Commodities Buzz: Codelco CEO to stay on after Chiles new Govt reshuffles management

The Chief Executive Officer of Chilean state copper company Codelco, Nelson Pizarro, confirmed rumours this weekend that he would stay on at the companys helm even after the countrys new President, Sebastian Piñera, appoints a new chairman and three directors in May. The mining veteran, who took the post in 2014, has played a critical role in the drive to reduce spending and force a reduction in costs, while kicking off a major overhaul of Codelcos aging mines to deal with dwindling ore grades. He said the companys new CEO should be someone able to deal with challenges proper of the business, without letting government changes affect his or her decisions. While Codelco has funding guaranteed through 2019, it will have to negotiate with the government in 2020 for money to complete investments needed to complete the needed project, which is estimated to be around $ 4 billion annually over the next five years. The new leader will also have to deal with other major corporate changes Piñeras administration has promised, including legal changes to prevent the nations armed forces using Codelco as a cash cow to finance weapons purchases.