Codelco Advances Projects in Planned Ministro Hales Copper-Silver Mine

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Researched by Industrial Info Resources (Sugar Land, Texas)--State-owned copper miner Codelco (Santiago, Chile) will invest approximately $2.8 billion to develop and eventually expand the Ministro Alejandro Hales mine, in the company's North Division.

With a capital investment of $1.73 billion, the development of the Ministro Alejandro Hales project entails the construction of a 50,000-ton-per-day open-pit mine and processing plant, as well as a smelter and refinery to produce 200,000 tons per year of copper concentrate and 300 tons per year of silver. Prestripping will start in July 2011, and project completion is set for 2013. To excavate the pit, the company will have to remove 210 million tons of sterile earth to reach mineral-rich ore at about 200 meters below the surface. Codelco recently awarded Hatch Ingenieros y Constructores Limitada (Santiago, Chile) a contract to perform a feasibility study for this project.

In addition, Codelco is already planning a $1.15 billion underground expansion at the mine site, as well as the construction of an 80,000-ton-per-day processing plant. The expansion project is expected to be completed by 2027, extending the mine's life until 2048.

Formerly known as Mansa Mina, the Ministro Alejandro Hales mine lies between the company's giant Chuquicamata mine and the city of Calama in the Antofagasta region. Codelco is the world's largest copper producer. The company operates through five divisions: North, Salvador, Andina, El Teniente and Ventanas. It also owns and operates the Gabriela Mistral mine and has a 49% interest in El Abra mine. Furthermore, the company has a stake in other mining ventures focused on geological exploration, both in Chile and abroad.

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