+ All Categories
Home > Documents > Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next...

Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next...

Date post: 13-Jul-2020
Category:
Upload: others
View: 0 times
Download: 0 times
Share this document with a friend
14
Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 1 CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC Agenda CODELCO’S OPERATIONS Ministro Hales & Chuquicamata 01 CODELCO ACHIEVING ITS GOALS Treating and Marketing Complex Cucons 02 GLOBAL BLENDING CAPACITY Enough capacity worldwide 03 SOLUTIONS MH Roaster Ecometales 04 CONCENTRATES MARKET OUTLOOK Top Players Supply & Demand 05 FUTURE CHALLENGES Leading the way for treating complex materials 06
Transcript
Page 1: Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next three years, reaching c.700kt on average (. The global capacity will continue to outpace

Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 1CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC

Agenda

CODELCO’S OPERATIONS• Ministro Hales & Chuquicamata 01

CODELCO ACHIEVING ITS GOALS• Treating and Marketing Complex Cucons02

GLOBAL BLENDING CAPACITY• Enough capacity worldwide 03

SOLUTIONS• MH Roaster

• Ecometales04

CONCENTRATES MARKET OUTLOOK• Top Players

• Supply & Demand05

FUTURE CHALLENGES• Leading the way for treating complex

materials06

Page 2: Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next three years, reaching c.700kt on average (. The global capacity will continue to outpace

Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 2CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC

MINISTRO HALES AND CHUQUICAMATA UNDERGROUND1 CODELCO’S OPERATIONS

DMH, Codelco's most recent projectdevelopment started in November 2013. It willproduce over 9 millions tones of copperconcentrates.

Chuquicamata Underground is a project over a40 year mine life. The operation will deliverapp. 41 million tones of copper concentrate.

Each ore contains a significant amount ofarsenic (above the 0,5% arsenic level).

Page 3: Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next three years, reaching c.700kt on average (. The global capacity will continue to outpace

Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 3CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC

DMH production started in 2014, however,Roaster began its operation a year later.

During Roaster ramp up we focusedmainly on:

• Blending

• Marketing of high As concentrate (tokey smelters)

Blending was a short term solution whileRoaster achieved its nominal capacity.

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

3.5%

4.0%

4.5%

5.0%

-

50

100

150

200

250

300

2014 2015 2016 2017 2018

Ars

enic

co

nten

t

ktm

co

pper

co

ncen

trat

e

DMH Copper Concentrate Sales 2014 - 2018

Sales (ktm) Arsenic content (%)

2 CODELCO ACHIEVING ITS GOALS

Source: Codelco

Page 4: Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next three years, reaching c.700kt on average (. The global capacity will continue to outpace

Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 4CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC

0%

20%

40%

60%

80%

100%

120%

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

5.0

201

0

201

1

201

2

201

3

201

4

201

5

201

6

201

7

201

8

201

9

202

0

202

1

202

2

202

3

202

4

202

5

202

6

202

7

202

8

202

9

203

0

MT

MS

Complex (LHS) Clean (LHS)

Blending Capacity (LHS) Percentage Utilization (RHS)

Production & Blending Capacity to Treat Complex Cucons

As of 2010 the global capacity to handle blending outgrows the production of complexconcentrates. Thus there is no shortage of worldwide blending facilities.

3 GLOBAL BLENDING CAPACITY

Source: Wood Mackenzie

Page 5: Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next three years, reaching c.700kt on average (. The global capacity will continue to outpace

Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 5CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC

DMH Roaster, which is the largestroasting facility in the world, has thetechnical solution to treat high arsenicconcentrates efficiently.

Copper Concentrate Capacity : Approx.610kdmt per year.

Arsenic Capacity : 38ktpy of arsenic.

Spare capacity: 23ktpy of arsenic.

0

100

200

300

400

500

600

700

Annual Treatment Roasting Capacity (kdmt)

Ministro hales

Boliden

Gaspe Copper

TMMIC

Lepanto

DMH ROASTER IS THE LARGEST IN THE WORLD

4 HOW CODELCO HANDLES HIGH ARSENIC

Source: Codelco

Page 6: Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next three years, reaching c.700kt on average (. The global capacity will continue to outpace

Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 7CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC

Treatment of complex concentrates at our own smelters: CHUQUICAMATA and POTRERILLOS.

ARSENIC treatment at our smelters generates additional revenue by capturing penalties otherwise paid to the market.

Our subsidiary Ecometales treats high As flue dust.

4 HOW CODELCO HANDLES HIGH ARSENIC WE CAN MANAGE ARSENIC IN CONCENTRATES

Page 7: Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next three years, reaching c.700kt on average (. The global capacity will continue to outpace

Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 8CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC

4 HOW CODELCO HANDLES HIGH ARSENIC ECOMETALES

SellingThe Future…

Blending Roaster Smelter +

Refinery

Waste

treatment

Autoclave

Leaching

Cu Concs As content

Local

processing

S e a l o f a p p rova l

S e a l o f a p p rova l

Page 8: Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next three years, reaching c.700kt on average (. The global capacity will continue to outpace

Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 9CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC

4 HOW CODELCO HANDLES HIGH ARSENIC ECOMETALES

A flue dust leaching plant followed by a selective

arsenic precipitation plant from existing facilities

(BioCOP).

