Delivering our potential in a sustainable way
Sustainability report 2023
Scroll
Chapter 1
Who we are
Antofagasta Minerals is a mining company owned by London-based Antofagasta plc and headquartered in Santiago, Chile. Antofagasta Minerals is one of the world's ten largest copper producers.
Read moreChapter 2
Our sustainability performance
We seek to create long-term value for our stakeholders, and we are therefore committed to achieving targets and operating programmes that contribute to the United Nations SDGs in the regions in which we operate.
Read moreChapter 3
Corporate governance
At Antofagasta, we strongly believe that a robust governance structure based on appropriate corporate policies and clear guidelines assures our sustainable performance in line with the best international practices and compliance.
Read moreChapter 4
People and communities
Our people are the essence of our achievements and the key to a sustainable business. We have a long-term and responsible relationship with our suppliers, and contribute to social and economic development in the local communities in which we operate.
Read moreChapter 5
Environment and climate change
We strive to produce in a sustainable way based on a long-term vision. We recognise the contribution of copper to increasing electrical demand relating to the worldwide energy transition and the need to adapt our operations to reduce our GHG emissions.
Read moreChapter 6
Downloads/ Appendix
Find the full Sustainability Report 2023, PDFs from each chapter, and our Sustainability Databook 2023.
Read moreChapter 1
We are Antofagasta Minerals
Developing Mining for a Better Future
Our strategy is built around our purpose, along with four target groups and five pillars. Each element has defined long-term objectives with short and medium-term goals. In addition, our five pillars are underpinned by six key values that are shared by our people and permeate our organisation.
Our vision is to be an international mining company, focused on copper and its by-products, known for its operating efficiency, creation of sustainable value, high profitability and as a preferred partner in the global mining industry.
Our Strategic Framework and Pillars
Planet
We recognise that climate change is one of the greatest challenges faced by humanity. Our vision of a better future reflects the quest for a more sustainable planet, with copper playing a central role in the energy transition, economic progress and improved livelihoods.
Society
Our vision of a better future is one that is developed together with our local communities, and aims for a society that recognises the economic and social value generated by mining.
People
To tackle the challenges we face in our daily operations and growth, we need a robust organisation that consistently meets these challenges and is grounded in clear and unshakeable values and principles.
Our vision of a better future therefore encompasses our ethical organisational behaviour and our continuous pursuit of a sustainable culture of trust, inclusivity, collaboration, agility and willingness, to embrace change and continuous learning.
Organisation
Our success relies on having the best people at the heart of everything we do. Our vision of a better future would be incomplete without the shared values of our workforce, a diverse and inclusive group of individuals open to learning and to enjoying their personal and professional growth, who strive for excellence in their results.
Safety and Sustainability
to enhance our current operations, while keeping an eye on the future
People and culture
to cultivate the talent necessary for a better future
Competitiveness
is the key to us achieving excellence and creating long-term value
Innovation
to constantly pushing back boundaries and exploring new ways of advancing
Growth
to keep contributing to the development of a better future
Sustainability Policy
Safety and Sustainability is one of the five strategic pillars that underpin our purpose. We take a holistic approach to our sustainability management, continually engaging with our stakeholders to analyse, define and manage our priorities across the short, medium and long term, and always aligned with our strategy.
Safe and healthy environment
A safe and healthy environment is a priority for our work, as is well-being. We recognise the importance of diversity and equal opportunities, so we continually strive to create proper environments that promote integration and both professional and personal development.
Economic performance
We are constantly looking for sustainable ways to improve our operational efficiency in order to create value for our stakeholders. We operate responsibly and with long-term vision in order to maximise the economic value of our assets and contribute to social development.
Environmental management
We work to prevent, control and mitigate our potential environmental impacts. We seek always to make efficient use of natural resources. We implement integrated environmental management systems into our business, establishing objectives, goals and indicators.
Social development
We seek to contribute to the generation of economic, social and human capital in the environments in which we operate. We lead processes of effective, participatory and transparent dialogue with the different actors in the territory, acknowledging challenges and opportunities to address them together.
