KGHM starts commercial production at Sierra Gorda

The copper plant has been operating for over sixty days at 65% of its designed capacity. It has been fully handed over to the operating personnel, with all major expenditures incurred to bring the mine to the condition necessary for commercial production. With the opening earlier this month of the new port facility, which meets top environmental standards, Concentrate is now being transported in rail wagons for unloading and storage in the port of Antofagasta and later shipped through the newly opened facility. This allows Sierra Gorda to not only shorten and facilitate the process of concentrate shipment but also contribute largely to the responsible development of Chile’s mining sector.

“We prove that our project is developing according to the schedule and in a manner that was originally designed. This is important for our global shareholders, who appreciate KGHM’s growth of value driven by the commercial success of Sierra Gorda, as well as our business partners, employees and local communities. We are going to continue this path so that the sales from Sierra Gorda, which we declared for this year, is realized,” asserted Herbert Wirth, chief executive of KGHM.

Simultaneously to the start of commercial production of copper, the molybdenum plant has produced concentrate with at least 40% of metals content. Under a strategic partnership with Molymet, Sierra Gorda began delivering molybdenum concentrates to be converted into standard molybdenum oxide, briquettes and ferromolybdenum. Shipments of Sierra Gorda products from Chile began in July.