Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
Nine mining firms, both local and international, have joined forces to create a cluster that promotes the development of local businesses, which in turn should bolster the mining industry in the northern Chilean region of Antofagasta.
The firms are: Codelco, Xstrata Copper, Barrick Zaldívar, Minera Meridian, Minera Esperanza, Minera El Tesoro, Escondida, Spence and Anglo American Chile. The initiative is coordinated by Chile’s Corporation to Promote Production (CORFO) and the Association of Industries in Antofagasta (AIA).
The Chilean newspaper El Mercurio Online reports that under a cluster agreement, the nine companies also want to promote Chile’s north as a world-class mining centre. Among other initiatives, they have committed to launch activities that foster the growth businesses that support the mining industry.
“We want to significantly increase the number of these firms, which have both knowledge and competencies required by the mining industry,” Marko Razmilic, AIA’s president was quoted as saying.
“To this end, these companies must register with, participate in and subscribe to the requirements in training and development we are establishing.”
He added that public funding will also be required to ensure that Chile’s mining north can attract, develop and retain the human capital that this world-class sector requires.
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With the contribution of Suzanne Soto, owner of Si! Corporate Communications, a Greater Toronto Area company providing public relations services in both English and Spanish.
