Chilean National Copper Corporation's performance continues to decline
Chilean National Copper Company (Codelco) will produce 1.42 million tons of copper in 2023, a year-on-year decrease of 8.4%, the lowest level in 25 years. Experts believe that although the company maintains its position as the world's major copper producer, its competitiveness has gradually weakened. The main reasons are: first, the quality of the mines is low, which leads to higher mining and operating costs; second, the company's management level is affected by other international companies. Challenges require improvement in aspects such as strengthening flexibility, diversification and asset management standards.
The Chilean Minerals Council called on the country to continue to invest more in the mining industry in order to make up for the shrinking production caused by declining mineral quality, water shortages and other factors.
Jorge Cantallopts, executive director of the Chilean Copper Mining Research Center (CESCO), said that Chilean copper production has declined for five consecutive years and is at its lowest level in two decades. Chilean copper production accounted for 34% of global copper production from 2004. % has dropped to 26% in recent years, mainly because some ore deposits are facing problems of ore depletion or low grade. Chilean National Copper Company (Codelco) has also failed to complete its mining targets for two consecutive years due to factors such as the complexity of its projects. , coupled with the difficulty in approval of the licensing system, which has affected the implementation of some new copper mine projects. In addition, the rapid growth of copper production in countries such as Peru and Congo, and the huge potential of copper deposits, has also affected the global share of smart copper production. Kan pointed out that there is an urgent need to take actions to restore the competitiveness of Chile's mining industry, such as strengthening public services, issuing encouraging policies, improving infrastructure, optimizing community relations, etc.
