Peru: Yanacocha-03/Cajamarca

Date Filed
01 Mar 2006
Status
Closed
Phase
Dispute Resolution (DR)
Country
Peru

Case Tracker

Eligibility
Eligibility
Assessment
Assessment
Dispute Resolution
Mediation
Monitoring
Closed
Closed
Compliance
CURRENT Status
Closed(DISPUTE RESOLUTION)
Closed

Complaint Overview

Complainant

Local canal users

Cross-Cutting Issues
Risk Management Resource Efficiency Community Health and Safety Air Water Loss of Livelihoods

Project Information

Region
Latin America & the Caribbean
Institution
IFC
Name & Number
Yanacocha III 4449
Company
Minera Yanacocha S.A.
Sector
Mining, Oil, Gas and Chemicals
Department
Other
Category
A
Commitment

$20 million (A Loan) & $40 million (B Loan)

Synopsis

Complaint

The Yanacocha Gold Mine began operations in the department of Cajamarca in 1993. Yanacocha, the largest gold mine in South America, comprised of six open pit mines, four leach pads and three processing facilities. In June 2000, a contractor to Minera Yanacocha spilled 151 kg of elemental mercury along a 41 km stretch of road between the mine site and the town of Choropampa. A number of local people, unaware of the nature of the chemical, were exposed and subsequently experienced adverse health effects.

In March 2006, 30 canal users jointly lodged a complaint with CAO requesting assistance in obtaining information about the current and potential impact of mining activities on the water quantity in the canals, rivers and streams surrounding the project. The petition expressed satisfaction with the collaborative process undertaken by the Mesa and CAO in relation to water management and an interest in extending these efforts through an independent mechanism such as CAO.

CAO Action

In May 2006, CAO conducted a site visit to liaise with canal users and mine representatives in order to gauge the parties’ willingness to work collaboratively on strategies for sharing information concerning water quantity. The petitioners agreed that their concerns in relation to water quantity ought to be addressed within the confines of a facilitated meeting. This forum was intended to be conducive to a fluid exchange of information and open discussion.

In July 2006, CAO Ombudsman facilitated an information sharing workshop with the petitioners and mine representatives. Although the initial petition to CAO requested an independent water quantity study, CAO sought first to understand the canal users’ specific concerns, and to solicit from Yanacocha a comprehensive list of all the available water quantity studies and information. With this information, CAO encouraged the parties to work together to determine what studies were necessary, if any, and whether the existing studies sufficiently addressed the canal users’ concerns. In the Exit Report, completed in September 2006, CAO recommended that Yanaococha honor its commitment to distribute relevant documentation to canal users and ensure it is accessible to all interested parties.

Status

In July 2006, CAO concluded its involvement in the petition brought by the canal users, however remained engaged with the parties in relation to water quantity issues. The complaint was closed in August 2006.

Case Documents

  • Dispute Resolution

    Assessment Report(s)
    Minera Yanacocha Water Quality Studies
    Jul 13, 2006
    English
    Minera Yanacocha Water Quality Studies
    Independent Investigation into the Mercury Spill
    Jun 01, 2000
    English
    Independent Investigation into the Mercury Spill
    Investigacion del derrame de mercurio
    Jun 01, 2000
    Spanish
    Investigacion del derrame de mercurio
    Agreement(s)
    Notes from the Information Sharing Meeting of Canal Users from COMOCA Sur and COMOCA Este and Representatives of Minera Yanacocha
    Jul 24, 2006
    English
    Notes from the Information Sharing Meeting of Canal Users from COMOCA Sur and COMOCA Este and Representatives of Minera Yanacocha
    Notas de la Reunion Sobre Compartir Informacion de Usuarios de Canales de COMOCA Sur y COMOCA Este y Representantes de Minera Yanacocha, Cajamarca
    Jul 24, 2006
    Spanish
    Notas de la Reunion Sobre Compartir Informacion de Usuarios de Canales de COMOCA Sur y COMOCA Este y Representantes de Minera Yanacocha, Cajamarca
    Close-out Report(s)
    CAO Exit Report
    Feb 01, 2006
    English
    CAO Exit Report
    Informe de Salida
    Feb 01, 2006
    Spanish
    Informe de Salida