Peña Colorada is a surface mine located near the town of Minatitlan in Mexico's state of Colima. The mine is a 50/50 joint venture between ArcelorMittal and Ternium, though it is operated by the former. Each company assumes its pro rata share of the production, which is split between a pellet product and a concentrate one. In 2014, Peña Colorada started an investment project to increase the capacity of the crushing and grinding systems. The new plants began operations in December 2016. Concentrate from the mine is trucked roughly 50 kilometres from the mine site to its pelletising plant in the city of Manzanillo, before being loaded onto railcars or ocean-going vessels. This results in a fairly high sensitivity to changes in diesel prices than mines in other countries.