Collahuasi in northern Chile may be one of the largest copper mines in the world but it is facing a prolonged strike by miners if the current wage dispute is not settled.
Government mediated talks brought a new wage offer from the company to the worker's union on Tuesday.
Collahuasi copper mine in northern Chile. Image Credit: Collahuasi
However the workers have knocked back the offer and called for a prolonged strike. Global mining companies Anglo American Plc and Xstrata Plc run the Collahuasi project as a joint venture.
The original deadline for reaching an agreement to avoid a disruption of the mine's production was October 30. However the Work Inspectorate of Chile had stepped in to hold mediated talks after that deadline passed with both sides failing to reach a compromise.
The workers have taken a preliminary negative view of the new wage offer as per Collahuasi spokeswoman Bernardita Fernandez. They feel the company is continuing expansion at the expense of the workers.
The union leaders have said that the strike could begin as soon as November 5, if no deal was made before then. This would drastically affect Chile's copper production and exports.