KGHM eyeing phase II copper project in Chile

KGHM and partner Sumitomo are considering the start of their second-phase project at the Sierra Gorda mine in Chile. After the initiation of phase II, the mine may surpass its 220,000 ton planned output by as much as 10-15 percent.

“Upon further analysis of the current start up at Sierra Gorda, we will decide with our partners Sumitomo about the initiation of phase II of the project. We will inform the public about our decision in 2015,” said KGHM vice president Jarosław Romanowski.

Recently, an official inauguration with KGHM representatives and the Chilean President Michelle Bachelet opened the Sierra Gorda mine, which had already been processing copper ore for some months. KGHM president Herbert Wirth reminded that “Polish geologist, mineralogist, and social activist Ignacy Domeyko, had researched Chilean natural resources in the 19^th century.” Hence, the new mine was named after Domeyko.

Ultimately, the mine should produce 220,000 tons of copper and 60,000 ounces of gold per year. Copper is widely used in mobile telephone and automotive production. The demand for copper is strong, claimed KGHM representatives in a Polish Radio news report. KGHM is Europe’s number one copper producer and the largest producer of silver in the world.