LATINO85

ISSN 0717-0580 I Año / Year 19
marzo–abril / march–april 2014
www.latinomineria.com
Ministro Hales: A la
vanguardia de Codelco
Ministro Hales: Codelco´s
newest mine
Perú promueve inversiones
en Latinoamérica
Peru promotes investment in
Latin America
Disponible para tablet en:
summary
Chile: Consolidating its leadership
The country is expected to produce more than
six million tons of the red metal this year, thanks
to the commissioning of new projects and
strong performances at existing operations.
08
Ministro Hales: Codelco’s first
structural project
The Chilean corporation’s new division will
produce 200,000 tons of fi ne copper and 330
tons of silver annually during its fi rst fi ve years
of operations.
16
Eva Arias and the International Gold
& Silver Symposium: “The goal is to
encourage investments in Latin America”
37
Thrusting copper
Newstrike aims to the gold in Mexico 23
Metal prices will rise in the medium term 25
Latin News 30
Nelson Pizarro, president of the Expomin
International Congress: “We must address
our business globally”
Aura Minerals: "We are specialized in
operating"
Equipment for open pit mining: Constant
innovation for operation
Collahuasi and farmers in northern Chile:
Working together for water
34
41
44
48
Latinmarket / Calendar 54
Major changes have been taking place in
the copper market. Freeport McMoRan
has taken first spot among the world’s
largest producers after increasing output
in 2013 to 1.87 million tons, up 11% from
2012. Codelco dropped from the number
one position (it produced 1.791 million tons
last year) after recording lower production
at all its divisions, with the exception of El
Teniente. But looking at the 2013 ranking,
Freeport McMoRan is not the only
company putting pressure on Chile’s state
mining company. For example, the recently–merged
Glencore–Xstrata produced
1.497 million tons last year.
But, beyond Codelco’s difficulties,
2013 was a good year for the Chilean
copper industry. After years of stagnation,
annual production rose 5.5% to 5.788
million tons, according to the country’s
national statistics institute INE. Next year
the start–up of production at projects such
as Ministro Hales (Codelco), Caserones
(Lumina Copper) and Sierra Gorda (controlled
by KGHM) will lift Chilean copper
production to over six million tons.
Latin America’s other major copper
producer, Peru, also had a strong year,
lifting production by 5.9% to 1.376 million
tons, according to figures produced by the
country’s Ministry of Energy and Mines.
This year and next promise even better
news, with the commissioning of new projects
such as Toromocho (Chinalco), Las
Bambas (which has been put up for sale by
Glencore–Xstrata) and Constancia (Hud-
Bay Minerals). These projects, together
with the expansion of Freeport McMo-
Ran’s Cerro Verde mine, are expected to
double Peruvian copper production to 2.6
million tons.
The increases in production confirms
the importance of both countries in the
global copper industry. They are expected
to retain this position into the next decade,
given that almost US$170 billion are forecast
to be invested in mine projects in the
two countries, mostly in copper operations.
Other countries are also increasing
production of the red metal. For example,
in Brazil, Vale will expand its Salobo mine to
lift production from 100,000 tons annually
to 200,000 tons during the second half of
this year. Meanwhile, First Quantum’s Cobre
Panama project is expected to produce
320,000 tons annually from 2017 onwards.
The same cannot be said for Mexico
and Argentina. In Mexico, the government
established a mining tax of 7.5% on sales
which industry sources say will slow investment
in the country. Meanwhile, in
Argentina, there are no projects in construction
to replace production from Bajo
de la Alumbrera, the country’s only significant
copper mine, which is expected to run
out of reserves in 2018. Argentina’s mining
industry has been harmed by restrictions
on currency markets and the exchange
rate. As a result, the country’s geological
potential will go untapped.
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85 Bilingual Edition
Chile se consolida
en el cobre
Chile builds on leadership
in copper
On the cover: Radomiro Tomic Division. Photo courtesy of
Codelco.
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