Codelco still can’t get enough government cheese…and by cheese, we mean cheddar. By which we mean money.
Via Reuters: “Chilean state copper miner Codelco has cut this year’s spending to $4 billion because it lacks funds for crucial overhauls of its aging deposits, local press reported on Wednesday…
“Codelco had said it wants to spend about $27 billion through 2016 to boost annual output from roughly 1.7 million tonnes of copper to more than 2 million tonnes. But a financial shortfall that has hit in the midst of falling copper prices, labor action and stubbornly high costs means Codelco has its back to the wall.”
Chinese copper wire prices saw a 0.4 percent decline. Chinese copper bar closed 0.1 percent lower. The Chinese copper cash price fell 0.1 percent. Chinese bright copper scrap held its value yesterday.
The price of US copper producer grade 110 gained 0.3 percent. The price of US copper producer grade 122 finished the market day up 0.3 percent per pound. The price of US copper producer grade 102 rose 0.2 percent.
On the LME, the 3-month price of copper declined 0.2 percent to $7,316 per metric ton. The cash price of primary copper showed little movement on Wednesday on the LME at $7,300 per metric ton.