Can you summarize the activities of Cochilco in the past year?

Our primary update over the past 12 months has been the upgrade of predicted investments from companies in their Chilean operations to US$83.1 billion between 2024 and 2033. Of the 51 projects in the pipeline, there are 17 in execution. The base and probable projects are those that have their environmental resolutions approved, which is 58% of the total investment figure. This investment represents the highest in Chile in the last 10 years.

Another highlight of the year was our copper production report. In 2023, national production reached 5.25 million t/y of copper and is expected to increase to 5.54 million t/y by 2034, peaking at 6.07 million t/y in 2027. As a country, we have moved past the downward trend in production figures and are beginning to witness a rise once again. Chile will also increase its share in global production to approximately 27.3% by 2033. Is Chile’s mining industry prepared for this level of investment?

I think that Chile is prepared for such investments currently, and this will only continue to improve over time. The government is currently working on streamlining the permitting process, both in terms of environmental impact assessments and framework permits.

Chile also possesses a mature mining infrastructure to absorb this kind of investment, and also a culture where shared infrastructure is not uncommon. This can be seen with the several collaborations Codelco has, including a joint project with Anglo-American, their involvement in El Abra, and the lithium industry with SQM. What factors have led Cochilco to project a stable copper price in 2025 and 2026?

Certain global events have led to this projection, including geopolitical tensions, uncertainty regarding the recovery of the Chinese economy, and greater protectionist policies across the world. Copper is currently being investigated by the Department of Commerce in the US, which is causing volatility in markets that are concerned about whether tariffs will be imposed or not.

Aside from this, other factors have led us to have faith that copper will not drop below US$4/lb. Demand has continued to grow, and investments are beginning to materialize, leading to our confidence in the copper price moving forward. If anything, geopolitical tensions position Chile well to increase its leadership in copper production. In what ways does Chile have a competitive advantage over other leading copper producers?

Our geological richness sets us apart from the rest. Also, our political stability and the high standards to which we hold operators from an environmental and social point of view mean that copper from Chile is some of the most sustainably produced anywhere in the world. Additionally, Chile has a system in place that ensures traceability of the copper produced here. Every producer must report to Cochilco their export contracts so that we can ensure the prices are in accordance with the market. This is something that separates Chile from the rest of the world. How important are women to the mining industry, and how can we increase female participation?

By incorporating more women into leadership in the mining industry, we are providing different visions, a broader view, and a way of solving things that is different from the past, which enriches discussions around decision making. Diverse teams, not only in terms of gender, are helping mining move forward in a positive direction. Nowadays, women are not only involved in the administration and office work associated with mining, but are also in the field, being just as effective as men. How can Chile encourage more greenfield investment?

It has been a few years since the government established the requirements to report all exploration findings to the National Geological Survey, which is attracting more juniors without the resources to obtain such information on their own. Increased collaboration in the mining industry and reduced permitting times will also help. Technology and innovation, coupled with the high copper price, are making greenfield exploration more attractive. How does Cochilco incorporate environmental concerns into its evaluation of projects?

At the end of 2024, we produced our first ESG report regarding copper production. We will continue in this vein, as Cochilco often advises on government policy related to environmental issues.