Newmont Mining Corp. (NEM) said Wednesday that it has temporarily halted work at its Conga project in northern Peru due to a planned general strike.

The company said the giant Yanacocha gold mine, also run by Newmont Mining, is operating normally.

"Yanacocha continues operating normally today. In anticipation of today's planned general strike, we temporarily halted work at the Conga project to reduce any potential for conflict," the company said in a statement.

Protesters in northern Cajamarca region plan to hold demonstrations against the development of the Conga copper and gold project. Those protesters want Minera Yanacocha SRL, run by Newmont Mining, to suspend Conga due to concerns about water supplies.

"We respect and honor everyone's right to engage in peaceful demonstrations, and we urge those raising issues around the Conga project to participate in the working dialogues sponsored by the government," the company said.

Minera Yanacocha SRL is 51.4% owned by Newmont Mining, while Compania de Minas Buenaventura SAA (BVN, BUENAVC1.VL) has a 43.7% stake. The International Finance Corp. owns the remainder.

Conga's environmental impact study was approved in October 2010.

President Ollanta Humala on Sunday called for a peaceful resolution to the dispute.

Protests last week caused Yanacocha to temporarily stop work then at Conga to ensure the safety of its employees and the protesters.

On Tuesday, Prime Minister Salomon Lerner, in a trip to northern Peru, said that the government will ensure a respect for the rule of law, and called for dialogue and for non-violent protests.

On Sunday, President Ollanta Humala said Sunday that his administration will respect all contracts signed in the mining sector.

Minas Conga will require an investment of $4 billion to $4.8 billion. Production at Conga is scheduled to begin in 2015, with average output during the first five years of 580,000 ounces to 680,000 ounces of gold, and 155 million to 235 million pounds of copper.

-By Robert Kozak, Dow Jones Newswires; 51-1-99927 7269; peru@dowjones.com