Angelini Group creates Holding to empower Copec in the medium mining
In particular, Can-Can Investments will operate as a holding bringing together five branches, each dedicated to projects or specific mining operations
Copec Companies controlled by Angelini Group is moving its chips to continue growing. The giant forest leading markets (through Arauco) and fuel in Chile, now wants to increase its presence in the national medium-scale mining.
For that reason they decided to create a new holding company: Can-Can Investments, which arises from the division of Compania Minera Can-Can, which will now be only one subsidiary. This new company will be direct subsidiary of Copec and will handle all the metal mining business of the group.
The decision was taken at a special meeting of shareholders of Minera Can-Can last April 30th, same date that the move was made official before the notary Felix Jara Cadot.
The option of splitting Can-Can was made after analyzing a survey requested by the Company and delivered to their board in early April.
Close to the process told that the corporate reorganization seeks to increase the participation of Copec in the mining business and the new holding would allow to exploit attractive opportunities, such as the purchase of new property.
In particular, Can-Can Investments will operate as a holding bringing together five branches, each dedicated to projects or specific mining operations.
The first one is the Sociedad Contractual Minera (SCM) Vilacollo, which controls the Choquelimpie Project near Arica.
Over the past year, the company completed the first phase of drilling at this site, in order to determine the quality and location of mineral resources available. The idea is to operate a medium-sized mine to produce gold and silver. Industry sources estimate that to exploit the mine requires an investment of U.S. $ 800 million.
The second one is the Sierra Norte mining company, which is in charge of developing the project Diego de Almagro, one of the most ambitious Copec’s bets in this sector and corresponding to belongings the goup bought the Callejas family in 2011.
This initiative is in the process of obtaining environmental permits and it is estimated an investment of U.S. $ 500 million to extract significant volumes of gold and copper.
The third one is Paso San Francisco, a company that manages a leaching plant in Copiapó, for the production of doré from the recovery of gold and silver contained in ores and tailings.
The former parent company, Minera Can-Can, became a subsidiary over which control the assets of The Bronze Task, located in Petorca, Fifth Region, and it is operating.
The latter is La Merced Mining Company incharge of Botón de Oro’s Assets, also gold deposit located in the region of Valparaíso. The project is in development.
This reorganization is in line with what was stated by the Copec’s controller and President, Roberto Angelini. “The focus is on medium-scale mining, which is a very interesting business niche that has evolved in terms of production and investment. There are opportunities to develop medium-sized projects that probably would not interest to other industry players. Our goal is to be a major player in this sector towards to ten years, “said the businessman to La Segunda last year.
During 2012, total sales of Angelini’s mining arm reached 13,000 ounces of gold equivalent, which were marketed primarily in the United States and China.
Source: La Segunda
