Home / Metal News / Copper / Chile passes bill aimed at reducing Codelco funding for the national army
Chile passes bill aimed at reducing Codelco funding for the national army
Jul 19,2019 14:16CST
translation
Source:SMM
A new bill has been passed in Chile after Chilean law required (Codelco), the Chilean national copper company, to spend 10 per cent of its export earnings each year on the building of the country's armed forces. Codelco has invested about $13.7 billion in the Chilean army.
The content below was translated by Tencent automatically for reference.

SMM7, 19 March: a new bill has been passed in Chile after Chilean law stipulated that Chilean national copper company (Codelco) needs to spend 10 per cent of its export earnings each year on the building of the national army.

Codelco has invested about $13.7 billion in the Chilean army.

The law has limited Codelco's investment for decades, especially as Codelco is turning the old mines of its Chuquicamata project into modern, semi-automatic mines that cost as much as $5.5 billion.

In April this year, Codelco Chairman Juan Benavides also said that in order to maintain production at the current level, the company needs a lot of money to expand the mine this year and next to improve ore taste, so it needs sufficient financial support from the government, otherwise the company's expansion plan may be affected.

So, including the overhaul of Chuquicamata, Codelco is currently spending $39 billion on a 10-year renovation of the company's mines.

In addition to the need for funds and higher costs for the company, the gradual tightening of environmental requirements is also a reason for the shortage of funds for Codelco.

 

Click to sign up for this summit

Scan QR code and apply to join SMM metal exchange group, please indicate company + name + main business

 

Copper
capacity
price forecast
output

For queries, please contact Frank LIU at liuxiaolei@smm.cn

For more information on how to access our research reports, please email service.en@smm.cn

Related news