Chile’s state-run copper miner Codelco is focusing on enhancing its production capacity, with Mining Minister Aurora Williams emphasizing that the company’s global prestige would not be compromised if it relinquishes its position as Chile’s top copper producer to rival BHP. Despite facing challenges such as cost overruns, delays, and accidents, Codelco aims to reverse declining production in a bid to bolster both its profitability and Chile’s influence in global markets.
Following a worker’s tragic death at Codelco’s Radomiro Tomic mine, which led to a temporary production shutdown, the company’s April production figures are expected to be lower. Despite this setback, President Gabriel Boric expressed optimism about Codelco’s output rebounding this year during a major copper industry conference.
While Codelco produced 1.42 million metric tons of copper in 2023, BHP-operated mines in Chile, including the world’s largest copper mine Escondida, collectively produced 1.39 million tons. Minister Williams emphasized that Codelco’s global standing as a benchmark in mining would not be diminished by a potential shift in its domestic production rankings.
Furthermore, the minister voiced support for BHP’s production growth, highlighting the importance of responsible production and the development of the mining sector. Chile also aims to facilitate faster permitting processes for new projects and seeks to expand its production of the battery metal lithium, which is currently extracted by only two companies in the country.
Additionally, the Saudi Arabian embassy in Santiago has expressed interest in potential investments in Chile’s mining sector, with discussions underway regarding the hosting of a delegation from Saudi Arabia later this year. While specific details about the metals of interest to Saudi Arabia were not disclosed, the initiative reflects growing international engagement in Chile’s mining industry.