Codelco delivers on copper growth goal — by slimmest of margins

Codelco chairman Máximo Pacheco is meeting his goal of raising production at the state-owned copper giant — though only just.

Despite a fatal collapse at its largest mine, Codelco produced 1.333 million metric tons of copper last year from the Chilean operations it runs, Pacheco said in an interview. That was 5,000 tons, or 0.4%, more than the previous year.

The former Chilean energy minister and International Paper Co. executive has been working to revive output after production sank to a 25-year low amid declining ore grades and setbacks at mines and expansion projects.

That effort has been further complicated by a prolonged recovery at El Teniente, where a July 31 accident cut output by about 45,000 tons last year, Pacheco said. The 72-year-old’s term as chairman ends in May.

Codelco is targeting another modest increase this year, with output budgeted at 1.344 million tons, he said. Even a marginal gain would be welcomed by a copper market unsettled by supply disruptions that have helped drive prices to record highs.

The state company achieved the 2025 target thanks to a bumper December, which consultancy Plusmining estimates at 40% above November levels. While December typically comes in higher, that month has been exceptionally strong the past two years.

“Output is becoming increasingly concentrated toward year-end, likely reflecting more aggressive inventory management tied to meeting full-year production targets,” Plusmining founder Juan Carlos Guajardo wrote in a note on Wednesday.

(By James Attwood)