Copper mining companies invest in “reliable” energy

Four of the largest mining companies operating in Chile have joined forces in pursuit of reliable and affordable gas supplies.

Private mining corporations BHP Billiton, Phelps Dodge, Collahuasi and Chile’s state owned copper company, Codelco, have entered a 350 million US dollars joint venture, constructing a gas plant in Chile’s Region II.

In September Chile’s major mining companies formed a task force to help fight rising energy costs.

High international fuel prices, cutbacks on gas deliveries from Argentina, and increasing energy demand have spurred the industry to change its energy strategy. The construction of a joint gas plant is said to be a result of this task force.

Expectations in Chile’s mining industry are high - a one percent drop in energy consumption is equivalent to 10 million US dollars in savings for the economy.