Reuters reported that Peru Congress voted recently to give the financially troubled Doe Run Peru smelter a 30 month extension on its environmental cleanup deadline, possibly paving the way for a restart of operations.
Doe Run Peru, owned by privately held US based Renco Group stopped production at its La Oroya smelter in June when it ran out of money after banks cut off credit.
The company has said it could regain access to loans and restart production at the world's most diversified smelter if its cleanup deadline were extended. Without an extension, the deadline expires in October, and the company has said it needs 36 months to finish the job.
Congress passed the 30 month extension, which was 10 months more than a joint commission had recommended, by an overwhelming majority 85 votes in favor one against and three abstentions.
The extension now passes to Peruvian President Alan Garcia, who is expected to sign it into law. More than 3,000 jobs are directly at stake at the smelter and 16,000 jobs are indirectly threatened in La Oroya, one of the most polluted towns in the world.
