Xstrats To Spend $7 Billion To Boost Copper Production

Output To Rise By 60 Per Cent Over Four Years

The Chief Executive of Xstrata Copper has announced that his company is to spend $7 billion over the next four years to increase its copper production by 60 per cent.

Speaking at a copper conference in Santiago, Charlie Sartain said that the company intends to boost output to 1.5 million tonnes from 920,000 tonnes last year.

This year’s output should be marginally ahead of that in 2009, however the company is looking to spend $1.5 billion investment at its Tintaya mine in Peru, which will raise output by about 60 percent, and a $1.3 billion expansion at the Antamina mine, also in Peru, will boost production capacity by 38 percent, Mr Sartain said. The company also expects to develop its Las Bambas mine in Peru, for which it was awarded an exploration licence in 2004.

Xstrata’s Lomas Bayas mine in northern Chile will receive a $293 million expansion to reach full production by 2013.

Xstrata is the world’s fourth largest copper producer behind Codelco of Chile, Freeport-McMoRan of the US and Australia’s BHP Billiton.

See also: Xstrata submits study for $5.2 Billion Philippies Gold-Copper Project