Anglo American and Codelco keep talking

Anglo American and Chile's Codelco have agreed to extend talks as they seek to negotiate an agreement in their bitter battle over the former's Anglo Sur assets.

Both parties requested continued suspension of their legal proceedings on Friday at a Santiago court until Tuesday 17 July 2012 to allow talks to continue.

The argument centres around state-owned copper firm Codelco announcing it wanted to exercise an option to buy 49% of Anglo Sur.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up

It has secured a $6.75bn loan from Mitsui, a Japanese firm, to pay for its share.

The option over the properties dates back to 1978 and covers the Los Bronces mine, which estimates say could be the world's fifth-biggest copper mine.

However, following the announcement Anglo said it was to sell a 24.5% stake in the Anglo Sur to another Japanese firm, Mitsubishi Corp, for $5.4bn.

It said the deal offered better value for shareholders.