Third union joins strike at Codelco's Andina copper mine in Chile

A third group of workers at Codelco's Andina copper mine in central Chile walked out Aug. 17, lifting the number of workers on strike at the division to over a thousand, the state-owned mining company said.

Members of the Suplant union, which represents plant operators, began the indefinite legal protest at 8 am local time after voting to reject an offer made by management after mediated talks.

They joined members of the SIIL and SUL unions, which have been on strike since Aug. 12 after pay talks failed.

Located 80 kilometers (50 miles) northeast of the capital, Santiago, Andina produced 184,437 mt of copper in concentrates last year.

A union official told Platts last week that the strike has halted production at the open pit and underground operation. A spokeswoman for Codelco would not comment on the situation.

In a statement, Codelco said it regretted the workers' decision to go on strike, noting that the offer represented the best offer the company could make given the huge investments the company is undertaking to overhaul aging infrastructure.

Later this year Codelco plans to commission the $1.4 billion Andina transfer project, which will relocate the primary crusher plant in order to expand the open pit operation at the division.

However, high copper prices this year have led to union demands for a greater participation in bumper profits at mining companies. Last month, Codelco posted earnings of $3.8 billion for the first half of the year, a tenfold increase from a year earlier. A group of workers at the Japanese-owned Caserones also struck last week, demanding improved pay.

But as a 100% state-owned company, Codelco said its priority should be to increase returns to the state to pay for public services.

"The national context, especially in times of pandemic, make it indispensable for Codelco to fulfill the commitments and contributions that all Chilean men and women expect of it," the company said.