Hochschild shares drop by a third as Peru seeks to shut mines

The market value of Hochschild Mining dropped by almost a third today after Peru moved to close two of its mines on environmental grounds, deepening a clash between the mining industry and the left-leaning government.

Shares in the FTSE 250 company were 32% down in lunchtime trading, having initially dropped by more than half, following Peruvian prime minister Mirtha Vasquez's weekend announcement that four mines in the southern Ayacucho region, two of which are owned by Hochschild, would be "closed as soon as possible."

Hochschild said it would "vigorously defend its position" and that its mines operated under the "highest environmental standards."

The intervention by the government of President Pedro Castillo will send a chill through the mining sector. The South American country is the world's second-biggest producer of copper and a significant source of gold, silver, zinc, and tin. ...

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https://www.ft.com/content/74521753-c47a-4f1d-900f-8272f10e9305