Northgate Minerals Corp (NXG)

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This may move copper up some

Workers at Chile copper smelter vote to strike
SANTIAGO, Chile, Dec 9 (Reuters) - Union workers at Chile's Altonorte copper smelter, owned by Xstrata Plc , voted on Saturday to strike, rejecting a contract and wage deal from the company, union president Isidro Cabrera said.

"The vote is to strike," he told Reuters by telephone.


The union's contract expires on Tuesday but the two sides could avert a strike if they request government mediation, which would give them five more days to negotiate a new deal.

"They have 48 hours to request government mediation. We'll be talking to them on Monday," Cabrera said.

A strike at Altonorte would be the latest in the sector as copper workers around the world seek a larger slice of soaring company profits with prices for the red metal nearly five times what they were in 2003.

Xstrata could not be reached for immediate comment.

Altonorte, a custom copper smelting operation near Antofagasta in northern Chile, is the country's only private smelter, with the rest run by the Chilean government.

The smelter, with processing capacity of some 820,000 tonnes of copper concentrate a year, became part of Switzerland-based Xstrata earlier this year with its acquisition of Canadian miner Falconbridge.

Altonorte produces about 290,000 tonnes of anode copper and 700,000 tonnes of sulphuric acid annually.