Demand for copper remains strong and Chilean miners use technology and innovation to increase productivity, reduce costs, and remain globally competitive. Mining OppORtunItIeS And CHAllengeS Economic Access to profits continue to growth in the Chilean economy and foreign investment fuels a new wave of mineral exploration. Diversification Exploration Energy and Water Productivity Human Capital Sustainability Benefit for Communities key SuppORtIng megAtRendS The Asian Century Innovation Imperative key CHARACteRIStICS Mining remains a major industry in Chile, continuing to drive both GDP growth and exports. Strong global economic growth continues to fuel demand for copper and copper prices remain level or slowly increase. Decreases in Chinese growth rates are offset by rapid growth in India and other developing countries. Multi-factor productivity (MFP) in Chile’s mining sector rises and becomes comparable to MFP in other developed mining countries such as the United States and Australia. This is driven by research, innovation, and use of advanced technologies in automation, remote operations, advanced processing, and smart information platforms. Increased production of unconventional oil and gas resources drive down global energy prices, reducing one of the key input costs for the Chilean mining industry. A new wave of mineral exploration is driven by the development of a national pre-competitive geosciences database and the reformation of exploration rights. Research in deep exploration technologies and in-situ mining allows deeper and more difficult resources to be mined profitably. Mining companies partner with government and universities to make investments in human capital development. Copper remains competitive against potential substitute materials.
A national approach is taken to developing Chile’s reputation as a world leader in sustainable mining practices. A commitment to ‘green’ technology and OppORtunItIeS And CHAllengeS Economic Access to innovation sees Chile develop a comparative advantage in sustainable minerals and become a major exporter of technology and services relating to sustainability. Diversification Exploration Energy and Water Productivity Human Capital Environmental Sustainability Benefit for Communities key CHARACteRIStICS The global trend towards greater accountability in mining continues and mining companies around the world seek out new solutions in environmental and social sustainability. Global interest in sustainable sourcing of raw materials increases. Sustainability metrics for buildings and consumer goods provide greater transparency of sustainable practices across the entire metals and minerals supply chain. Chile’s reputation in responsible mining practices gives it a comparative advantage as buyers develop a preference for Chilean sourced copper – e.g. for building materials required to meet green standards. makes a large investment in renewable energy to decrease its dependency on imports and lower its greenhouse gas emissions. Research and innovation in unconventional renewable energy and energy storage technologies drives up efficiency and reduces costs. The increase in sustainable practices and a more trusted regulatory system sees social support for mining rise significantly. This opens up opportunities for new projects and reduces opposition to current projects. Chile uses its strengths in primary copper production to develop core capabilities in copper recycling and related services. key SuppORtIng megAtRendS Innovation Imperative Knowledge Economy Era of Accountability The Rise of Recycling