Transparency and corporate governance
We believe in the importance of developing effective, responsible and transparent institutions. Our guidelines and internal regulations establish our commitment to run a responsible business. We operate with integrity based on transparency and respect for human rights and the law. We openly communicate our performance and implement systems that allow us to supervise our procedures internally.
Message from the CEO
Message from the Sustainability and Stakeholder Management Committee Chair
Sustainability Goals and 2023 Performance
We assess our sustainability performance regularly against a group of short, medium and long-term targets and goals. Most of them are included in the performance agreements of each mining operation and our corporate offices.
People
Safety
19%
High Potential Accidents reduction in relation to 2022
Diversity and inclusion
23.7%
Participation of women
Suppliers
12%
of social expenditure spent on local suppliers
Communities
1,352
Students were benefittng in 2023 from our education programmes
Environment
Regulatory requirements compliance
100%
compliance with high- and medium-risk requirements
Greenhouse gas (GHG) emission reduction
1.69tCO2e
/tCu
CO2e emissions intensity
Water stewardship
81.9 GL
Water withdrawals
Economic Performance
EBITDA
$3,006 million
EBITDA margin 5.5% higher than in 2022
Social contribution
$47.9 million
Copper production
661 kt
2023 goal: 640-670 kt
Transparency and Corporate Governance
Compliance
100%
of our employees participated in training courses regarding Ethics Code
Social contribution
10 active
Agreements signed with Indigenous People Groups in the Choapa Valley
Risk management
12
Intercompany risk reviews
What We Do
Antofagasta Minerals is a mining company owned by London-based Antofagasta plc Group and headquartered in Santiago, Chile. Antofagasta Minerals is one of the world's ten largest copper producers. Antofagasta plc is listed on the London Metal Exchange, part of the FTSE 100 index, and participates in sustainability indices such as DJSI, FTSE4Good and STOXX Global ESG Leaders.
About Antofagasta
Mining accounts for approximately 97% of the Group's revenues and EBITDA. Antofagasta plc also have a Transport division, which provides rail and road transportation services in northern Chile, primarily for mining clients, including the transfer of cathodes from our operations.
Our Operations
We operate open pits copper mines in Chile, Los Pelambres and Centinela producing copper concentrates containing gold and silver and a separate molybdenum concentrate, while Centinela, Antucoya and Zaldívar produce copper cathodes. Los Pelambres and Centinela are long-lived deposits with significant resources that will allow at least another 50 years of operation.
Delivering Sustainable Economic Value
At Antofagasta Minerals, we work consistently to fulfil our purpose of developing mining for a better future. As such, we are committed to generating economic, social and environmental value for all our stakeholders.
Chapter 2
Our sustainability performance
Our Sustainability Priorities
Our sustainability policy is in line with the United Nations Sustainable Development Goals (SDGs). We seek to create long-term value for our stakeholders, and we are therefore committed to achieving targets and operating programmes that contribute to the SDGs in the regions in which we operate.
Relationship with Our Stakeholders
By fostering a continuous, open, collaborative and transparent relationship with our stakeholder groups, we ensure their interests remain at the centre of our business.
