SANTIAGO, Jan 2 – Chile’s state copper giant Codelco said on Monday it exercised a disputed option to buy a stake in Anglo American’s south Chile mining assets, but is willing to consider taking a smaller stake if Anglo proposes a formula that safeguards its full value.
Anglo last year announced it had sold a 24.5 percent stake in the assets to Japan’s Mitsubishi (8058.T), which Anglo said halved Codelco’s potential 49 percent stake. The move surprised world No. 1 copper producer Codelco, along with investors.
Codelco, which viewed Anglo’s preemptive move as a snub, said on Monday it exercised its option to buy a 49 percent stake in the south Chilean properties of Anglo American for an estimated price of around $6 billion. At current copper prices, experts say the stake is worth far more.
Anglo responded to Codelco’s move by saying it was not obliged to sell any shares in the south Chile properties to Codelco. This sets the stage for a potentially lengthy legal battle.
Anglo’s properties in southern Chile include
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