Union at Chile’s Mantoverde mine says company avoiding talks to end strike

The union at Capstone Copper’s Mantoverde copper and gold mine in northern Chile on Saturday denied a company claim that it was still occupying a desalination plant at the facility, saying the allegation was an excuse to avoid talks.

Workers have been on strike at the mine since January 2 after talks over new labour contracts broke down.

The union representing 645 workers said in a statement that government officials had called a mediation meeting on Friday, but the company declined to attend unless union members first halted what it described as forceful actions.

The union said a small group of its members had obstructed the entry of company personnel and on Thursday took over the desalination plant that provides water for the mine, but that they had since stopped those actions.

All staff who normally work at the plant could access the facility, the union added.

It also said in its statement that it “rejected the company’s false account that a ‘mob’ had entered the plant, causing significant damage that left it inoperable”.

“The company’s management is harming the interests of its own owners by failing to restart plant operations, all in order to sustain a narrative that criminalizes the strike.”

Capstone Copper said in a statement to Reuters on Saturday that it maintained its position that “the minimum conditions for talks do not exist”.

The labor dispute comes at a time when markets are highly sensitive to any signs of tighter copper supply, with prices at record highs amid expectations of strong future demand.

Mantoverde is 70% owned by Capstone and 30% by Mitsubishi Materials. The mine was forecast to produce between 29,000 and 32,000 metric tons of copper cathode in 2025.

The operation accounts for about 0.4% of global copper output.

(By Fabian Cambero and Cassandra Garrison; Editing by Jan Harvey)