Freeport-McMoRan Considers El Abra Mill Project With Chile Codelco

SANTIAGO, Jul 22, 2010 (Dow Jones Commodities News via Comtex) -- Freeport-McMoRan Copper & Gold Inc. (FCX) is considering working with Chilean state-owned copper company Corporacion Nacional del Cobre, or Codelco, to build a new mill at their El Abra copper mine in northern Chile, Freeport chief executive Richard Adkerson said.

Freeport, which is the second largest global copper producer after Codelco, owns a 51% interest in El Abra, with the remainder in Codelco's hands.

"One avenue we're pursuing is the possibility of a joint undertaking with Codelco....That's a very significant opportunity for us," Adkerson said during the company's earning conference call.

Freeport is also looking to invest $725 million to develop other mineral deposits at El Abra, which would extend the mine's life by more than 10 years.

Codelco representatives were unavailable for comment.