Government will start preparing bill to cap Codelco
Cochilco is in the process of capital flow analysis that the state company requires for the coming years.
The first of a series of meetings will begin Friday with Ministries of Mining and Treasury. According to reports, that day will begin to take shape the work system and the main lines of the multiannual capitalization bill for Codelco which would be sent to Congress during the third quarter of this year.
The government say that this meeting is of high importance, so it is contemplated that the holder of Mining, Aurora Williams, attend to it as sign of interest that the government has in this area. Regarding the role that Codelco will have in drafting the proposal, so far the relationship has been through the Mining portfolio. In fact, next Monday is scheduled a meeting between the two parties to discuss the issue.
Another organization that is gaining momentum in this process is the Chilean Copper Commission (Cochilco), which in turn has held meetings with the copper company, technically analyzing projects that are presented. Yesterday, the interim chief executive of the state company, Octavio Araneda, met with the Executive Vice President (TyP) Cochilco Sergio Hernández, to advance this topic.
Under capitalization, Minister Aurora Minister Williams said after Cochilco’s activity, that this entity was analyzing the capital flows that were needed for the coming years. By 2014, the Ministry of Mining-based on studies of this organism had recommended to inject Codelco around U.S. $ 1,000 million.
But the government’s awareness that, despite the urgency of the issue, it is difficult this year that figure is completed, because the project is funded at an early stage and legislative priorities are in other sectors. These days it’s the tax reform and at the end of September begins the discussion of the national budget for 2015.
Priorities in projects
Asked if the analysis of structural projects performed by Cochilco could involve a change in priorities for the government, the minister Williams said that would not change and that the review was a receipt to be sure that the resources “of all Chileans “is being spent well.
In the executive branch would not be analyzing paralyze or delay some projects. On the contrary, it is estimated that initiatives as Chuquicamata Underground must move quickly.
Source: Diario Financiero
