Southern Copper Corp's Cuajone mine in Peru has suspended operations since Feb. 28 due to a protest by local communities who cut the company's water access and blocked a key railroad, Peru's mining chamber SNMPE said on Monday.
"The refusal of residents to restore water supply to Cuajone and free the rail road prevent us from resuming operations at the mine," Southern Copper said in a statement published on Sunday.
Peru is the world's No. 2 copper producer and mining is a key source of tax revenue. Residents of nearby communities have been increasingly protesting that mines cause pollution without contributing enough to the local economy.