Press Release

Milbank Represents Southern Peru Copper Corporation in $800 Million Note Offering

One of Largest Inaugural Debt Offerings by a Latin American Company In Recent Years

NEW YORK, NY, July 25, 2005 – Marking one of the largest inaugural debt issues in recent years out of Latin America, Southern Peru Copper Corporation (SPCC) has completed an $800 million 144A international debt offering underwritten by Citigroup. The international law firm Milbank, Tweed, Hadley & McCloy LLP, led by partners Michael Fitzgerald and Robert Williams, represented SPCC in negotiating and closing the deal.

Milbank’s Fitzgerald noted, “SPCC continues to take advantage of favorable conditions in the financial markets with the issuance of these notes. Record high copper prices and low interest rates contributed to the offering being more than five times oversubscribed. Following on the successful landmark $955 million equity offering by SPCC in June of this year, the note offering is indicative of investors’ continuing positive reaction to Grupo Mexico’s recent merger of its Mexican and Peruvian operations into SPCC.”

Milbank also represented Grupo Mexico and its subsidiary Minera Mexico in the recent merger of its Mexican and Peruvian operations to turn SPCC (NYSE, LSE: PCU) into the world’s number 2 copper company by reserves and market capitalization. As a result of the merger, Grupo Mexico increased its ownership interest in SPCC to approximately 75%.

About the Offering:
The notes were offered on a Rule 144A/Reg. S basis with SEC registration rights. The offering was divided into two tranches with SPCC selling $600 million of 30 year notes with a coupon of 7.5% and $200 million of 10 year notes with a coupon of 6.375%. The proceeds of the offering were used primarily to refinance approximately $700 million of bank loans recently arranged by Citigroup. The lead managers for the sale were Citigroup Global Markets Inc. and UBS Investment Bank.

The Milbank team representing SPCC was led by partners Michael Fitzgerald and Robert B. Williams with associates John Cobb, Michael Fordham, Ellie Kwack and Hieu Pham.

About Milbank:
Active in Latin America for many years, Milbank has played a prominent role in some of the region’s most innovative and complex transactions, from project financings and restructurings to securities offerings and IPOs. Milbank’s Global Securities/M&A/General Corporate Group is renowned for its leadership in sophisticated cross-border transactions and combines both the transactional and regulatory expertise necessary to successfully negotiate and close mergers & acquisitions and other transactions across a wide range of industries.

Milbank’s Global Securities group has been involved in a number of “first of its kind” transactions in Latin America. In addition to SPCC and Grupo Mexico, recent deals include:

• Representing Merrill Lynch & Co. as underwriter of the US$300 million offering of Banco Bradesco S.A. perpetual non-cumulative junior subordinated securities, the first ever perpetual bond sold by a Brazilian issuer and the first “Tier I” bond deal ever done by a financial institution in Brazil.

• 
  Representing the issuer Gruma, S.A. de C.V., in the US$300 million bond deal, the first perpetual bond deal ever done by a corporate issuer in any market.

Milbank, Tweed, Hadley & McCloy LLP is a premier global law firm headquartered in New York, with offices in Washington, D.C., Los Angeles, Palo Alto, London, Frankfurt, Munich, Tokyo, Hong Kong and Singapore. Recently named Legal Week’s “INTERNATIONAL FIRM OF THE YEAR” for 2004, Milbank is a recognized leader in capital markets, corporate finance, project finance, acquisition finance, and other major fields of legal practice. The Firm's practice includes cross-border mergers and acquisitions and global securities transactions as well as assisting multinational clients with their cross border investments. Milbank provides a full range of services to many of the world’s leading financial, industrial and commercial enterprises, as well as governments, institutions and individuals.