Codelco Drops 1.7M-Ton Copper Target, Eyes Recovery Plan

SEATTLE (Scrap Monster): Chile's state-owned copper producer Codelco stated that it is unlikely to achieve its long-standing target of restoring annual copper production to 1.7 million metric tons over the next few years, as the company continues to struggle with operational challenges.

Speaking in a radio interview, Codelco Chairman Bernardo Fontaine said 2026 will remain a difficult year for the company. It will be yet another year in which the miner is expected to fall short of its production forecasts, he said. Fontaine noted that the company has repeatedly missed its annual targets over the past seven years.

ALSO READ:

Chile's Codelco expects flat copper output in coming years, chairman says

Codelco sees war disruptions adding 5% to cost of making copper

Earlier this year, Codelco projected copper production between 1.331 million and 1.357 million metric tons for 2026, significantly lower than the previously announced 1.7 million-ton objective.

Several factors, including aging mines, declining ore grades, and rising development costs, have curtailed the company's production. According to Fontaine, the company is preparing a recovery strategy, which is expected to be unveiled around October or November this year. It will focus more on improving profitability instead of simply increasing production volumes.

The company also intends to expand partnerships with private mining firms to help develop its asset portfolio.