Our people | Communities | Suppliers | Customers | Financial Shareholders | Governments and regulators | |
Who they are | Nearly 28,000 employees and contractors, the majority based in Chile. | Nearly 50 communities related to our mines in Chile's Antofagasta and Coquimbo Regions. | 1,594 suppliers, of which 93% are based in Chile. | Buyers of our products, comprising of companies that are located around the world, in a variety of jurisdictions | Participants in financial markets, including: equity investor, fixed income investors, providers of capital, analysts and other market participants. | National, regional and local governments and regulators define the framework within which we operate. |
Why we engage | Our people are central to our business. We strive to develop a good working environment to boost talent and human capital retention. In addition, contractors are a key group to ensuring operational continuity according to the highest health and safety standards. | We care about the well-being of local communities in the regions where we operate. We practice a bottom-up approach to engagement with the aim of working together, in order to create value in the localities where we operate. At the same time, we commit to prevention, mitigation and compensation for any adverse impact our activities may have. | Suppliers are key in our quest for sustainable and safe operation. We work to improve their sustainability and ensure they fulfil our sustainability standards and guidelines. We also work together to ensure that their solutions are cost-effective and efficient. | Engaging with our customers gives us greater certainty regarding pricing and volume of our products whilst enabling us to ensure that our products are meeting their needs. | We regularly share comprehensive and relevant information about our strategy, projects and performance, keeping our shareholders and investors informed in a timely manner | Policy, legislation and regulations can have a major impact on our business. We monitor parliamentary discussions and engage with decision-makers to identify any changing situation that might have an impact on our operations. |
How we engage |
|
|
|
|
|
|
Our Strategic Framework and Pillars
Strategic partnerships
- International Council on Mining and Metals (ICMM)
- The Copper Mark
- Consejo Minero (Chilean Mining Council)
- Antofagasta Region Mining Strategy
Alta Ley Corporation partnerships
- Mining Cybersecurity Corporation (CCMIN)
- Scope 3 Emissions Traceability Roundtable
Water stewardship partnerships
- Quitai-Anko research consortium
- Antofagasta Minerals Water Sustainability university course
Innovation ecosystem partnerships
- National Copper Corporation (Codelco) agreement
- Da Vinci Circle member
2023 Awards
Most Innovative Company award
"Radoslav Razmilic" Executive trajectory award
Outstanding company ESG criteria award
Best mining industrial development project award
Antofagasta Minerals Materiality Matrix
Download full PDFChapter 3
Corporate Governance
Governance Structure
At Antofagasta, we strongly believe that a robust governance structure based on appropriate corporate policies and clear guidelines assures our sustainable performance in line with the best international practices and compliance. Our diverse and experienced Board plays a key role in defining our strategy, vision, creation of shared value, and our commitment to accountability.
The highest corporate governance body of Antofagasta plc is the Board of Directors, led by a Non-Executive Chairman
45%
of board members are women
6
out of 11 members of the Board are independent
64%
of the Board members self declare to have sustainability skills. This includes competence on climate-related issues.
Risk Management
At Antofagasta, our long-term sustainable growth is inextricably linked to effective corporate risk management. As an essential part of our culture and strategy, we continuously monitor both principal and emerging risks and have put in place a robust risk management framework to ensure identified risks are managed or mitigated before they result in negative impacts to the Group.
Complaints Channel Tu Voz
Boosting Cybersecurity
Digital technology plays a critical role in increasing the productivity of our processes. We are constantly updating our systems and enhancing our action plans to identify, minimise and control any potential risk that might affect our regular networks and programmes. Due to its strategic relevance and visibility, cybersecurity has become a key issue in protecting our digital infrastructure and ensuring our sustainable progress.
Respecting Human Rights
At Antofagasta, we recognise the dignity and value of the human being as an essential element of what we do. Acknowledging and respecting human rights implies action within a framework of equality, fairness and non-discrimination. We believe in the importance of particularly, right to access healthcare, education and an adequate standard of living.
Respect for Human Rights
Respect for Indigenous Peoples
0
incidents of violations involving rights of indigenous peoples in 2023
Our Due Diligence Process
In 2023, the International Council on Mining and Metals (ICMM) updated its Human Rights Due Diligence Guidance, an important resource that helps member mining companies to better integrate human rights into existing risk management approaches. The guide stresses the fact that every person deserves to be treated with dignity and respect, and that all businesses, regardless of where they operate, have a responsibility to respect human rights.
Our main input for development of our human rights policy hinges on the first Due Diligence exercise implemented in 2018 at all our companies. We are currently working on our second Due Diligence process, to assess the current status of potential risks identified in our first process and establish new action plans accordingly.
This is considered a key process in understanding and anticipating potential industry impacts on our communities, and in designing preventive action plans to mitigate any potential negative consequences of our activities in terms of indigenous peoples and community relations, labour rights, work-life balance, water stewardship, dust release, and other topics.
