[miningmx.com] — ANGLO American and Chile’s state-owned copper
producer, Codelco, have extended the negotiating period to reach a settlement over
the disputed stake in Anglo American Sur, the parties announced on Monday.
Seeking a mediation hearing on July 17, the companies have asked for the
continued suspension of legal proceedings.
The two firms are locked in a battle over 49% of Anglo American Sur, which Codelco
claims it is owed under a historic option contract. Based on a formula contained in
the contract, it was entitled to acquire the stake for $6.75bn during January. Anglo
American, however, pre-emptively sold 24.5% of the shares to Japan’s Mitsubishi for
$5.39bn in November.
The Sur business includes the Los Bronces mine in central Chile, now one of the
world’s largest copper mines after Anglo completed a $2.7bn investment at the site
late last year.
Following months of deadlock over the parties’ respective positions on the matter,
the two companies agreed in May to explore a negotiated settlement. The
announcement was followed by the sudden departure of Codelco CEO Diego
Hernandez.
