Chile Collahuasi Says Patache Port To Be Operational In 3 Months

Chilean copper mine Dona Ines de Collahuasi's Patache port could be repaired and operational in three months, the company said Tuesday.

After a fatal accident at the port forced its closure, Collahuasi declared force majeure on its copper concentrate sales contracts.

"According to the information available at this time, it will take three months to repair the shiploader" damaged during the accident at Patache, the company's spokeswoman Bernardita Fernandez said.

Despite the contract suspension which hasn't been lifted yet, Collahuasi has been shipping copper out from alternative ports such as Arica.

Head of operations for the port of Arica, in a statement, said it would be shipping some 20,000 tons of Collahuasi's copper contained in concentrates a month.

In addition, Collahuasi is also shipping out copper through the port of Antofagasta and through the Altonorte smelter.

The smelter is owned by one of Collahuasi's controllers, diversified global miner Xstrata plc (XTA.LN). Xstrata holds a 44% stake in the mine.

Anglo American PLC (AAL.LN) holds another 44% stake and a consortium led by Mitsui & Co. (MITSY, 8031.TO) holds the remaining 12%.

With an annual output of around 550,000 metric tons of copper, it is one of the world's largest copper mines. It is located 185 kilometers southeast of the port of Iquique, high in the Andes Mountains at 4,400 meters above sea level.

-By Carolina Pica, Dow Jones Newswires; 56-2-715-8919; [e-mail]