As Codelco, the copper giant, grapples with increased costs and decreased production, it has turned to seasoned mining professional Braim Chiple to lead the charge as its new Chief Operating Officer (COO). Previously advising and senior consulting for copper trading in South America at Mitsubishi RtM, Chiple comes into the fold at a time when Codelco is facing an uphill battle.

Codelco’s production saw a significant plunge to the lowest level in 25 years in 2022, marking a worrying trend of decline after years of underinvestment in its aging deposits. It now faces the risk of losing its coveted position as the world’s No. 1 copper producer to competitors.

With output dwindling, the company reported a fall to 358,000 tonnes in the last quarter of 2023 from about 384,000 tonnes in the same period of 2022, based on disclosed full-year output. Despite this, the fourth-quarter output shows a slight uptick from the preceding quarter.

Amidst this tumultuous period, newly appointed Chief Executive Officer Ruben Alvarado has pledged to spearhead a gradual recovery effort. Alvarado expressed his optimism in an interview with a local newspaper in November, forecasting total copper production for 2023 to nearly touch 1.31 million tonnes, albeit at the lower end of the estimated range.

The mining behemoth is slated to unveil its official 2023 results in March, shedding light on how successfully it navigated through the challenging period.

Adding to the volatility, Chile, the top copper-producing country globally and the second for lithium, saw pivotal policy changes in the previous year. President Gabriel Boric escalated royalties for mining companies and outlined intentions to exert more state control over the lithium sector.