Chapter 4
People and communities
Our People
Our people are the essence of our achievements and the key to a sustainable business. We strive to create a working environment aligned with our organisational purpose, fostering well-being, a diverse and inclusive culture, skills development and talent retention, particularly for women.
People
27,900
total workforce
27,701
permanent and full-time workers
199
temporary employees
55%
of our permanent and full-time employees are based in the Antofagasta or Coquimbo regions
79%
unionised employees
23%
direct employees
77%
contractors
23.7%
of permanent and full-time employees are women
Distribution of permanent and full-time employees (2023)
People
33%
Centinela
28%
Los Pelambres
10%
Antucoya
11%
Zaldívar
18%
Santiago (corporate office)
97%
of our employees have an indefinite employment contract
Wellbeing
Well-being in the workplace is one of our priorities. Beyond the salaries paid, we promote the physical, emotional, financial and social well-being of our employees through a series of initiatives. We seek to achieve a high level of engagement and a working environment that is conducive to the achievement of business objectives.
Read our article:
Above and beyond: Employee wellbeing to drive diversity and engagement
Diversity
We focus on new, creative ways of thinking and strategies to foster inclusion in the workplace. In doing so, in 2023 we boosted our protagonists' network, our agents of change, to specially support women retention and the inclusion of employees with disabilities and different cultural backgrounds.
Our Performance 2023
23.7%
of personnel are women
448
women hired
Target 2025
30%
of personnel should be women by 2025
Relevos
The Relevos Mining Shift Programme, initially deployed in Antucoya and Los Pelambres, gives the women of neighbouring communities the opportunity to work part-time and return home every day, facilitating the balance between work and family life. The programme seeks to optimise the use rate of haul trucks and is intended to involve a predominantly female workforce.
Eleva
We participate actively in the Eleva programme — a public-private initiative made up of various public organisations, mining companies, the Mining Skills Council (CCM) and Fundación Chile, an entity that promotes technology transfer. Eleva's goal is to ensure alignment between technical training programmes and the needs of the mining industry.
Talent Development, Retention and Attraction
At Antofagasta, we seek to strengthen human capital and talent at our Company and in the local communities where we focus our recruitment efforts. We strive to provide the proper tools to enable our employees to develop their full and diverse potential, delivering innovative solutions to multiple challenges, and to support the digital transformation of our business.
Our pillars
- Talent Attraction and Learning
- Young professionals
- Apprenticeship
- Programmes with a female focus
Leadership Development
- Aimed at our first-line managers and focusing on self-knowledge and team management.
- Development conversations for successors to key positions.
Integrated Talent Management
- Implementation of discussion roundtables twice a year with executives of our companies to analyse key performance indicators on talent attraction, retention and development of people in the Mining Group.
- Definition of critical positions and succession planning, as well as development plans.
2023
120
executives participated in leadership courses
61
hours of training per employee (average)
$4,023
training investment
Health and Safety
Safe production based on a sustainable internal culture is our main asset. We have been making steady progress in spreading this approach at our Company's grassroots and among our contractors, supported by trust, planning and the principles of roles and responsibilities. As one of our five strategic pillars, health and safety is at the centre of our daily activities.
Our health and safety strategy pillars
Occupational health and safety risk management
Reporting, investigating and learning from our accidents
Leadership
Contractor management
2023 Performance
0
fatalities
19%
fewer High Potential Accidents than in 2022
0.61
Lost Time Injury Frequency Rate (LTIFR)
1.74
Total Recordable Injury Frequency Rate (TRIFR)
Our Suppliers
Our suppliers are a driver of continuous improvement to our high-quality service and products. We support them collaboratively with tools that comply with high sustainability standards in relation to their performance and respect for human rights, in line with our corporate purpose.
1,594
companies
12%
Local suppliers
$657m
supply chain purchases in Coquimbo and Antofagasta
15 days
Invoice payment term for around 90% of SMEs
Suppliers for a Better Future Programme's Progress
In 2023, we implemented our own Suppliers for a Better Future programme(*). Launched in December 2022, the initiative seeks to align supplier best practices with our main purpose and standards in 2025. This is a collaborative project with a focus on the development of people, communities, sustainability, competitiveness, innovation and clear Key Performance Indicators (KPI).
