SANTIAGO – Chile’s state-owned Codelco, the world’s largest copper-producing company, yesterday reported profits of US$1.6 billion (RM6.55 billion) for the first quarter of 2021 – its best performance in a decade due to higher production and better prices.
The company last year reported profits of more than US$2 billion, 55% higher than in 2019 despite the coronavirus pandemic.
As a state-owned company, Codelco hands over all its revenue to the Treasury.
The firm, which produces 8% of the world’s copper, said the improved numbers are the result of higher production and sales, and better prices for the metal, among other factors.
On Thursday, the price of copper exceeded US$10,000 for the first time since February 2011, thanks to strong demand in China and a weak United States dollar.
Between January and March, production reached 386,000 tonnes of fine copper, 25,000 tonnes more than in the same period last year.
The cost of production, which continued despite Covid-19, dropped 0.2%.
The outbreak did, however, impact structural expansion projects, which have been “slower due to health measures” to prevent infections. – AFP, May 1, 2021
