The creation of a joint operating company will make it possible to integrate both operations and is expected to add an additional 120,000 tonnes of fine copper per year, with total production close to 470,000 tonnes, an estimated incremental value of more than US$5,000 million, and unit costs 15% lower over 21 years of operation.
Codelco and Anglo American signed the definitive agreement to develop a joint mining plan for their adjacent operations at Andina (Valparaíso Region) and Los Bronces (Metropolitan Region). This initiative includes the establishment of a new operating company (Opco, Operational Committee), jointly owned and under shared 50%-50% control, which will coordinate execution of the plan and optimize processing capacity between both operations.
Production, timelines, and project value
According to official projections, the integration will make it possible to add an additional 120,000 tonnes per year of fine copper, reaching an approximate total production of 470,000 tonnes per year. The Andina–Los Bronces district is positioned as the fourth largest in the world, surpassed only by Escondida, Grasberg, and Collahuasi, and as the third largest in Chile.
The plan includes 21 years of joint operation starting in 2030, with an incremental value of US$5,000 million before taxes. In addition, unit costs are estimated to be approximately 15% lower than if each operation worked independently, with minimal additional capital expenditure.
In terms of tax revenue, the State of Chile will capture close to 75% of the benefits through taxes, dividends, royalties, and the Reserved Copper Law, representing approximately US$3,750 million.
Codelco Chairman Máximo Pacheco stated that “this alliance maximizes the district’s potential without requiring major additional investments and with a significantly higher return,” while Duncan Wanblad, CEO of Anglo American, emphasized that “together we are unlocking the full value potential of these neighboring assets and of one of the world’s leading copper resource endowments.”
Phases and operational organization
The project includes four main phases: pre-closure, preparation, production, and transition, with a total duration of 26 years, considering 5 years for environmental permits and technical preparation, followed by 21 years of production starting in 2030. The final transition phase comprises the last 7 years of production, during which each company must complete its own Environmental Impact Assessments (EIA) and obtain the corresponding authorizations.
Likewise, the Andina and Los Bronces operations will remain independent in terms of ownership of essential assets, including mining concessions, processing plants, waste dumps, and tailings dams. Copper marketing will remain independent for Codelco and Anglo American Sur, respecting each partner’s current ownership percentages.
The new operating company will aim to coordinate joint production and management, ensuring operational synergies without affecting the labor rights of workers at both operations. At the end of the plan, each company may continue developing its concessions and pursue projects independently, while also retaining the option to terminate the agreement early, with monetary compensation to the counterparty if so decided.
Strategic position of the district
Andina and Los Bronces are located in contiguous deposits: Los Bronces is located 65 km southwest of Santiago, while Andina is in the northeastern sector of the district, in the Valparaíso Region. In this way, the integration is expected to raise Chile’s copper production by 2.2% compared to 2024, consolidating the district as one of the most relevant globally and strengthening the country’s competitiveness in a mineral that is strategic for the energy transition.
The Corporation of Tunnels and Underground Spaces of Chile (CTES-Chile) welcomed the initiative, noting that “the creation of a joint operating structure in a district of this magnitude reflects the importance of integrating planning, efficiency, and a long-term vision, strengthening the competitiveness of Chilean mining.”
