Canada-based Lundin Mining is in the process of planning for a temporary suspension of operations at its Candelaria mine in Chili. The action comes in the wake of failed talks with the labour union which began a strike on Oct 8.
The company also states its previous announcement regarding 2020 production, cash cost, and capital cost guidance for Candelaria could be withdrawn.
Candelaria’s collective agreement with the Union expired on Oct 5, 2020 after a special extension from the earlier expiration date of Sept 30.
Lundin Mining is a Canadian base metals mining company with operations in Brazil, Chile, Portugal, Sweden, and the United States of America. The company produces copper, zinc, gold, and nickel.
Candeleria has an estimated 1,179mn mt of ore, grading 0.65pc of copper. As per the new study, the estimate was increased by 18pc last year. The company owns 80pc of mine and the remaining 20pc are owned by Sumitomo.