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Gold/Mining/Energy : Medinah Mining Inc. (MDHM) -- Ignore unavailable to you. Want to Upgrade?

To: Handshake™ who wrote (6810)	10/21/1998 4:16:00 PM
From: Handshake™	Read Replies (2) \| Respond to of 25548

Well I can say who will not be interested in Santiago.... Wednesday October 21, 12:05 pm Eastern Time Company Press Release SOURCE: Phelps Dodge Corporation Phelps Dodge to Reduce Copper Production in New Mexico and Chile PHOENIX, Oct. 21 /PRNewswire/ -- Phelps Dodge Corporation (NYSE: PD - news) today announced a plan to curtail production at Chino Mines Company and close indefinitely its Cobre Mining Company and Ojos del Salado operations between now and the first half of 1999. The changes will reduce the company's global copper production by 100,000 short tons per year, and result in the elimination of approximately 700 jobs. ''We are dealing with the lowest annual average copper price, on an inflation-adjusted basis, of the century. Our revised operating plan will conserve valuable reserves for production at more favorable copper prices, reduce costs, and allow us to direct capital and management talent toward projects with potential for growth,'' said Timothy R. Snider, president of Phelps Dodge Mining Company, the corporation's mining and metals division. ''The changes are part of our long-term business strategy, which focuses on sustaining profitability and cash flow during downturns in the copper market and positioning the company for growth when higher prices return.'' At the Hurley, New Mexico-based Chino Mines Company, the effects of low copper prices require significant mine plan changes. In January 1999, Chino will reduce its annual copper production by approximately 35,000 tons and eliminate approximately 300 jobs. If conditions continue to deteriorate, additional curtailments or a complete closure of the property are possible. All Chino employees have been notified of the potential for the elimination of a substantial number of jobs. ''In addition to the substantial downturn in copper prices, Chino faces many uncertainties, including the lack of ratified labor agreements, challenging ore body characteristics and a number of permitting issues,'' Snider said. ''We will continue to monitor the copper market and business conditions at the property closely.'' Phelps Dodge also will close immediately the underground mine at its Cobre operation located in Hanover, New Mexico, with the entire operation scheduled for closure during the first half of 1999. The changes will reduce the company's global copper production by approximately 35,000 short tons per year and result in the elimination of approximately 200 jobs. In addition, the Ojos del Salado underground copper mine in Copiapo, Chile, will close immediately, resulting in a reduction of 22,000 short tons of copper annually and the loss of approximately 180 jobs. ''These changes are difficult for the company, our employees and their families. However, these steps are required to align our business with current market conditions, ensuring the company's long-term success and protecting the jobs of the 7,000 employees who remain with Phelps Dodge Mining Company,'' Snider said. Phelps Dodge Corporation is among the world's largest producers of copper, operating mining and manufacturing facilities that employ 15,000 people in 27 countries. SOURCE: Phelps Dodge Corporation