Straits reviews viability of its copper mines on price fall

Straits on Thursday confirmed to the Australian stock exchange (ASX) that a news report containing this information earlier this week was correct and reflected "commodity market reality".

Chief executive Milan Jerkovic said the company was reviewing whether to continue mining at Tritton following a dramatic drop in the copper price.

Jerkovic said the mine was marginal due to a halving of copper prices this year and that was prepared to take tough decisions on the mine's future if conditions did not improve.

"Nothing is imminent, but you've got to look at the costs of these things and be prepared to make hard decisions," he said in statements provided at the ASX request.

"We're not prepared to operate at a loss."

Copper for December delivery was down 3.6 per cent to $US1.6015 a pound on the New York Mercantile Exchange on Wednesday amid news that London Metal Exchange stockpiles had grown to the highest level since March 2004.