Our vision: to be recognised as a Chilean-based international mining company, focused on copper and its by-products, known for its operating efficiency, creation of sustainable value, high profitability and as a preferred partner in the global mining industry.

Our strategy for growing our mining business is based around three pillars:

  1. 1THE EXISTING CORE BUSINESS
    • The first pillar of the strategy is to optimise and enhance the existing core business: Los Pelambres, Centinela, Antucoya, Zaldívar and the transport division.
  2. 2ORGANIC AND SUSTAINABLE GROWTH OF THE CORE BUSINESS
    • The second pillar of the strategy is to achieve sustainable, organic growth by further developing the areas around the Group’s existing asset base in Chile.
  3. 3GROWTH BEYOND THE CORE BUSINESS
    • The third pillar of the strategy is to seek growth beyond the Group’s existing operations, in Chile or internationally, through the acquisition of high-quality operating assets and/or high-potential early-stage developments.

 

The first pillar of the strategy is to optimise and enhance the existing core business: Los Pelambres, Centinela, Antucoya, Zaldívar and the transport division.

CURRENT STRATEGIC FOCUS:

  • Further embed the Safety Model across all operations to achieve annual target of zero fatalities
  • Continue the Cost and Competitiveness Programme (CCP) to sustain the Group’s competitive position
  • Seek long-term productivity improvements through the development and application of innovative solutions
  • Promote a culture that focuses on diversity and inclusion
  • Continue to cultivate a proactive and inclusive approach to local communities and other stakeholders in order to strengthen sustainable development

2018 in Review

  • Regrettably the Group had one fatal accident at Los Pelambres
  • Copper production of 725,300 tonnes, a 3.0% increase compared to 2017
  • Group net cash costs of $1.29/lb, 6c/lb lower than guidance for the year and 4c/lb higher than in 2017
  • CCP achieved $184 million of savings, outperforming targeted savings by $84 million
  • Labour agreements successfully reached at Los Pelambres

Objectives for 2019

  • Achieve zero fatalities by continuing to embed the Safety Model
  • Increase copper production to 750-790,000 tonnes
  • Group cash costs before by-product credits of $1.70/lb and net cash costs of $1.30/lb
  • Make a further $100 million of savings as part of the CCP, mainly through productivity improvements leveraged on the Group’s operating excellence methodology
  • Continue improving operating efficiency by increasing plant availability and operating consistently to release spare capacity at the Group’s operations
  • Maintain good relationships with communities and local stakeholders

The second pillar of the strategy is to achieve sustainable, organic growth by further developing the areas around the Group’s existing asset base in Chile.

CURRENT STRATEGIC FOCUS:

  • Advance the Los Pelambres Expansion project
  • Continue the expansion of Centinela
  • Improve copper recoveries at Zaldívar

2018 in Review

  • Encuentro Oxides achieved design capacity
  • Molybdenum plant started production
  • Los Pelambres Expansion Phase 1 Environmental Impact Assessment (EIA) was approved by the environmental authorities
  • Execution of the Los Pelambres Expansion project was approved
  • Reviewed Centinela expansion alternatives and selected the second concentrator as the preferred option

Objectives for 2019

  • Start construction of Los Pelambres Expansion Phase 1
  • Advance the Centinela second concentrator feasibility study
  • Advance innovation programme to assess value-capturing technologies

The third pillar of the strategy is to seek growth beyond the Group’s existing operations, in Chile or internationally, through the acquisition of high-quality operating assets and/or high-potential early-stage developments.

CURRENT STRATEGIC FOCUS:

  • Advance the Twin Metals project
  • Develop the long-term growth pipeline beyond the Group’s existing operations
  • Continue the exploration programme focused on the Americas in order to identify long-term growth options
  • Monitor the current market to assess potential accretive acquisitions or joint ventures

2018 in Review

  • Increased exploration activity, particularly in Chile
  • Divested non-core assets of Centinela electricity transmission lines and El Arrayan wind farm
  • Continued preparation of Twin Metals Mine Plan of Operations

Objectives for 2019

  • Continue monitoring the market for potential acquisition opportunities
  • Advance exploration programmes in the Americas
  • Complete Twin Metals Mine Plan of Operations