Copper output at Chile's Codelco set to rise this year, CESCO says

Chile's state-run copper miner Codelco is poised to improve production this year and begin to climb from its lowest dip in a quarter century, the head of Chilean copper studies center CESCO said ahead of a major industry conference that starts Monday.Codelco is aiming to produce between 1.325 million and 1.390 million metric tons of copper this year, a target that at best would see it lightly overtake its 2023 output of 1.325 million metric tons.Output could rise at Codelco's Andina, Salvador and Chuquicamata mines, he noted, even as challenges continue for structural projects - mega projects designed to extend the life of key mines and compensate for a drop in ore grades.Driven by renewed interest in commodity assets, copper prices rallied 10% since the start of this year on London Metal Exchange. Copper prices also hit record high on Shanghai Futures Exchange (Shfe) and neared a two-year high of $4.34 per pound last Friday on Chicago Mercantile Exchange .

When prices hit $4.50 per pound, it could start to hurt copper demand, Cantallopts said.Some signs are already showing. Copper inventory in China, the top consumer of the industrial metal, typically declined every April as factory activity picked up after Lunar New Year.