Summary
Southern Copper Corporation (SCCO) has disclosed a significant development regarding its San Luis zinc plant through an 8-K filing on September 29, 2009. The company's subsidiary, Industrial Minera Mexico S. A. de C.V. (IMMSA), reached an agreement with the Municipality of San Luis Potosí to cease the use of anhydrous ammonia gas in its production process. This move addresses environmental concerns and regulatory compliance. Furthermore, the agreement includes a donation of land by INTERSABA and the Municipality to be used by IMMSA for constructing a recreational park for the local population, highlighting SCCO's commitment to sustainable development and community relations. This resolution also settles ongoing litigation between IMMSA and INTERSABA concerning land permits and buffer zones, which had been previously disclosed.
Key Highlights
- 1Southern Copper's subsidiary, IMMSA, will stop using anhydrous ammonia gas at its San Luis zinc plant.
- 2This change in technology is in response to an agreement with the Municipality of San Luis Potosí.
- 3The Municipality of San Luis Potosí has confirmed that IMMSA can continue industrial use of the land.
- 4INTERSABA and the Municipality will donate land to be used by IMMSA for a public recreational park.
- 5The agreement resolves past litigation between IMMSA and INTERSABA regarding land permits and buffer zones.
- 6This action demonstrates Southern Copper's commitment to sustainable development and community engagement.
- 7The settlement is expected to improve the company's relationship with local authorities and residents.