•ECL , 100%subsidiary ofCODELCO, focused

on delivering

environmental

solutions and value

recovery for mining

residues.

•ECL has a total

workforce of

about 300 people

and is supported

by 250

environmental

permits.

• ECLhas processed more

than 400,000 tons of

residues recovering

80,000 tons of copper.

Since the start-up of the

As stabilization plant,

more than 7,500 tons of

arsenic have been

stabilized.

Page 9: Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next three years, reaching c.700kt on average (. The global capacity will continue to outpace

Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 10CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC

• We expect a significant deficit in the custom market throughout the next three years, reaching c.700kton average (. The global capacity will continue to outpace the availability of copper concentratesduring the coming years.

5 CONCENTRATES MARKET OUTLOOK TREATEMENT CAPACITY OUTGROWS SUPPLY

-1600

-1200

-800

-400

0

400

800

0

10

20

30

40

50

60

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022

Mar

ket

bala

nce

(co

pper

in c

onc

entr

ate)

kt

Co

mbi

ned

TC

RC

c/l

b (2

5% C

u in

co

ncen

trat

e)

Balance Monthly spot price (Chinese smelter buying) Annual benchmark (incl pp)Source: Wood Mackenzie

Page 10: Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next three years, reaching c.700kt on average (. The global capacity will continue to outpace

Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 11CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC

Ranked by total concentrateproduced

Chuquicamata Underground Marcapunta Collahuasi Santa Maria de la Paz

are the biggest suppliers in theCustom complex market segment

Ministro Hales production is 610ktm of complex concentrates but treatedin the Codelco roaster

* Complex concentrate = As >0,5%

0.0

500.0

1,000.0

1,500.0

2,000.0

2,500.0

ktm

co

ncen

trat

e

Complex concentrate supply by company

Chuquicamata UG Marcapunta Collahuasi (Complex)

Chuquicamata Santa Maria de la Paz Toromocho (Complex)

New Afton Mina Ministro Hales Other

5 CONCENTRATES MARKET OUTLOOK COMPLEX CONCENTRATES KEY PLAYERS

Source: Wood Mackenzie

Page 11: Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next three years, reaching c.700kt on average (. The global capacity will continue to outpace

Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 12CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC

35,6 ktons of arsenic will be the average of production in complex concentrate the coming years, in the Long term will decrease sharply

The main volume available in the market will be Chuquicamata and Collahuasi, both are in the level of 0,6 – 15% of arsenic content

0%

10%

20%

30%

40%

50%

60%

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

90.0

201

0

201

1

201

2

201

3

201

4

201

5

201

6

201

7

201

8

201

9

202

0

202

1

202

2

202

3

202

4

202

5

202

6

202

7

202

8

202

9

203

0

ktm

de

As

Tones of Arsenic in complex concentrates

Arsenic in Complex Arsenic in other concentrates

% of As in Complex Conc

5 CONCENTRATES MARKET OUTLOOK ARSENIC CONTENT DECLINING

Source: Wood Mackenzie

Page 12: Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next three years, reaching c.700kt on average (. The global capacity will continue to outpace

Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 13CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC

0.0

500.0

1,000.0

1,500.0

2,000.0

2,500.0

3,000.0

3,500.0

0.0 2.0 4.0 6.0 8.0 10.0

conc

entr

ate

pro

duct

ion

ktpa

% of Arsenic content

HuaronMount Carlont

MMH

Marcapunta

Santa Maria

Chuquicamata UG

ChuquicamataToromocho

Bubble size denotesktpa of As

High arsenic concentrates (>0.5% As) account for 55% of the complex concentrates market.

Codelco mines Chuquicamata Underground and Ministro Hales account for 7% of the custom market.

5 mines, each one producing less than 250ktpa of Cu concentrates, account for 33% of arsenic in the custom market.

5 CONCENTRATES MARKET OUTLOOK COMPLEX CONCENTRATES MARKET SHARE

Source: Wood Mackenzie

Page 13: Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next three years, reaching c.700kt on average (. The global capacity will continue to outpace

Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 14CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC

Operational and commercial improvements at our smelters to increase competitiveness.

Become a world leader in the treatment of complex concentrate.

Commercial optimization of spare capacity at DMH roaster and Ecometales

6 FUTURE CHALLENGES LEADING THE WAY TREATING COMPLEX CONCENTRATES

Page 14: Agenda - JOGMEC · • We expect a significant deficit in the custom market throughout the next three years, reaching c.700kt on average (. The global capacity will continue to outpace

Copyrights © 2018 Codelco Chile. Todos los Derechos Reservados. | Copyrights © 2018 by Codelco Chile. All Rights Reserved. 15CODELCO CHILE – Leading The Treatment of Arsenic - JOGMEC

DMH - CHUQUI• 50 million tonnes of copper concentrates (life of mine).• High arsenic content.

OUR SOLUTIONS

DMH RoasterCodelco Smelters

• Largest in the world.• Benefits of spare capacity.

ECOMETALES

100% subsidiary• Processed + 400kt of residues.• Recovering 80kt of copper.

Technical & Commercial Efficiency

OUR OPERATIONS

THE FUTURE

CONCLUSIONSAs a world class player for Arsenic treatment, Codelco has been able to manage and market complex concentrates globally.

• World leader in arsenic handling and treatment.


Recommended