Reuters reported that Codelco is hopeful about reaching a new labor deal with its union at the massive Chuquicamata mine.
Mr Thomas Keller CEO of Codelco said that "We're optimistic. It's a complex negotiation but we're hoping that with good will on both sides we can reach a deal."
Mr Keller said that "It would be very good news to reach a deal before year end. Most unionized workers at the state miner's century old Chuquicamata deposit voted to start early contract negotiations in November, suggesting the sides could be poised to sign a new deal. The labor contract at Codelco's Chuquicamata which produced around 443,000 tonnes in 2011 is set to expire on February 28th 2013.
A union leader had expected there would be the beginning of an agreement within the first 15 days of December. The labor contract at Escondida, the world's biggest copper mine, also expires next year. Many in the copper market were bracing for fierce labor actions next year but some now see a lowered strike risk as unions at both mines have agreed to hold early labor talks.
An uptick in labor action in Chile hit copper output in 2011, so collective labor talks are closely watched by the mining industry. During the last contract negotiation in 2009 to 2010, Chuquicamata's union staged 2 day strike.
