Rising prices triggered by the ongoing Middle East conflict have increased production costs for Codelco, the world’s largest copper mining company, according to its chairman.
The Chilean state miner said higher input costs linked to global supply disruptions have added at least 10 cents per pound to its production expenses.
Chairman Máximo Pacheco told Reuters that while costs have risen, the company remains on track to meet its 2026 copper production target of around 1.344 million metric tons.
Codelco, which has faced production declines in recent years, is also aiming to increase output to 1.7 million tons by 2030 as part of its long-term recovery plan.
The company said the war has made mining operations more expensive and complicated, particularly due to supply chain pressure on key industrial materials.
However, it added that early procurement of key inputs such as sulfuric acid has helped reduce the immediate impact of price shocks.
Codelco reported first-quarter production of 271,300 tons, slightly lower than the same period last year due to planned maintenance work.
Despite short-term pressures, the company said operational continuity remains stable and production targets are still achievable under current conditions.
0 Comments