Chile’s copper mining industry, the world’s largest, is losing competitiveness as costs surge on falling ore quality and rising energy and labor costs, said Diego Hernandez, who heads Antofagasta Plc’s mining division.
Codelco, engaged in a dispute with Anglo American Plc over the world’s fifth-largest copper mine, said its chief executive resigned in the same week as the companies resumed talks to seek an out-of-court settlement.
Andres Avendano steps out of his Toyota Hilux pickup halfway down a 20-kilometer-long tunnel under Chile’s Chuquicamata copper mine. He lifts a cylindrical chunk of rock from the diamond-bit-studded drilling machine that extracted the sample.
Codelco, the world’s largest copper producer, appointed BHP Billiton Ltd.’s Diego Hernandez as chief executive officer as the state-owned company seeks to boost output for a second consecutive year amid Chile’s earthquake reconstruction efforts.
Antofagasta Plc, the copper producer controlled by Chile’s Luksic family, is renegotiating contracts at its stalled Antucoya project to keep the budget at the agreed $1.86 billion, the chief executive officer said.
Antofagasta Plc, the copper producer controlled by Chilean billionaire Jean-Paul Luksic, appointed Diego Hernandez, the former chief executive officer of Chile’s state-owned Codelco, to run its mining division.
Codelco, the world’s largest copper producer, may seek bank loans to raise the $600 million it needs to finance expansions at its Chilean copper mines this year, Chief Executive Officer Diego Hernandez said.