2023 Results
14%
Spent on local suppliers
13%
Female employment by suppliers
50%
Local employment by suppliers
2025 Goals
18%
Spent on local suppliers
25%
Female employment by suppliers
45%
Local employment by suppliers
Scope 3
Emission reduction target setting
Work with Communities
Creating social value is key to our sustainable approach. We seek to contribute to social and economic development in the local communities in which we operate though proactive engagement based on trust, transparency, respect and acknowledgment of distinctiveness and diversity, and in collaboration with local organisations and authorities.
Highlights 2023
64,000+
residents benefitting from management of water for human consumption (Coquimbo region).
1,352
students benefitting from our education programmes.
100%
of homes are connected via fibre-optic cables in Sierra Gorda.
7
localities where we work with indigenous communities (Peine, Socaire, Camar and Talabre in the Antofagasta region, and Illapel, Los Vilos and Salamanca in the Coquimbo region).
19
active agreements signed with Indigenous Communities in the Choapa province.
Our Relationship with Indigenous Peoples
Infrastructure Delivered in 2023
- Inauguration of the Los Vilos stadium.
- Financial contribution to set up the Chillepín Family Health Centre (Cesfam).
- Commencement of work at the Zapallar sewage works and the Lord Willow and Uno Sur steps down to the seafront in Los Vilos.
- Bid to construct a shade structure at Abastos square in Illapel.
- Purchase of land for the Quilimarí Cesfam.
- Inauguration of the Conservation and Research Centre at the Archaeological Museum of La Serena.
Social Management Model
Measuring our Social Investment Programmes
During 2023, we carried out impact evaluations for the APRoxima (water for human consumption in Choapa) and Los Pelambres scholarship programmes. In Antofagasta region, we measured the community relationship process, evaluating the Diálogos para el Desarrollo in the towns of María Elena and Sierra Gorda.
Supporting the Pan American and Parapan American Games
In line with our values and the promotion of community participation in sports activities, we were proud sponsors of the Pan American and Parapan American Games, which were held for the first time in Chile. This is one of the largest multidisciplinary international sporting events in which athletes from all over the Americas participate, second only to the Olympic Games.
Chapter 5
Environment and climate change
Sustainable Production
We strive to produce in a sustainable way based on a long-term vision. Our priority is to prevent, minimise and mitigate adverse impact on the environment in which we operate. Through regular reports and reviews, we periodically evaluate our performance and conduct improvement action as required. Our four operations meet all the criteria of The Copper Mark and the ICMM Performance Expectations standards for responsible mining.
Environmental Management Model
Implementing Our Circular Economy Strategy
In 2023, we launched our Circular Economy Strategy, approved at the end of 2022. Its three pillars are linked with four priorities: regulations and trends; engaging with stakeholders; innovation; and circular economy culture.
Our Approach to Climate Change
Climate change is one of our top priorities. We recognise the contribution of copper to increasing electrical demand relating to the worldwide energy transition and the need to adapt our operations to reduce our GHG emissions.
Our Progress towards Decarbonisation
At Antofagasta we have the ambition to reduce our Greenhouse Gas (GHG) emissions in the short and medium term, and to achieving carbon neutrality by 2050, or sooner if technology allows. Our comprehensive approach to decarbonisation involves our mining site operational teams, our corporate teams and our suppliers.
Scope 1 & Scope 2 2035 goal
50%
emissions reduction with 2020 as baseline
Scope 3 2030 goal
10%
emissions reduction with a projection baseline using 2022
Energy Management and Water Stewardship
Energy Consumption and Management
Energy is a strategic resource that must be managed in order to ensure a safe, efficient and sustainable supply for our operations, in accordance with our Climate Change Strategy. Energy represents approximately 18.9% of the total of operational costs of our mining operations. Of this percentage, about 10.4% corresponds to electricity and 8.5% to fuels, mainly diesel.
