close to saturation. To resolve this problem, Pro Inversion yesterday approved the concession regarding a transmission line heading out of Mantaro to Caraveli (Arequipa) and Montalvo (Moquegua). The tender winner is the Spanish consortium Isonor Transmision, made up of Isolux Corsan and Elecnor, which will build the line for US$145.6mil.

Isonor will also build a transmission line from Machu Picchu (Cusco) to Cotaruse (Apurimac) for the second phase of development of the Central Hidroelectrica de Machu Picchu at a cost of U$35.4mil. It will hold the concession on both for 30 years. Pro Inversion had estimated that the two would cost US$330mil in total. Isonor beat off competition from Colombian group Interconexion Electrica (ISA), Terna Participacoes of Brazil and Spain’s Abengoa. It now has 30 months to have the Mantaro-Caraveli-Montalvo and Machu Picchu-Cotaruse lines operating.

Publication: SABI - Business News
Provider: South American Business Information
Date: May 4, 2008

4/17/08

Diseno y Color rethinks strategy ahead of possible US recession

Diseno y Color of Peru has reacted to the dipping dollar and signs of US recession by rethinking its strategy and looking to diversify business. The textile group's general director Raul Torres wants to grow its Peruvian retail activities. Diseno y Color boasts 12 shops now but should enter 2009 with 17 - and also build a new textile-printing factory at a cost of US$4mil so as to raise its profile as a producer for third parties.

Publication: SABI - Business News
Provider: South American Business Information
Date: April 17, 2008

4/14/08

Candente to produce Canariaco feasibility in early 2009

Candente Resources expects to publish a feasibility study on its Canariaco copper project in Peru in early 2009, CEO Joanne Freeze told MB. The project is near Chiclayo in Peru`s Lambayeque department. The company has expanded the project scope, which has extended the timetable, and aims to receive a new resource estimate by mid-May that will provide the geological information to form the basis of the feasibility study.

An updated scoping study based on the new resource estimate, showing updated cash flow analyses and estimated capital expenditure, is expected by end-July. "We started the feasibility study on the basis of the first best 100 million tonnes, but we decided that was too small. The first idea for processing was leaching but we are now moving towards flotation because it has a higher recovery rate and we feel that leaching leaves too much copper on the table," she said.

Freeze said 90% copper recovery is possible with flotation, and that the company has been advised that an operation capable of processing 65,000 tpd of mineral could be developed for under $1 billion. A project of this size should yield an estimated 80,000 tpy of copper. The company, which aims for first production by late 2011, is open to advancing the project on its own or with a partner.

"If we are on our own, we will start smaller and ramp up after payback of capex, perhaps starting between 50,000 tpd and 65,000 tpd to get it into production and get cash flow. If we take on a partner, there could be other options," she said. The project could provide enough feed for an operation capable of processing as much as 120,000 tpd of mineral eventually, although Freeze said the capex of such a sized project would likely be "more than we wish to do alone". Candente was formerly looking at a leach and SX-EW operation that would process 30,000 tpd of mineral to produce 37,000 tpy of copper. Freeze said the company has received interest from copper smelters and traders around the world, including in Asia, that are interested in providing attractive investments to develop the project in order to secure copper concentrates.

Publication: Metal Bulletin
Provider: Metal Bulletin com
Date: April 14, 2008

4/10/08

Peru's scrap prices at US$200-250/t on average

While Peru's main steelmakers - Aceros Arequipa and Siderperu - are still chasing scrap supplies abroad, as previously reported by Steel Business Briefing, domestic prices for the material remain strangely low.

Local sources say average domesic scrap prices are reaching US$200-250/t delivered to the mill, and even though material could not be considered as 'premium quality', the price is low if compared with neighbouring countries.

Furthermore, Peru still imports more than 50% of its scrap needs - from Chile, Bolivia and even the US market - paying higher prices for this material. Local press estimates the country's scrap needs reach about 80,000 tonnes per month, but no more than 40,000 t/m are locally produced.

Publication: SBB - Steel Business Briefing
Provider: Steel Business Briefing
Date: April 9, 2008

4/4/08

Kraft hopes Lacta can clip Nestle's chocolate wings

Last November, Jose Antonio Luna, marketing director at Nestle Peru, estimated that the chocolate market nationally would grow by 20% in 2008. Nestle has a 40% share of a market that produces 13,000 m tons of chocolate per annum but will soon have to do battle with Kraft.

Kraft, which already produces bars such as Mostro, Dona Pepa and Cua Cua, is entering the tablet-style chocolate segment 70% dominated by Nestle. It will do so with its Lacta brand, explains Carlos Palomino, snacks boss at the firm locally.

Publication: SABI - Business News
Provider: South American Business Information
Date: April 3, 2008

4/1/08

Petroperú launches Talara revamp management prequalification

Peruvian state oil company Petroperú has launched an international prequalification call to provide project management consultancy services for the FEED-EPC work of the US$1bn Talara refinery modernization project.

Registration will run through April 30 with company information due by May 5, Petroperú reported. Prequalifiers will be announced on May 14.

The winning company will help provide project monitoring and control and quality assurance, among other tasks.

The revamp aims to increase refinery capacity to 90,000b/d from 62,000b/d, optimize fuel quality at existing units and construct new ones. Talara is 1,185km north of Lima.

