Chile Collahuasi Strike In Day 13 With Output Still Normal

Production at Chilean copper mine Dona Ines de Collahuasi remains normal even as a labor strike there enters its 13th day, a company spokeswoman said Wednesday.

Workers walked off the job on Nov. 5 after contract renewal talks and a government mediation period fell through.

"Thanks to our continuity plan, the mine is producing normally," said Bernardita Fernandez, Collahuasi's spokeswoman.

Earlier this week, the company sent an 11,000-metric-ton copper shipment bound for Europe out of its Patache port.

The company is expected later in the session to present the 1,551 strikers an offer for them to end the strike.

Following the schedule dictated by local labor laws, workers could break away from the industrial action and negotiate individually with the company at the end of the week.

Union leaders didn't return calls for comment.

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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