Codelco's inflated copper output scandal hits 42,100 tonnes
2026-11-06 11:13:15 [Print]
Chile's state-owned copper giant Codelco has identified 42,100 tonnes of artificially inflated production in its reporting, exposing weaknesses in internal controls as the miner struggles with declining output, rising costs and mounting debt.
Board chairman Bernardo Fontaine disclosed the figure Thursday at an extraordinary shareholders' meeting, adding that a separate irregularity had affected 17,000 tonnes of copper inventory valued at between $120 million and $140 million.
The revelations deepen concerns about Codelco's turnaround after production fell to two-decade lows in 2022 and 2023. As one of the world's largest copper producers, the company plays a critical role in global supply as demand grows from electrification, power grids, electric vehicles and AI data centres.
Codelco has ordered audits and dismissed nine employees across three mines and its corporate offices as it investigates whether production figures were overstated.
Board chairman Bernardo Fontaine disclosed the figure Thursday at an extraordinary shareholders' meeting, adding that a separate irregularity had affected 17,000 tonnes of copper inventory valued at between $120 million and $140 million.
The revelations deepen concerns about Codelco's turnaround after production fell to two-decade lows in 2022 and 2023. As one of the world's largest copper producers, the company plays a critical role in global supply as demand grows from electrification, power grids, electric vehicles and AI data centres.
Codelco has ordered audits and dismissed nine employees across three mines and its corporate offices as it investigates whether production figures were overstated.
Copper Rod Ф8mm EXW China PC
Unit:RMB/mt
China refined copper producers' operating rate statistics by province by month
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