Freeport McMoRan To Reduce U.S. Mining Workforce By 10% As Part Of Spending Cuts
"Freeport said it plans a suspension of mining operations at its Miami mine in Arizona, which produced 57 million pounds of copper in 2014; a 50% reduction in mining rates at the Tyrone mine in New Mexico, which produced 94 million pounds in 2014; and adjustments to mining rates at other U.S. mines. The changes are expected to result in an approximately 10% reduction in employees and contractors at U.S. mining operations, Freeport said.
Meanwhile, mining and stacking rates will be reduced by cut roughly in half at the El Abra mine in Chile."
The above points to two things; Mines continue to close or cut back (which can lead to closure if the copper price doesn't pick up) and it is, as expected, hitting the miners in the US hardest as the US$ rises. They're reducing production by 50% to arrive at an expense reduction of 10%. Another 50% reduction and they;ll have zero production but will have reduced costs by only 20%. Points to a looming problem.
Copper price struggling up further this morning, US$2.32
