17 de marzo de 2017 / 15:48 / en 8 meses

Polish miner KGHM puts phase two of Chile's Sierra Gorda on hold

WARSAW, March 17 (Reuters) - Poland’s KGHM, one of the world’s biggest copper and silver producers, said on Friday it had put on hold the second phase of expansion of its Sierra Gorda project in Chile.

* State-run KGHM gained control over Sierra Gorda in 2011 when it bought Canada’s Quadra FNX, for C$2.87 billion ($2.14 billion) in the largest-ever foreign acquisition by a Polish company

* But Sierra Gorda, which KGHM co-owns with Japan’s Sumitomo Metal Mining Co Ltd, has struggled to master complex ores

* Asset impairment charges related to Sierra Gorda sent KGHM’s financial results into the red in 2015 and 2016.

* “We have put Sierra Gorda phase two on hold due to changing conditions,” CEO Radoslaw Domagalski-Labedzki said.

* “We believe in the Sierra Gorda project, we want to stay on it. I‘m an optimist when it comes to the effectiveness of the project,” he said. (Reporting by Agnieszka Barteczko; editing by Lidia Kelly and Jason Neely)

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