Online edition RusCable.ru, informs that the international price of copper in this year is likely to remain high despite exposure to market volatility. It was announced by Chief Financial Officer of the National Copper Corporation Codelco, Thomas Keller, writes Dow Jones News.
We are optimistic about the long-term prospects for copper prices, «- he said, adding that the copper market instability is mostly influenced by events in Europe. Let us remember in the last days the price of copper fell to a four-month minimum, however, have not crossed the mark of $ 3.50 per one pound ($ 7,717 per 1 t). This fall Keller also refers to the expected destabilization, reports IMS «Metal Supply and Sales».
Keller has confirmed company’s announcement that the copper market fundamentals remain stable besides demand for the metal so far outruns supply.
As for Codelco production volume of this year, Keller repeated the prediction of the Executive Director of the company Diego Hernandez who assumed that Codelco up to 2012 is likely to reduce the volume of production in comparison with the previous year by 2% to 1.7 million tonnes. Let us remember in 2011, the company exceeded its plan in production of copper and produced 1,735,000 million tons.
Meanwhile, it is Hernandes who at present has been taking part in an international conference in Miami which was also expected to meet the Executive Director of Anglo American, Cynthia Carroll.
As it was mentioned Anglo American and Codelco now has been litigating a controversy on what part of the copper mining complex of Anglo American in Chile Codelco can buy. In particular, Anglo American confirms that Codelco has the right to buy only 24.5% of the share fraction of the complex considering the fact that the same share has bought Japanese Mitsubishi before.
Meanwhile Codelco claims to 49% of the complex. To pay for the package the company signed a deal of $ 6.75 billion with Mitsui.
The largest copper assets Anglo American is composed of copper mines Los Bronces and El Soldado, Chagres plant and two recently discovered copper mines — Los Bronces Sur and Los Sufaltos. While Los Bronces, bordering on one of the units of Codelco has received $ 2.8 billion for the development of the mine.