On March 24, Petroperú launched the international prequalification call for the FEED-EPC work and still has to launch bidding for the project's technologies selection.

Publication: Business News Americas - English News
Provider: Business News Americas
Date: April 1, 2008

3/29/08

Protecta aims to sell 400k life policies in 1st year

Peruvian life insurance company Protecta plans to sell 400,000 policies worth US$10mn during its first year of operations, the insurer said in a press release.

Protecta, which launched operations last February, specializes in microinsurance.

Peru's financial sector regulator SBS authorized financial services group ACP Inversiones y Desarrollo to incorporate Protecta in July 2007.

ACP Inversiones y Desarrollo is the controlling shareholder of Peruvian microfinance bank Mibanco.

Protecta plans to offer microinsurance using non-bank finance companies and cooperatives as distribution channels, according to the statement.

The new insurer will sell both individual and group life insurance and annuities.

Publication: Business News Americas - English News
Provider: Business News Americas
Date: March 28, 2008

Peruvian enterprises to participate in Construexpo 2008 fair in Venezuela

Seven Peruvian enterprises will participate in the international fair "Construexpo 2008" to be held from April 2 to 6 in Caracas (Venezuela), reported today the Peruvian Export and Tourism Promotion Agency (Promperu).

This fair, which is organized by the Venezuelan Construction Chamber and the Confex International Corporation, will gather international seller and buyers of construction materials.

Construexpo 2008 will count with enterprises from countries such as Italy, Peru, Iran, Spain, Argentina, Austria and Colombia in order to exchange experience and knowledge.

There will be more than 130 enterprises, in an area of 6,000 meters, to exhibit machinery and equipment.

Promperu will attend the Peruvian enterprise to strengthen the Peruvian image in the building industry inside the Latin- American market, searching potential buyers and distributors to facilitate the access of the Peruvian products to the international market.

Publication: Andina - English Newswire
Provider: Andina
Date: March 29, 2008

3/25/08

Volcan studying new Zn reserves at Cerro de Pasco

Peruvian zinc miner Volcán is carrying out studies to outline the 54Mt of new reserves needed to expand the open pit at its Cerro de Pasco operation, according to a report by Lima bank BCP.

The company is also studying the relocation of Cerro de Pasco's concentrator as a part of the expansion.

Representatives of BCP and Volcán were not available for comment when contacted by BNamericas.

Volcán currently has recorded 53.6Mt of reserves at Cerro de Pasco, the largest reserve base of the company's operations.

Cerro de Pasco, first mined in the 1500s, is one of the world's oldest existing mining operations. Last century the mine was under control of the Cerro de Pasco Corporation until it was nationalized in 1973 and then privatized in 1999, when it was acquired by of Volcán.

Volcán is one of the world's largest zinc producers with output of 335,926t last year.

Publication: Business News Americas - English News
Provider: Business News Americas
Date: March 25, 2008

Calidda set to begin Huachipa gas supply works

Peruvian gas distributor Cálidda aims to begin construction next month of a project to supply industries in the Huachipa area outside Lima, company general manager Ernesto Córdova said.

"We're closing contracts for the purchase of materials and the contractors," state news agency Andina quoted Córdova as saying.

Construction of the project's 16km pipeline will take 11 months, with first gas due in the first half of next year, he said.

The gas will supply 10 large companies including brewer Ambev, beverage company Ajeper, dairy products firm Gloria and textile company Creditex.

Cálidda is also looking at potential clients in Chaclacayo, the executive said.

Houston-based AEI and Colombian natural gas provider Promigas control Cálidda, which serves Lima and neighboring port city Callao. The distributor aims to be supplying 274 industrial firms compared to the current 210 by year-end.

Publication: Business News Americas - English News
Provider: Business News Americas
Date: March 25, 2008

3/17/08

Hialpesa and Hilanderia del Sur investing in the future

Hilanderia de Algodon Peruana (Hialpesa), the Peruvian cotton (thread and clothing) group, is looking to grow fast in time for the introduction of the free trade treaty with the US. It is building a new plant in Ate-Vitarte and has head-hunted Luz Huarcaya, former general director at Diseno y Color.

In the first nine months of 2007, exports for Hialpesa exceeded US$25mil, a rise of 37%. Meanwhile, Hilanderia del Sur is also investing in a bid to increase the use of its installed capacity by 20% to meet growing demand home and abroad.

Publication: SABI - Business News
Provider: South American Business Information
Date: March 16, 2008

Dasani directed at healthy flavoured-water favourers

In 2006, Coca-Cola noted that Peruvian consumption of still water was on the rise as health concerns came to the forefront and it also discovered that many people like their water flavoured. The Coca-Cola product Dasani is perfect for such people.

New products boss for the drinks colossus in Peru, Carlos Pizarro explains that sales for the water product rose 80% in 2007 and that they should advance by another 20% this year. Dasani also features added vitamins and minerals. The drink ranks second within the still gas segment behind Ajegroup's Free Light with a 40% share of the market; however, Coca-Cola has a 44% share of the overall water market, ahead of Aje's 35%.

Publication: SABI - Business News
Provider: South American Business Information
Date: March 17, 2008