On a cold January night, a group of indigenous communities in the Peruvian Andes were trying to prevail in a difficult negotiation with the giant Las Bambas copper mine, owned by the Chinese group MMG Ltd 1208.HK.The discussion, in a coliseum with a synthetic soccer field in the small town of Cancahuani, revolved around the communities' request to operate trucks transporting copper for the mine. That discussion was accompanied by a threat.Communities could block the road to Las Bambas, which produces 2% of the world's copper, and prevent copper from reaching the coast and its final customers.The 10 communities wanted a contract to operate 28 trucks but Las Bambas was only offering half, a Reuters reporter witnessed.The group's leader, the Single Front for the Defense of the Interests of Chumbivilcas, eventually agreed, in part because of a commitment that the number of trucks could increase in the future. But there was also a problem, two of the 10 community presidents that make up the Front left the meeting, promising to fight on their own.The division of the Front highlights a larger problem for Las Bambas and other mining companies: amid the growth in the number of mining protests in Peru, communities are dividing into smaller and smaller factions, with agendas that sometimes contradict each other, complicating negotiations and putting at risk the continuity of production.That has affected Las Bambas copper production and MMG's share price, forcing the company to prepare a new strategy for what they believe will be a long-term conflict, while communities are more empowered under the leftist presidency. Peter Castle.Reuters traveled to witness the Las Bambas negotiations and interviewed more than 20 people directly involved in the negotiations between government officials, the mining company and community leaders, to understand if there is a horizon in which the mine can operate without blockades."Every time we think we've made progress, another problem appears," said a source at the mines and energy ministry.This month, MMG avoided having to stop the mine for the second time in two months due to a blockade in the Ccapacmarca district, made up of four communities that also used to be part of the Chumbivilcas Front.But the solution is temporary, the communities only agreed to a 45-day truce.The protests and roadblocks are also a challenge for Castillo, who has appointed his fourth cabinet minister in just six months in office as his popularity falls rapidly, including in mining regions where he won by wide margins.The government officials charged with resolving mining conflicts change with each cabinet."START OF A MAJOR PROBLEM" Since Las Bambas began operations in 2016, more than 10 different Andean community groups have blocked the company's mining corridor, a dirt road of more than 400 kilometers.The road crosses dozens of historically impoverished communities, who frequently complain that the mine does not invest enough in social projects despite their wealth, while the trucks pollute them. In six years of operation, Las Bambas has suffered 430 days of blockade, 106 of them in 2021.The mining union estimates that each day of blockade is equivalent to a loss of 9.5 million dollars for Las Bambas. Copper production from the mine has fallen since 2017 while the number of protest days has increased.Now that problem is accelerating, creating an effect where as soon as one protest is resolved, another group jumps in to make new demands and hits the road, causing more and more frequent disruptions.In October, the government reached an agreement with the Chumbivilcas Front, but soon after the leaders of the neighboring province of Cotabambas blocked the highway. When the government resolved Cotabambas in November, the residents of Chumbivilcas took the road again, leading Las Bambas to paralyze operations in December.When that blockade was lifted, the leaders of Ccapacmarca - the dissident faction of the Chumbivilcas Front - took to the road. Until this Sunday, when they agreed to the 45-day truce.However, just hours after the truce was announced, a new group - this time from Coporaque province - threatened to block the highway. The final decision depends on a negotiation with Las Bambas scheduled for Thursday."After the meeting in Ccapacmarca there is a risk that (in Coporaque) they will block," said a Las Bambas executive.The result is that MMG and the Andean communities around it are preparing for the protests and disruptions to continue for several more years."This is the beginning of a bigger problem," said the executive, who requested anonymity. Las Bambas recused himself from
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