Visions - Winter/Spring 2010 - 10

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The tradition of excellence continues today in the mining businesses of Sumitomo Corporation of America’s Mineral Resources & Energy Group.

porphyry copper open-pit mine and processing facility, and is a joint venture with Phelps Dodge, which became a Freeport MacMoRan venture in 2007. The mine is located at an elevation of more than 10,000 feet above sea level, and employs approximately 2,000 people. Its operations pioneered the use of Global Positioning Satellite system technology and computer-controlled dispatching in its haul trucks, shovels and other heavy equipment. Annual production of nearly 228,100 MT of copper is sold to the U.S. market. Starting in 1992, copper mine holdings in South America included the established Compana Contractual Minera Candelaria (CCMC) in Chile. Phelps Dodge had discovered the copper deposit in 1987, and the mine began to produce copper in 1995.Annual production in the facility is nearly 136,000 MT, with the copper concentrate delivered to the Asian and European markets. Similarly, another copper mine in Chile, Compana Contractual Minera Ojos Del Salado (CCMO), began commercial production in 1929. In 1985, Phelps Dodge became the sole owner of the mine and Sumitomo joined as a partner in 2005. Last year, the mine produced over 45,000 MT of copper, which is also supplies the Asian and European metal markets. Sumitomo Corporation Mexico (SCMX) is currently involved in mining in the Penoles mine operations near Mexico City.Although Peñoles started operations in 1887 as a mining company, Peñoles currently controls more than

20 companies involved in the exploration, mining, smelting and refining of precious and industrial metals. Peñoles is the world’s top producer of refined silver, metallic bismuth and sodium sulfate, and is also leading Latin America producer of refined gold, lead and zinc. Peñoles’ production volume of 3,100 MT of silver per year represents nearly 12 per cent of the world’s silver production. “The business relationship between Peñoles and Sumitomo now celebrates 30 years with the export of refined silver bars to Japan,” said Cesar Resendiz, Manager in Steel & NonFerrous Metals in SCMX who deals with Penoles regularly. “In fact, Sumitomo Corporation is handling 100 per cent of Peñoles silver imports to Japan.” “Our history helps us to continue strengthening the relationship between Peñoles and Sumitomo, which also help us to keep expanding our business net with Peñoles by handling other products which they produce, such as refined zinc ingot which we export to Costa Rica, and metallic bismuth which we are promoting in Japan, among others,” continued Resendiz. “The role of Sumitomo Mexico in this business is to keep good communication lines with Peñoles in order to secure the appropriate production and shipping schedule, follow the documentation issuing and payments, as well as all the necessary communications to handle this business smoothly and supporting SC during the negotiations,” said Resendiz.
For more information, please contact Hiromi Mochizuki at Hiromi-b.Mochizuki@sumitomocorp.com.

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Visions - Winter/Spring 2010

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