Máximo Pacheco, outgoing president of Codelco's board, delivered a 45-minute speech on Monday at the ordinary shareholders' meeting, rejecting government criticisms and stating that 'Codelco is not in crisis'. He addressed his successor, Bernardo Fontaine, appointed by President José Antonio Kast, and Mining and Economy Minister Daniel Mas. He insisted that the state-owned company remains 'Chile's best business'.
Máximo Pacheco ended his tenure, started in April 2022, with an extensive speech at Codelco's ordinary shareholders' meeting on Monday, April 20. Accompanied by the board, he detailed achievements and challenges, responding directly to criticisms from Biminister Daniel Mas.
Mas questioned on April 9 on Radio Infinita issues of safety and production due to 'long-standing management problems'. At Cesco Week, he deepened critiques on corporate governance failures and erred by stating Codelco should produce 1.7 million tons this year, a 2030 target announced in 2019. Pacheco clarified: 'This 2025 production balance reflects a corporation in transition, with the goal remaining to recover total production of 1.7 million tons by 2030'.
Pacheco attributed production decline to structural factors: mines averaging 88 years old, ore grades falling from 1.3% in 1990 to 0.62% in 2025, C1 costs of US$208.65 per pound, and project delays. Debt rose from US$17.242 billion in 2021 to US$24.658 billion in 2025 after US$17.725 billion in investments, with no profit reinvestment as all go to the treasury.
Former president Óscar Landerretche, in an interview with Radio13C, estimated that government criticisms aim to 'prepare the argument to privatize part of Codelco', beyond Pacheco's management, highlighting longstanding structural issues.
Pacheco warned: 'Subjecting Codelco to the instability of political cycles or short-term visions is a risk the country cannot afford. Caring for Codelco is caring for Chile', emphasizing its strategic role in copper and lithium.
