Codelco aims for upper end of copper output range, plans return to bond market, CEO says

By Fabian Cambero

SANTIAGO (Reuters) - The CEO of Chile's Codelco, Ruben Alvarado, said on Tuesday that the state-run copper producer aims to bring output to the upper end of its estimated range this year, expecting to reach 1.39 million metric tons.

Alvarado said the world's largest copper producer plans to return to the bond market but is evaluating the timing.

"We know we still have to go to market. We'll certainly be there, but we still have to decide when," he told Reuters on the sidelines at the CRU/CESCO World Copper Conference.

"Our bond prices are very attractive. We take great care with our investment grade, so we believe we still have the room to move forward with financing our projects."

In 2024, Codelco managed to boost production after hitting 25-year lows in 2023 due to delays in key projects and operational issues, which it has been resolving.

Alvarado said he expects to increase performance after having a better first quarter than last year.

"This year, we're preparing to go for significantly more," he said, adding the expectation is 1.39 million tons.

"We're focused on doing things right, ensuring operational continuity and being particularly careful with safety issues," he added.

Alvarado also noted that the company is still evaluating whether to send new spot copper shipments to the U.S., as it did in the first quarter when customers were trying to get ahead of expected U.S. tariffs on imports.

"What has motivated us to increase shipments to the United States has to do primarily with meeting the needs of our long-term customers," he said.

(Reporting by Fabian Andres Cambero; Editing by Alexander Villegas and David Gregorio)