MercoPress. South Atlantic News Agency

Chile: News Briefs from The Santiago Times

Charles Goodyear, CEO of BHP Billiton

Headlines:
BHP Billiton officially opens Spence mine; U.S. publication names Santander best bank in Chile; U.S. business funding copper thefts; Chile's GDP almost doubles in three years; Public transport is stressing commuters.

BHP Billiton officially opens Spence mineBHP Billiton, the world's largest mining company, officially inaugurates the Region II Spence Mine Site today, Tuesday, with an opening celebration attended by President Michelle Bachelet, as well as Charles Goodyear, CEO of BHP Billiton. The US$1 billion project, in the works since 2004, employs the latest mining technology and is predicted to produce 200,000 tons of copper yearly. The Spence Mine is located 150 km from Antofagasta, near Billiton's Minera Escondida, the world's largest copper mine. The Escondida Mine produced 1.2 million tons last year, with profits reaching US$5.32 billion, despite labor disputes and a 25-day strike. The new mine is predicted to raise BHP Billiton's Chilean copper production 15 percent a year, to an estimated 1.7 million tons. U.S. publication names Santander best bank in ChileGlobal Finance, a leading U.S. industry magazine, once again named the Spanish Santander Bank the best bank not only in Chile, but in Puerto Rico and Latin America as a whole. The 2007 award considered criteria such as assets growth, profitability, strategic relations, customer service, competitive prices and innovative products, among others. The judging panel was made up of the magazine's senior editors as well as analysts, executives and industry consultants. Santander is the biggest bank in Chile in terms of loans and deposits and has the most branches (397) and the most ATMs (1,588) in the country. Founded in 1857, Santander has US$ 1.6 trillion in assets, 67 million clients and 10,852 offices in 40 countries. Chilean banks were among the most profitable in the world in 2006, with profits of 18.56 percent. Santander showed 29.76 percent profit last year (ST, Jan. 26, 2007). Still, it seems that Global Finance did not take into account legal complaints against the institutions they were rating. A major lawsuit was filed in November against seven Chilean banks by consumer organization Odecu, which accused the banks of charging excessive rates for home loans (ST, Nov. 8, 2006). The organization claimed US$23 million on behalf of 250,000 bank customers at the Santiago branch of Santander Bank, as well as Banco de Chile, Boston, Corpbanca, BBVA, Internacional and BancoEsstado. The organization argued that the banks exaggerated the "operational costs" of handling the loans. It estimates more than 250,000 people who have taken home loans since 2005 are entitled to some sort of refund. U.S. business funding copper thefts.Police and government authorities investigating growing copper theft in Chile said this weekend that a U.S.-based business is suspected of aiding the robberies. Authorities also identified five Chilean businesses responsible for committing some of the stealing. Judges have formally charged two of the five business owners--Alfredo Alfaro of Commercial Haul Ltd. and Claudio Bascunán of Spot Ltd.--for their involvement in the thefts. The suspects have also had their multimillion dollar checking accounts frozen by authorities. The remaining three businesses, Recycle Chile, Dionisio and Metal Exports will be indicted today, Tuesday. Investigators estimate that illegal copper exports have grossed US$ 18 million in the first months of 2007. Copper theft in Chile has risen dramatically in recent years, with robberies up by 300 percent between 2005 and 2006. The quantity of metal stolen in 2006 could stretch from Santiago, Chile to Vancouver, Canada. Chile's GDP almost doubles in three yearsDespite complaints from Chile's business community about slowing economic growth, the country's per capita gross domestic product (GDP) has almost doubled in three years. The figures, released Friday by Chile's Central Bank, place the per capita GDP for 2006 at US$8,900. In 2004 it was just US$4,700. The 2006 GDP was Chile's highest ever and was the highest in Latin America. The official figure surpassed earlier predictions which estimated the GDP per capita would come in at US$8,760. Chile's economic growth rate fell 0.3 percent over the same period, despite record earnings for Chile's copper companies. Last January, the National Statistics Institute (INE) reported 2.6 percent inflation for 2006 Public transport is stressing commutersA stress survey carried out by the Mental Health Institute of Chile (INC) indicated that the primary cause of stress for Santiago residents is the public transportation system. The survey found that 36 percent of those interviewed said they felt irritable, depressed, and even experienced insomnia because of the deteriorating state of the bus and metro lines. Dr. María Cristina Rojas, psychiatrist and specialist with the INC, expressed concern that people exposed to stress for extended periods times may develop anxiety, intense muscle pains, migraines and severe intestinal problems. The INC recently opened a hotline aimed to help Santiago's distraught citizens. People who are in need of counseling can speak with a psychiatric professional, answer a series of questions, and receive a mental health evaluation. The Santiago Times