Santiago, Chile-based iron ore and steel producer CAP SA posted a record $590.4 million net profit in 2010 compared to a $9.3 million net loss in 2009. Profits rose as a result of its iron ore subsidiary Compania Minera del Pacifico (CMP) acquiring Compania Miners Huasco, a local mining company, and increased iron ore demand from China.
Revenues are expected to increase further this year as well; CAP SA approved investments of $979.7 million last year which aim to expand the company's iron ore production from 11 million metric tons a year to 17 million metric tons a year.