Antofagasta, Marubeni announce $4.4bn expansion of Centinela copper mine in Chile
Antofagasta and Marubeni have taken a decisive step in the global copper market by moving forward with a significant $4.4 billion expansion of the Centinela copper mine in the Antofagasta Region, Chile. This strategic investment aims to establish a new 95 kilotonnes per day (ktpd) concentrator plant, set to dramatically increase copper concentrate production.
Doubling Production Capacities
The expansion project is centered around the construction of the new concentrator plant located approximately 7km south of the existing facility. The plant’s primary objective is to double the production capacity for copper concentrate. Presently, the existing concentrator processes ore from the Esperanza and Esperanza Sur deposits, while the new facility will focus on ore from the Esperanza Sur and Encuentro deposits.
Antofagasta and Marubeni to Propel Centinela Copper Mine into Global Leadership with $4.4bn Expansion
A Significant Increase in Output
Upon completion, the Centinela copper mine is expected to see an annual increase of approximately 140,000 tonnes in copper production, positioning it among the top 15 global copper mines in terms of output. The expansion will also bolster gold production by 130,000 ounces per annum and molybdenum production by 3,500 tonnes per annum.
Extending the Mine Life
The expansion is set to extend the mine life to 36 years, supported by Centinela’s substantial ore reserve of two billion tonnes. This development is expected to increase Marubeni’s equity copper volume by about 40 thousand tons annually and position Centinela as one of Chile’s leading gold producers.
Advancing to Construction Phase
The Centinela mine’s second concentrator project has received all necessary permits from Chilean authorities, paving the way for the construction phase. The project is scheduled for a three-year construction period, with crucial activities commencing shortly.
Projected First Production in 2027
Anticipated to commence production in 2027, the expansion project represents a significant milestone for Antofagasta, which holds a 70% stake in the Centinela copper mine, and its Japanese partner Marubeni, holding the remaining 30%.
CEO’s Vision for the Future
Antofagasta CEO Iván Arriagada commented on the project, emphasizing the expected attractive returns and leveraging over 20 years of operational experience at Centinela. He highlighted the use of existing infrastructure and the strengthening of community relationships as key factors in this ambitious expansion.
Conclusion: A Milestone in Global Copper Production
The expansion of the Centinela copper mine by Antofagasta and Marubeni marks a significant development in the global copper industry. This ambitious project not only enhances Chile’s position in the mining sector but also sets a new standard in sustainable and efficient mining practices, promising a bright future for the global copper market.