Codelco is unlikely to meet its near-term copper production targets amid the group’s struggles to overhaul its ageing mines, according to the head of the Chilean state-owned miner.
In a local interview cited by Bloomberg, Chairman Bernardo Fontaine says the company is facing another tough year of copper production, effectively ruling out its goal of returning to pre-pandemic output levels by 2030.
“For seven years, Codelco hasn’t met its projections — and this year is no exception,” he told Radio Infinita.
The company had previously targeted annual copper production of 1.7 million tonnes within four to five years. Fontaine says that goal is no longer realistic.
Instead, Codelco plans to present a recovery strategy in October or November focused on improving profitability rather than maximising production.
Earlier this year, the miner issued 2026 production guidance of 1.331–1.357 million tonnes.
As part of the review, Codelco has suspended approvals for new projects while it reassesses capital spending to ensure future investments deliver acceptable returns.
The company is also seeking more partnerships with private miners, with Fontaine saying Codelco lacks the capital and capacity to develop its full project pipeline alone.
Codelco, the world’s largest copper producer, is attempting to reverse years of declining output while carrying about US$25 billion ($35.8 billion) of debt.
The company recently recorded its lowest production in 28 years and has also faced scrutiny following a fatal accident and investigations into its reported production figures.
Write to Jackson Chen at Mining.com.au
Image: Codelco
