Antofagasta CEO Ivan Arriagada
The Los Pelambres copper mine is set for a $1.3-billion expansion, with London-listed Antofagasta on Thursday announcing that production at the Chile mine would be increased by an average 60 000 t/y.
The project, owned 60% by Antofagasta and 40% by consortiums led by Nippon and Mitsubishi, will increase throughput at the plant from 175 000 t/d to 190 000 t/d and includes an additional semiautogenous grinding mill, ball mill and corresponding flotation circuit with six additional cells.
Copper production will increase from 40 000 t in the first year at the expanded throughput to 70 000 t towards the end of a 15-year period.
The project includes the construction of a desalination plant and water pipeline, which Antofagasta CEO Ivan Arriagada said would also benefit the existing operation in cases of prolonged or severe drought, and for a potential further phase of expansion.
The capital cost budget of $1.3-billion includes the $500-million desalination plant and water pipeline budget.
Construction of the project will start at the beginning of 2019 and first production is expected in the second half of 2021.
Delegates at this week's Asia Copper Conference in Shanghai have highlighted the robust outlook for copper in the mid to long term, despite trade frictions between the US and China.