Antofagasta may be on the M&A trail

By Garry White 530AM GMT 10 March 2010

Antofagasta

However, the association was upbeat on medium-term prospects for the copper market, that it expects to move in to necessity from 2011.

In the year to Dec 31, Antofagasta"s revenues slid 12pc to $2.9bn (�1.93bn). Pre-tax enlarge fell to $1.4bn from $2.6bn after the normal copper cost in 2009 fell 25.7pc to $2.34 per pound.

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Results were increased by clever gains in the copper cost in the second half of the year.

Metals producers slashed outlay last year last year after commodity prices plunged in the last entertain of 2008. Antofagasta constructed 442,500 tonnes of copper, down from 477,700 tonnes in 2008, nonetheless this was forward of expectations.

The association plans to enlarge prolongation in the tide year by 23pc to 543,000 tonnes by enlargement at the largest cave Los Pelambres, with outlay rising to 700,000 tonnes in 2011 after the Esperanza plan comes on stream.

The association pronounced last month"s trembler in Chile should not stroke the prolongation targets. "The new trembler nearby Concepcion is not approaching to have any element outcome on the operations," pronounced Marcelo Awad, arch executive.

The full-year typical division was lifted by 4.4pc to 9.4 cents and the last special division remuneration was fourteen cents a share. The last remuneration of 23.4c will be done on Jun 10.

In 2008, the organisation paid a sum division of 60 cents after it done an well-developed gain.

Michael Rawlinson, an researcher at attorney Liberum Capital, pronounced the division payout was something of a let down.

"The low payout will defect the bulls, and lift questions about what next. We think that there could be an merger in the pipeline," Mr Rawlinson said.

The association has a clever change sheet, with $1.6bn in money at the finish of the period. Analysts design this to climb to $2.6bn at the finish of 2010.

The enlargement projects are entirely saved after the organisation lifted $1.8bn in dual vital financings. Esperanza sealed a 12-year $1.05bn plan financing trickery in May last year, Los Pelambres entered in to new corporate loan comforts for a sum of $750m.

The shares fell 8p to 986p in afternoon trade.