Wednesday, April 7, 2010

Xstrata (XSRAY.PK) Commits $7 Billion to Increase Production

Xstrata (XSRAY.PK) says it will spend around $7 billion over the next four years to increase copper production, most of that targeted to operations in South America. Xstrata is the fourth-largest copper producer in the world.

The goal of Xstrata, is to increase copper production by about 60 percent during that time to 1.5 million metric tons by 2014., accoring to Xstrata Copper chief executive officer Charlie Sartain.

It'll start a little slower this year, although copper production is estimated to increase over the 920,000 tons produced in 2009.

The company reiterates their revenue growth and profitability is tied into their South American projects, which should help the company increase copper production to over 550,000 above their current levels.

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