We have established the Fondo de Desarrollo de Moquegua, a non-profit organization made up of entities representing Moquegua’s civil society, who will be the beneficiaries of the social responsible expenditures we will be making and oversee the appropriate use of the funds in improving the competitiveness and development of the Moquegua region. The strategic plan of the Fondo de Desarrollo de Moquegua will be aligned with the Moquegua Regional Competitiveness Plan.
The establishment of the Fondo de Desarrollo de Moquegua was set forth in Agreement 1 of the Minutes dated June 4, 2012:
Our contribution:
We will make social responsibility expenditures for an estimated total of S/1,000,000,000, broken down as follows:
- Social responsibility investment of S/ 350,000,000 during the construction stage of the Quellaveco Project, as follows:
- We will build, or have built, the Chilota - Chincune barrage, pumping, and conveyance system, for an estimated value of S/ 100,000,000.
- We will transfer the amount of S/ 150,000,000 to the Fondo de Desarrollo de Moquegua, which will be allocated for:
- Construction of an Asana storage system for a total of 2.5 m 3 , for an estimated value of S/ 100,000,000.
- Execution of projects in the provinces of Mariscal Nieto, Ilo, and Sánchez Cerro. According to Agreement 4 of the Minutes dated June 27, 2012, the distribution of the contribution that we will be making to the Fondo de Desarrollo de Moquegua shall be done equitably among the three provinces of Moquegua.
- We will execute the following commitments, for a total estimated value of S/ 100,000,000, as promised in the Dialogue Table:
- Heightening of the Vizcachas Dam.
- Implementation of the Local Supplier Program.
- Implementation of the Employment Training Program.
- Implementation of the Wetland Protection Program.
- Implementation of the Queñua and Guanaco Protection Program.
- We will make a contribution to the Fondo de Desarrollo de Moquegua for an amount equal to 20% of the mining royalties to be paid in application of the Mining Royalties Act approved by Act 28258, or its regulations approved by Supreme Decree (Decreto Supremo) 157-2004-EF.
This contribution is estimated at S/ 650,000,000 over the thirty (30) years of planned operation of the Quellaveco Project.
The total amount of the contribution to the Fondo de Desarrollo de Moquegua was established in Agreement 6 of the Minutes dated July 10, 2012.