Peru Gold, Silver, Copper Output Falls In May From Yr-Ago-Govt

LIMA, Jun 28, 2010 (Dow Jones Commodities News via Comtex) -- Peru's gold, silver and copper production declined in May from year-ago levels, the government said Monday.

Gold production dropped by almost 11% to 13,903 kilograms from May 2009, Peru's Ministry of Mines and Energy said in a statement. May's lower gold production was mainly due to an almost 35% drop in production at Minera Yanacocha, majority owned by Newmont Mining Corp. (NEM).

Copper production in May also fell just over 4% from a year ago, to 103,415 metric tons. The ministry said the contraction was due to lower production at Minera Antamina and Xstrata's (XTA.LN) Tintaya open pit copper mine.

Silver production in Peru, the world's largest producer, also dropped in May from a year ago, by 8%, to 300,874 kilograms.

Also falling was production of lead, down 15% to 21,926 tons, and tin, down 5% to 2,909 tons, according to the ministry.

Higher outputs of iron, zinc, molybdenum and tungsten were recorded in May from 2009 levels. Iron production was up 5% to 456,559 tons, while zinc rose 6% to 130,142 tons. Molybdenum production was up almost 41% to 1,198 tons and tungsten rose 23% to 67 tons.