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Peru leader skips summits amid mine dispute
by Staff Writers
Lima (AFP) Dec 2, 2011

Peruvian President Ollanta Humala.

Peruvian President Ollanta Humala on Friday canceled a trip to Venezuela and Mexico for two regional summits as a dispute over a $4.8 billion gold mining project dragged on in the north of the country.

Humala had been due in Caracas for the inaugural meeting of the Community of Latin American and Caribbean States, a bloc that excludes the United States and Canada. He was then to meet leaders of Chile, Colombia and Mexico in Merida.

The Peruvian leader officially canceled his trip due to his "domestic agenda."

Despite the suspension earlier this week of the so-called Conga project, an ambitious mining initiative operated by US mining giant Newmont in the Cajamarca department of mountainous northern Peru, the conflict is raging on.

Protests continued Friday in the area against the project, which Humala has backed, although a series of roadblocks set up by the demonstrators had eased.

Activists have called for talks with government officials, the mining group and local residents, who are fearful the mine would compromise their water supply.

But they want scrapping the project altogether to be an option on the table, something which Humala's government has refused to consider.

The conflict goes to the heart of the problems Humala faces in trying to balance the needs of the mainly poor people who elected him with the demands of the mining industry, Peru's main engine of economic growth.

Mining in Peru last year generated $15 billion, and this year mining exports are expected to be above $25.5 billion, according to government figures.

Protests had raged throughout the Cajamarca department for the better part of a week, with a mob setting fire to a local warehouse and the main airport being forced to close.

At least 10 people were injured in Tuesday's protests, which brought the department to a near-standstill, before the suspension of the project was announced.

Humala, however, had some good news on the mining front Friday.

In southeastern Peru, a regional protest that left 30 injured in Andahuaylas last month was suspended after regional authorities pledged to carry out an in-depth study on water supplies before offering mining licenses.

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LA mayor to drum up business on Asia trip
Los Angeles (AFP) Dec 3, 2011 - Los Angeles mayor Antonio Villaraigosa headed to Asia on Saturday for a 10-day trip designed to drum up business, and discuss disaster response after the Japanese tsunami.

Villaraigosa will travel to China, South Korea and Japan, on his second trip as mayor to bolster ties between the West Coast metropolis and Pacific rim counterparts.

"The future of Los Angeles is tied closely to our neighbors in the Pacific Rim," he said. "Since our 2006 trade mission, we have worked to develop strong economic ties with Asia.

"This year we will continue to strengthen important relationships, while working to increase investment, trade and tourism in LA."

Villaraigosa and a business delegation will meet with Chinese vice premier Wang Qishan and vice president Xi Jinping, as well as the mayors of Shanghai and Seoul.

In Japan, the delegation will visit Tokyo and tsunami-ravaged Sendai, to learn how authorities responded to the disaster triggered by a massive earthquake, for which Los Angeles has itself long prepared.



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TRADE WARS
Protests force Peru to suspend gold mine
Lima (UPI) Dec 1, 2011
Protests over risks to water resources from gold and copper mining operations have prompted the Peruvian government to suspend activity at the facility raising new questions about the $4.8 billion Conga project in the northern Cajamarca state. The government of President Ollanta Humala badly wants the project to go ahead and as part of its fight-back has suggested the protesters are mos ... read more


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