Los Pelambres’ Copper Output to Drop by 10% in 2007

Los Pelambres copper mine of Chile, which Antofagasta of UK controls 60% of, expects the copper output is 294,000 tonnes in 2007, which is 10% lower than 2006. President Ignacio Cruz of Minera Los Pelambres said to a reporter of Japan Metal Bulletin on Monday the lower output is due to lower grade ore with 0.7% of copper compared with 0.8% in 2006 along with higher output for molybdenum rich ore.The firm expects copper output from the mine will increase in 2008 due to higher grade ore. The firm expects the molybdenum output will decrease from estimated record 10,800 tonnes in 2007, which is 10% higher than 2006, to increase more copper production.The firm tries to expand the ore treatment capacity to daily 145,000 tonnes in order to keep output level with lower grade copper ore. The firm is in study for another expansion of the capacity to 175,000 tonnes.Antofagasta acquired mining lease of Los Pelambres in 1985 and started underground mining operation in 1992. Japanese companies including Nippon Mining & Metals and Mitsubishi Materials have 40% interests in the mine since 1997. The joint venture now operates open pit mining operation at the mine, which is around 200 kilometers north from Santiago.