Reasons for nationalization: The reasons for nationalization in 1971 were provided as follows: . Copper price was not transparent at the time and that created mistrust; . The country did not have capital to operate the mines; and . There was no belief in domestic capacity to run the mines. However the above-mentioned reasons are not applicable anymore and therefore the mining industry is now based on the following 3 pillars: . Codelco; . International mining companies, which are significant contributors through royalties; and . Local private companies, which are currently the weakest pillar. The delegation was informed that Coldeco is currently run as a private company and it contributes funds to the fiscus, but keeps some for recapitalization. It has a good credit record with the financial markets. In the past, government was not willing to invest in Codelco and did not allow the company to go to financial markets and this created a precarious situation for Codelco. However, government now supports applications for loans by Codelco.