Codelco's Copper Prices Offset Production Declines in First-Half Earnings
Chilean state miner Codelco reported a significant increase in its first-half earnings due to higher copper prices, despite weaker production and increased costs. The company's pre-tax profit rose more than fourfold to $1.97 billion for the first half of 2026, compared to $429 million in the same period last year.
The decrease in output was mainly attributed to operational restrictions at El Teniente mine, lower output at Chuquicamata mine, and weaker ore grades at Ministro Hales. Codelco's direct cash cost increased by 7% to 231.6 cents per pound, but the company's realized copper price jumped to 653.2 cents per pound from 461.7 cents a year earlier.
New Chief Executive Jorge Gomez emphasized that restoring productivity is his top priority after setbacks at key mines. Codelco did not provide an output forecast for 2026 in its report, but it had previously targeted 1.33 million to 1.36 million tons for the year.