Peru's Power Grid Cost Surge Threatens Global Silver Supply
Peru, a major global silver producer, is facing a significant energy crisis due to a rupture in the Camisea pipeline, which has drastically reduced the country's natural gas supply by 90%. This has led to a fivefold increase in marginal power costs, severely impacting the mining sector, particularly underground silver mines. The government has declared a rationing emergency and suspended natural gas exports to manage the crisis. The increased energy costs are compounded by high diesel prices, further straining mining operations. As a result, Peru's silver production, which constitutes about 15% of the global supply, is under threat, with potential production cuts looming. 
