Chile's Escondida invites union to early contract talks

Chilean copper miner Escondida invited its main union to early contract negotiations.

"This invitation seeks to open an instance of dialogue and respect in which we can address the current company challenges and the legitimate interests of its workers," the company, controlled by BHP, said in a press release.

The union, known as No. 1, called meetings for this week and next to decide whether to accept the offer. "This invitation is made in the context of a substantial improvement in the price of copper, new labor legislation and the significant increase in the company's production," the union, which represents over 2,500 workers, said in a statement. If accepted, talks would start June 1.

BHP wants to avoid a strike at the world's largest copper mine similar to the 43-day one last February and March.

Escondida is located 170km southeast of Antofagasta in northern Chile at an altitude of 3,100m. BHP has 57.5% of the mine, Rio Tinto 30%, JECO Corporation 10% and JECO 2 Ltd 2.5%. Escondida's copper production was 925,400t in 2017, according to state copper commission Cochilco, much lower than previous years due to the strike.