https://www.engineeringnews.co.za

Codelco chairman calls claims of insolvency risk 'nonsense'

15th September 2023

By: Reuters

  

Font size: - +

The chairman of Chilean state-owned Codelco, the world's largest copper producer, told lawmakers on Wednesday that the company was "financially solid," rejecting an industry body report that had said it was at risk of insolvency.

"Do any of you believe that Codelco is truly at risk of insolvency? I mean, that seems like nonsense to me," chairman Maximo Pacheco said.

Pacheco was responding to a report last month from copper studies center CESCO that said if production promises are not met, high levels of debt could lead to insolvency.

"It is not appropriate for us to say that Codelco is a company that has financial problems or balance sheet problems," Pacheco said. "In a year when production fell and we are behind schedule with projects, Codelco's EBITDA will exceed $5 billion."

Beset by operational problems and delays in its key upgrade projects, Codelco reported its lowest levels of production in a quarter century in 2022. In July, the company lowered its production estimate for this year to 1.31-1.35 million metric tons of copper, down from 1.35-1.45 million previously forecast.

Meanwhile, its debt has risen to around $20 billion.

Edited by Reuters

Article Enquiry

Email Article

Save Article

Feedback

To advertise email advertising@creamermedia.co.za or click here

Showroom

Monitor Distributors
Monitor Distributors

We at Hawk High Pressure Pumps specialise in industrial pumps and pumping systems. Our high pressure washing equipment is locally manufactured and...

VISIT SHOWROOM 
The Steel Tube Export Association of South Africa
Steel Tube Export Association of South Africa

The Steel Tube Export Association of South Africa was established to develop sustainable, internationally competitive carbon steel tube and pipe...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







301

sq:0.063 0.108s - 140pq - 2rq
Subscribe Now