In accordance with our Energy Policy framework, implemented in 2022, we have incorporated the role of Energy Management Representative at each mining site. They supervise the achievement of decarbonisation and energy goals through energy performance plans and GHG reduction. The role consists of leading and ensuring the implementation and improvement of the Energy Management System according to Chilean Law No. 21,305 on Energy Efficiency.
Water Stewardship
In 2023, in acknowledgement of the strategic value of water for our company and our own sustainability, we created the Water Resources Management area to improve technical advice and our role in planning. We also assigned a water lead expert at each mining site to improve water management and to increase water efficiency.
Leading Seawater Use
Antofagasta Minerals has long been a pioneer of the use of seawater in the Chilean mining industry. We are moving away from dependence on continental water sources and increasing seawater use. In 2023, we achieved two milestones: completion of the Los Pelambres desalination plant as the first of its type in central Chile, and operations at Centinela only use 100%1 seawater following Antucoya's lead.
Our 2023 achievement
60%
of our Group's water withdrawals was seawater.
Our goal
90%+
of the water used by our operations should be seawater and recirculated once our desalination plant at Los Pelambres reaches its full capacity of 800 l/s.
Innovation as a Driver of Sustainability
Cuprochlor-T Technology
In 2023, we launched a testing programme for our self-patented Cuprochlor-T technology, used in the processing of low-grade ore at Zaldívar. The process allows leaching of chalcopyrite and has yielded recovery rates greater than 70% after 220 days of leaching. We began to apply the necessary heating technology conditions, in order to evaluate feasibility and to sell the project to other mining companies from 2024 onwards.
Our Roadmap Operation Vision
2023 Focus
- New ways of operating
- Evolution of operations towards Integrated Operations
- Management (GIO) with the use of data for decision-making
- Robotisation of SAG mining mill maintenance (Los Pelambres)
- New ways of mining
- Dust reduction and control
- New mining districts (reduction in material movement costs)
- Tailings and water management
- Cuprochlor T
- Decarbonisation
Centinela Second Concentrator project
Considered essential for Antofagasta's production growth, the Second Concentrator project in the Antofagasta region aims to increase capacity for mineral treatment and production of copper concentrate, and to extend its lifecycle to the year 2056.
Praised as a ground-breaking project in terms of innovation and sustainability, all of its operations will use seawater. In addition, the Centinela Second Concentrator project will use electric power from renewable sources exclusively, and it will continue to use thickened tailings technology to ensure more efficient use of water. Haul trucks and perforators will be autonomous. On top of that, the project will prioritise electromobility, energy efficiency, circular economy and air quality monitoring.
With this project, one of the main contributions of Antofagasta hinges on highlighting the value of copper for the energy transition and a low emission economy, on the skills of Antofagasta's employees to launch projects of significant size, and on a proper framework that guarantees its feasibility and long-term development.
In this way, Centinela will transform itself into one of the world's 15 largest copper producers and one of Chile's largest gold producers.
Biodiversity Protection
Biodiversity protection is part of our long-term sustainability approach and policy. In 2023, our new, updated Biodiversity Standard started its implementation. In accordance with our Biodiversity Standard, and aligned with the ICMM's position statement on Mining and Protected Areas, we seek to protect wildlife around our mining sites.
Habitats Protected or Restored
27,440 hectares
Los Pelambres protected area in the Choapa Valley (Coquimbo region)
6+
times larger than the area used by the mine operations.
4
nature sanctuaries:
- Laguna Conchalí
- Monte Aranda
- Quebrada Llau-Llau
- Cerro Santa Inés
Chapter 6
Downloads/Appendix
Download the full Sustainability Report 2023
Download Sustainability Databook 2003
Chapter 1 - Who we are
Download Sustainability Policy
Download our CEO's statement
Download our Sustainability and Stakeholder Management Committee Chair's message
Chapter 2 - Our sustainability commitment
Download our 2023 sustainability performance
Download our partnerships and awards
Chapter 3 - Corporate governance
Download our corporate governance section
Chapter 4 - People and communities
Download our work with people and communities
Chapter 5 - Environment and climate change
Download our approach to climate change
Download our progress towards decarbonisation
Download our energy management and water stewardship strategies