Government May End Strike At Peru Mining Company Cerro Verde - Union

Peru's government may issue a resolution this week to end an indefinite strike at Peruvian copper producer Sociedad Minera Cerro Verde SA (CVERDEC1.VL), a union official said.

Leoncio Amudio, the union's general secretary, said during a telephone interview on Monday that workers plan to meet with government officials in Arequipa region today to discuss a solution.

Union workers at Cerro Verde, Peru's third biggest copper producer, walked off the job on Sept. 29 to demand higher pay amid negotiations for a new collective agreement.

The union is seeking a resolution from the government to resolve the dispute following 16 unsuccessful negotiations with the company, Amudio said.

Amudio said union workers are planning to hold various marches this week in Arequipa to pressure for a solution.

Cerro Verde produced 345 million pounds of copper in the first half of this year, compared to 331 million pounds in the same period in 2010.

U.S.-based Freeport-McMoRan Copper & Gold Inc. (FCX) has a majority interest in Cerro Verde. Compania de Minas Buenaventura SA (BVN, BUENAVC1.VL) and a subsidiary of Sumitomo Corp. (SSUMY, 8053.TO) also have stakes in the company.

Peru is the world's second biggest copper producer.

-By Ryan Dube, Dow Jones Newswires; 51-945 043 802; [e-mail]