Carmen de Andacollo is located in the Coquimbo Region of central Chile at an elevation of 1,000 metres, approximately 350 kilometres north of Santiago, near the southern limit of the Atacama Desert.
Teck owns a 90% interest in the mine. Empresa Nacional de Minería holds the remaining 10%.
Carmen de Andacollo is an open pit mine, producing copper in concentrates from the hypogene portion of the orebody. Copper cathode production from the supergene portion of the orebody is currently approaching completion. The majority of mine personnel live in the town of Andacollo, immediately adjacent to the mine, or in the nearby cities of Coquimbo and La Serena.
In July 2015, Carmen de Andacollo entered into a long-term gold offtake agreement with RGLD Gold AG (“RGLDAG”), a wholly owned subsidiary of Royal Gold, Inc. Under the terms of the offtake agreement, Carmen de Andacollo will sell and deliver, on a monthly basis, an amount of gold equal to 100% of the payable gold produced from the Carmen de Andacollo mine until 900,000 ounces have been delivered, and 50% thereafter. RGLDAG will also pay a cash price of 15% of the monthly average gold price at the time of each delivery.
The current life of mine for Carmen de Andacollo is expected to continue until 2035.