Supply at Antamina

Michele Villegas Vassallo

Procurement & Contracts Superintendent
Antamina
Punta Lobitos Antamina

- Mine site: Eastern Andes,

between 4,300 and 4,700 m.
- Port site: Western range of the
Andes.
Antamina: a world class operation
 Antamina

• World Class Project:

– Long life 20 + years with upside potential.
– 3rd world largest producer of Cu/Zn
concentrates.
– Second largest producer of Zn concentrate in
Peru.
– First largest producer of Cu concentrate in
Peru.
Antamina
Increased:
 Peruvian mining
exports by 30%
 Peruvian GDP by 0.8%
Involved:
 Regional infrastructure
development
Permitted:
 Enhanced regional
development
 Mine
360,000 tonnes of material removed per day

•51 CAT793 trucks (240 tons)

•4 BE shovels
•5 BE drills
• Primary Crusher - Fuller
 Concentrator
85,000 tonnes of concentrate per day

• 1 SAG mill
• 3 Ball mills
Tailings Dump
Pipeline

• 302 km long
• By gravity
• Five valves stations
• 10”, 9” & 8” pipe underground
• Three pumps
“Punta Lobitos” Port

• Filter Plant – Larox

• Shiploader – Man Takraf
Supply
 Supply Vision
We are recognized as an example of supply
excellence in the mining sector and contributed to
the economic and social fortification of the country
by means of the joint development with our strategic
partners and their suppliers.

Somos reconocidos como un ejemplo de excelencia

logística en el sector minero mundial y contribuimos al
fortalecimiento económico y social del país mediante
el desarrollo conjunto con nuestros socios
estratégicos y sus proveedores.
 Supply Mission

We are responsible for the opportune and efficient

supplying of goods and services to assure the
continuity the Antamina operations, anticipating
changes and tendencies of the market, offering
specialized advice to our internal clients. We
shared Antamina´s standard in safety,
environmental care and relations with the
communities, acting with integrity and ethics.
 Guiding principles

• Responding to customer needs.

• Zero harm is our way of life.
• Continuos improvement is the way we do
business.
• Compliance and ethics are non-negotiable.
• We continuously learn from each other.
• We treat suppliers with respect.
• We live Antamina values.
 Supply - Antamina

Supply Manager

Procurement & Warehousing &

Contracts Inventory Control

Purchasing Contracts Strategic Supply 3 warehouses

Market Intelligence
5 Purchasing Groups Vendor Management
Processes &Systems
 Supply Process
Purchase
Order

Materials planning Quoting /

(user or Created & approved Tendering PO Follow up
warehouse) requisition

ERP (INTEGRATED INFORMATION SYSTEM) Forwarder´s

whse

In-Transit
Final whse Lima Local shipping
Transport to (supplier or
warehouse
final destiny Customs
3PL)
Clearance
 Some supply numbers

• Total spend 2007: US$ 355 MM

100%
90% Abroad With no DCh 21%
contract
Goods Inventory
76%
79%
56% Peru
Perú Under
contracts

Services

By Through By type Goods

supplier contracts distribution
origin
 Our practices
• Development of cross-funtional teams
• Market intelligence for strategic commodities
• Increase contract spend
• Understanding and classifying supplier relationships
• Supplier performance management
• Sharing opportunities and risks with suppliers to
optimise value
• Supply performance measurement
• Our workflow is supported by appropiate technology.
Thanks