Around 1,300 unionized miners plan to start an indefinite stoppage at Peru's largest copper mine beginning March 24.
Grasberg Mining News
Disputes at BHP Billiton’s Escondida mine in Chile, the world's biggest copper mine, and Freeport’s Grasberg and Cerro Verde mines, are also having a significant effect on global supplies of concentrate.
The mine produced just under 500,000 tonnes of the red metal last year, making it Peru's largest copper operation.
Top listed copper producer Freeport says negotiations with Indonesia going nowhere – will slash production at iconic mine by 60%.
The firm has not been able to ship copper from the mine in over a month due to a ban on concentrate exports that kicked in on January 12.
Miner says that each month of delay in obtaining approval to export means production would be reduced by 70 million pounds of copper and 70,000 ounces of gold.
Government is considering to extend the miner a temporary permit, valid for up to six months, which would pave the way for Freeport to resume exports from Grasberg.
Far-reaching new mining rules ease a controversial ban on exports of nickel ore and bauxite.
The company, which is the US biggest miner by market value, is cutting 25% of its workforce to reduce debt.
The measure is part of a wider revision of the 2009 mining law that led to Indonesia's export edicts and other regulations.
Maroef Sjamsuddin's decision comes less than a month after the chairman of the U.S. mining giant stepped down.
The company's co-founder James Moffett will step down as chairman and quit the board.
The U.S. miner became the latest mining company to announced drastic measures aimed at preserving cash amid a deepening commodity prices rout.
The investigation aims to determine whether senior officials tried extorting Freeport’s Indonesian unit in return for letting the company continue to operate in the country.
The U.S’s largest mining company unveils plans to further slash copper and molybdenum output.
The approval will include “the same rights and the same level of legal and fiscal certainty provided under its contract of work,” the company said without elaborating.
The miner has responded to deteriorating market conditions by slashing spending and cutting jobs, mostly at its North American operations.
The company, which runs the massive Grasberg mine in Papua, has stopped exporting since last month.
But China’s slowdown, rising costs and falling prices may get in the way.
The copper and gold miner will pay a dividend of 5 cents.
The copper price recovered from a one-month low on Wednesday to gain 3% on Thursday, as the metal markets reacted to a dovish Fed statement and news out of Indonesia that production has stopped at the Grasberg mine.
The U.S. largest miner by market value and revenue has already slashed its capital budget for the year by $2bn and it is ready to make further cuts.
The U.S. largest miner by market value and revenue is also dealing with a strike threat at its Indonesia's Grasberg copper and gold mine, which recently resumed operations.
Operations, however, won’t resume until at least Oct. 7.
Protesters are demanding management to review safety conditions following a fatal accident on Sept. 27.