Codelco’s copper production rose slightly in 2024, reaching 1.328 million tons, with Chairman Maximo Pacheco expressing optimism for the company’s future goals. The company aims to begin lithium production by 2030, following government directives, while continuing to address output challenges in its core copper operations.
In a recent interview with Diario Financiero, Maximo Pacheco, Chairman of Codelco, announced that copper production for 2024 at Chile’s state-owned Codelco, the world’s largest copper producer, experienced a modest increase, totaling 1.328 million tons. This marks an increment of approximately 3,000 to 4,000 metric tons compared to 2023. Amid challenges such as construction setbacks, accidents, and declining ore grades, Codelco managed to overcome previous difficulties, achieving over 160,000 tons of output in December alone.
Looking forward, Pacheco expressed optimism about the company’s future production goals, stating, “We crossed the production valley in 2024 and are ready to start 2025 on the upswing to retake the peak of 1.7 million tons of fine copper at the end of the decade.” Furthermore, as part of its strategy to diversify, Codelco is also pursuing opportunities in the lithium market, having been directed by President Gabriel Boric to spearhead the expansion of lithium mining in Chile, the second-largest producer of lithium globally.
Codelco plans to advance its Maricunga lithium project, anticipating binding offers from potential partners by the first quarter of 2025. The company aims to commence construction at Maricunga in early 2027, targeting production to start around early 2030. This initiative is in conjunction with a joint venture with the local lithium producer SQM at the Atacama salt flat. Pacheco noted significant progress in fulfilling contract compliance obligations for this joint endeavor.
The Chilean mining company, Codelco, is a key player in the global copper market, facing significant challenges in recent years, including a drop in output to a 25-year low. Despite setbacks due to accidents and declining ore grades, Codelco is striving to enhance production levels. The company is also venturing into lithium production, following directives from the Chilean government, seeking to expand its operations into emerging markets that are critical for the future of energy and technology industries.
In summary, Codelco has experienced a slight rise in copper production for 2024, as stated by Chairman Maximo Pacheco, indicating a recovery from previous lows. The company is also strategically positioning itself to enter the lithium market by 2027, reflecting a broader commitment to diversifying its resource portfolio. Codelco’s efforts highlight both its challenges in copper output and its forward-looking strategies to leverage new opportunities within the mining sector.
Original Source: www.investing.com
