Miner Antofagasta Sees 2009 Copper Averaging $2.20

SANTIAGO, Sept. 7 -- Copper prices could average $2.20 a pound this year on strong demand from China and likely recoveries in the United States and Europe, the CEO of Chilean minier Antofagasta was quoted as saying by a local newspaper on Saturday.

    Marcelo Awad, the chief executive officer at Antofagasta (ANTO.L), told Santiago-based El Mercurio that prices should remain at between $2.60 and $2.90/lb for the rest of the year.

    "It could reach $2.20 on average" in 2009, Awad said. "We have seen that the United States and Europe have consumed their (copper) inventories; therefore, demand from their side should start to pick up pretty soon."

    So far this year the price of the red metal has averaged around $2.00/lb.

    He said that the finances of mining companies are improving as the crisis eases, but many projects remain on ice because of lingering difficulties securing financing from banks.

    (Source: Reuters)