Strike At Chile Collahuasi Copper Mine Enters Eleventh Day

The strike at Dona Ines de Collahuasi, one of the biggest copper mines in Chile, entered its 11th day Monday, with no new talks scheduled.

Despite the work stoppage, production at the mine remains normal as a result of a contingency plan put in place before the strike began on Nov. 5, a company spokeswoman said.

Union leaders didn't respond to calls for comment, but on their website, they report that a regional government official, Intendent Luz Ebensperger, offered to mediate in the labor conflict.

"We hope that Mrs. Ebensperger informs Collahuasi of her intention so that the company delivers its workers a new offer and also that she ask the company to end its war-like attitude," the union said in a statement.

The union is seeking wage increases and better benefits in light of higher international copper prices.

Collahuasi, one of the biggest copper mines in the world, is owned by diversified mining companies Xstrata PLC (XTA.LN) and Anglo American PLC (AAUKY, AAL.LN), each with a 44% stake. A consortium led by Mitsui & Co. (MITSY, 8031.TO) holds the remaining 12%.

The mine--located 185 kilometers southeast of the port of Iquique, high in the Andes mountains at 4,400 meters above sea level--produces about 500,000 metric tons of copper a year, or about 10% of Chile's annual output.

Chile is the world's leading copper producer, accounting for about 35% of global output.

-By Carolina Pica, Dow Jones Newswires; 56-2-715-8919; carolina.pica@dowjones.com

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