The world's largest copper mine Escondida, operated by BHP is on...

The world's largest copper mine Escondida, operated by BHP is on strike.

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Strike hits BHP’s biggest copper mine
James Attwood   AFR
Aug 14, 2024 – 2.55am


Workers at BHP’s Escondida mine in Chile began a strike on Tuesday after failing to reach a wage agreement with management, setting the stage for a major disruption at the world’s biggest copper operation.
The union’s 2400 members downed tools after rejecting BHP’s latest proposal at the end of a five-day mediation process as part of collective bargaining, the two sides said in separate statements.

The Escondida mine in Chile the largest copper mines in the world. BHP
The action will halt an operation that accounts for about 5 per cent of all the world’s mined copper, disrupting shipments for Melbourne-based BHP, while potentially easing pressure on copper futures that have slumped in recent months along with dimming prospects for the global economy.
Escondida churns out more than 1 million metric tons a year, making it by far the biggest supplier of copper. Some analysts see BHP overtaking Codelco this year as the top global copper producer.
Benchmark copper traded in London surged to record levels in May as bullish investors placed bets on shortages. That emboldened unions seeking a share of the windfall for their members. But prices have since pulled back by roughly 18 per cent, undermining some of that leverage as companies look to avoid big increases in fixed costs in a cyclical and capital-intensive business.

Still, negotiations come at a time of tightness of copper concentrate – the raw material produced at Escondida and used to feed smelters – even though the market for refined metal is well supplied for now.
The market should be able to absorb a short strike, with demand looking “