Anglo American's corporate offices in Johannesburg. Picture: SUNDAY TIMES
Anglo American's corporate offices in Johannesburg. Picture: SUNDAY TIMES

Anglo American is slowing construction at its Quellaveco copper project due to quarantine measures put in place by the Peruvian government.

Peru has announced a 15-day national quarantine to curb the spread of the coronavirus, and only critical areas of the project are expected to continue as the company demobilises most of its 10,000 strong workforce.

The project affects one of the largest undeveloped copper deposits in the world,  and is expected to begin production in 2022. It has an expected capital cost of $5bn (R82.5bn) to $5.3bn.

“Our development of this world-class project has progressed ahead of schedule and within our budget and we would expect to be able to accommodate this slowdown within our market guidance on both timing and costs at this stage,” said CEO Mark Cutifani.

In morning trade on Tuesday Anglo American's share price was up 9.22% to R278.74, having fallen some 30% so far in 2020.

gernetzkyk@businesslive.co.za