LONDON (ShareCast) - (Sharecast News) - Chilean copper miner Antofagasta said on Wednesday that full-year production was set to be at the bottom end of guidance following a leak in the concentrate pipeline at the Los Pelambres mine, and subsequent shutdown.
Since its announcement of the leak on 7 June, restrictions to access have now been partially eased and repairs have begun. However some access restrictions remain that will prolong the time required to complete the scheduled work.

"Engagement with the authorities and communities continues, with the aim of removing these remaining road access restrictions," the company said. "Given the outstanding repair work and the testing required for a safe restart, which includes working with the relevant local regulator, it is expected that the operation of the pipeline will be resumed by the end of June."

During the shutdown the processing plant has been operating at lower rates of throughput, with concentrates being stockpiled at the plant. These will be transferred to the port between July and October using the spare capacity of the pipeline.

The miner had a guidance range of between 660,000 and 690,000 tonnes for the year.

It said a further update on the impact of the leak will be provided in the second-quarter production report next month.

Antofagasta added that total expenditure to repair the pipeline and bring it back to normal operations is not expected to be material.

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