🇨🇱 Codelco and Anglo American have finalized a definitive agreement to implement the Joint Mining Plan for their copper operations at Andina and Los Bronces, marking a strategic alliance that will significantly boost production and efficiency in this key Chilean mining district. Announced on September 16, 2025, and unanimously approved by both companies’ boards, this partnership builds on a Memorandum of Understanding signed earlier in February 2025.
The Joint Mining Plan is expected to release an additional 2.7 million tonnes of copper production over 21 years, starting once environmental permits are secured around 2030. This equates to an annual increase of approximately 120,000 tonnes of copper. Furthermore, the plan will reduce unit production costs by about 15% compared to independent operations, with minimal additional capital expenditure.
Economically, the agreement is projected to generate at least 5 billion USD in net present value before taxes, to be shared equally between Codelco and Anglo American. In 2024, their combined production ranked among the top 10 copper mines globally; with this plan, they anticipate rising into the top five worldwide.
Operationally, a new jointly owned and controlled operating company will be established to coordinate and execute the plan, optimizing processing capacity between the two mines. While production, costs, and benefits will be shared equally, each company will retain full ownership of its respective assets and continue separate exploitation.
Leaders from both companies emphasized the historic nature and strategic importance of this alliance. Anglo American’s CEO, Duncan Wanblad, highlighted the unlocking of one of the world’s largest copper resources for the benefit of stakeholders and Chile. Codelco’s board president, Máximo Pacheco, noted the rapid agreement, incorporation of workers’ voices, sustainability priorities, and the critical role of copper in the global energy transition amid stagnant production.
The agreement also integrates sustainable mining principles, maintaining social programs and strict environmental commitments, while allowing flexibility for coordinated independent projects, including new underground resources.
Next steps involve integrating workflows, designing environmental permits, and selecting key executives for the new operating company.
This Joint Mining Plan represents a significant development in the Chilean mining sector, offering considerable business opportunities through enhanced production scale, cost efficiencies, and sustainable practices. It positions Codelco and Anglo American to meet growing global copper demand, attract investment, and strengthen Chile’s leadership in the copper industry.
Source(s): https://energiminas.com/2025/09/16/codelco-y-anglo-american-firman-acuerdo-definitivo-para-implementar-plan-minero-conjunto-en-el-distrito-andina-los-bronces/, https://www.codelco.com/prensa/2025/codelco-y-anglo-american-firman-acuerdo-definitivo-para-implementar-plan, https://mundomineria.cl/2025/09/16/codelco-y-anglo-american-firman-acuerdo-definitivo/
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