UPDATE 1-Amerigo Resources Q2 Copper Production Up 20 pct

July 19 (Reuters) - Canada's Amerigo Resources Ltd (ARG.TO) reported a 20 percent increase in quarterly copper production.

The company said copper production for the quarter was 11.5 million pounds, while molybednum production was up 56 percent to 155,755 pounds.

Amerigo's Minera Valle Central project in Chile produces copper and molybdenum concentrates from tailings from the world's largest underground copper mine, Codelco's [CODEL.UL] El Teniente mine.

Amerigo said it continues to make progress in processing old tailings, which now represent about 50 percent of total copper production, and remains on target to reach the maximum contractual rate by the end of this year.

Shares of the company were down slightly at 72 Canadian cents Monday morning on the Toronto Stock Exchange.