Buenaventura to buy Gold Fields' 51% stake in Peru project

|By:, SA News Editor

Buenaventura (NYSE:BVN) is taking full control of the Chucapaca gold deposit in Peru by buying a 51% stake in the project from partner Gold Fields (NYSE:GFI), raising its stake from 49%.

BVN, which is paying $81M plus royalties, says it will develop the deposit as an underground mine instead of as an open-pit project the two companies once deemed too costly.

Chucapaca has been estimated to produce 500K oz. of gold per year once up and running.