"It [doesn't make sense] that two companies so close together should double-up"

PolarX builds bigger, richer Zackly picture

polar x limited

The wire service quoted Collahuasi CEO Jorge Gómez telling reporters at an event in Santiago that it was seeking synergies with operations in the Tarapaca area, including sharing pipe and power lines and potentially desalinated water as water shortages were becoming an issue.

"It does not make much sense that two companies so close together should double-up on these things," he said.

PolarX builds bigger, richer Zackly picture

polar x limited

The company, 44% owned by both Anglo American and Glencore and 12% by a Japanese consortium, recently sought permitting for a US$3.2 billion expansion.  

The investment is expected to increase production to 710,000 tonnes per annum of copper and increase operational life by 20 years.

Teck meanwhile last month approved full construction of the $4.7 billion Quebrada Blanca phase two copper project after finding a 30% partner in Sumitomo.

Quebrada Blanca's cathode production had been expected to continue mid-2019.

Phase two is expected to have an initial mine life of 28 years and Teck has also launched a scoping study to assess a phase three development that could double production.

"We have many things in common that we have been talking about over time and which is helping both them and us in terms of construction and future developments," Reuters reported Gómez saying.