Peru's Humala says Newmont project needs environmental work

LIMA, April 20 Fri Apr 20, 2012 7:10pm EDT

LIMA, April 20 (Reuters) - Peruvian President Ollanta Humala said on Friday that U.S.-based Newmont Mining should carry out a more ambitious environmental mitigation plan if it hopes to build its $4.8 billion Conga gold mine project.

Humala, who urged community activists to stop protesting against the stalled mine's construction, said the government would make sure the company adheres to strict social, environmental and labor goals.

His comments to end a months-long impasse come two days after independent environmental auditors encouraged the company to build larger reservoirs to guarantee even more water supplies and to preserve two lakes that would be displaced under the company's original plan.

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