Mission mine to cut copper

By Staff -- Purchasing, 12/8/2000

A production cut of 20,000 metric tons/year at Asarco's Mission copper mine in southern Arizona is a cost-cutting measure to keep the 39-year-old mine running, the U.S. metals miner says. Rising electricity costs and land-use royalties paid to Arizona and local Indians in Pima County, who have an adjacent reservation, have impacted financially Asarco's owner, Grupo Mexico.

In the first nine months of 2000, Grupo Mexico produced a total of 240,971 metric tons of the metal. The world's third-largest copper producer will cut annual output at the Mission pit to 72,000 metric tons in 2001, lowering production there by roughly 22%. The plan is to cut costs by mining less but better grades of ore.

Mission mine produced 100,000 metric tons of copper and 1,803,000 ounces of silver in 1999. The ores are smelted in nearby Hayden, Ariz. In 1999, Hayden produced 202,000 metric tons of refined copper anodes.