The Chilean miner has been seeking a buyer for all or part of itself to raise $1 billion to dig for copper and gold in two of its mines in the country's north.
Chile Mining News
The country's antitrust court has approved a deal between the competition regulator and Tianqi, allowing the Chinese miner to buy a nearly one-quarter stake in lithium producer SQM .
The contract requires Albemarle to offer as much as 25 percent of its annual production capacity at a discounted rate to companies within Chile.
Albemarle aims to eventually end its dependence on two smaller units to fund growth as global appetite surges for electric vehicles and consumer goods.
The approval process for the necessary environmental permit for the initiative, which includes an investment of $527 million, began this month.
The ENAPAC project is meant to serve mainly the mining industry, which is very active in Chile’s dry, but copper and lithium-rich north.
A fire at its Spence copper mine in Chile had forced it to partially shut down operations. No one was injured in the fire, which has since been extinguished.
The Maricunga project in northern Chile has seen significant past exploration, with over $30 million spent to date.
The proposed tax, to be applied on the nominal value of extracted metals, would affect copper miners that produce more than 12,000 tonnes of the metal and those extracting 50,000 tonnes of lithium a year.
The copper mine Collahuasi in Chile is expected to produce 545,000 tonnes of copper this year, 4 percent more than in 2017.
Other companies interested in partnering with Teck include Freeport-McMoRan, China’s Aluminum Corp of China (Chinalco) and Canada’s base metals miner Lundin Mining.
Partners may lose their right to develop the Mt Holland lithium project after a recommendation by a unit of the West Australian government that regulates mining leases.
Chuquicamata, the company’s second largest copper operation by size, is expected to transition to underground block cave mining by mid-2019.
Chile produced 481,700 tonnes of copper in July, an increase of 2.9 percent compared to July 2017.
The court is scheduled to hear the details of the settlement agreement on Sept. 13, and is slated to make a decision on the case by Oct. 4, the FNE said in a statement.
Environmentalists say that glaciers close to mining sites could melt more rapidly.
Among the investments, it referenced two new lithium mining projects, three copper and one gold, totalling $5.9 billion.
The company expects to produce approximately 1.7 mln tonnes of copper in the whole of 2018.
The 83 workers of the Plantas de Andina union began a strike on Aug. 20 after contract negotiations over salaries and bonuses failed.
In Chile, threats of a government crackdown on over-usage of water often ring hollow. Mines need water, and the country´s copper-driven economy needs mines.
Canada's largest diversified miner said that before beginning the copper mine upgrade, it would have to secure a development partner able to invest $2billion for up to 30% to 40% stake in the project.
The company received environmental approval for the plan earlier this month, which aims to extend the life of the aging deposit and boost production.
More than 80 unionized workers of the Plantas de Andina union went on strike a week ago.
Expansion and upgrades would extend the mine’s life by 21 years.
But the world's second largest producer said they will remain higher than the average reached last year.