Categories: Base Metals / General Market Commentary
Topics: General Base Metals / General Market Commentary

Output at world’s largest copper mine sank by 63% in Q1

Historically long 43-day strike at Chile's Escondida copper mine took heavy toll on production.

Copper production at Chile's Escondida copper mine, the world's largest, fell by an shocking 63% from January to March this year when compared to the same period in 2016 due to long-drawn-out strike, which became the longest private-sector mining stoppage in the country’s history.

The mine, located in the copper-rich Antofagasta region, in northern Chile, generated 97,103 tonnes of copper in the first quarter of the year, down from 265,597 tonnes a year earlier, EFE news agency reported (in Spanish).

Before the strike, it was forecast to produce almost 1.1 million tonnes this year. That is equivalent to about 5% of the world’s total copper production.

While majority-owned and operated by BHP (ASX, NYSE:BHP) (LON:BLT), which invoked force majeure due to the stoppage, other companies including Rio Tinto (LON, ASX:RIO) and Japanese Mitsubishi Corp also hold stakes in the mine.