(Updates prices)

By Brijesh Patel

Aug 6 (Reuters) - London copper prices edged higher on

Wednesday after an accident at the top producer Codelco's

Chilean mine raised concerns over supply, though

rising inventories on the London Metal Exchange capped gains.

Three-month copper on the London Metal Exchange

was up 0.3% at $9,667 per metric ton, as of 0700 GMT.

However, the most-traded copper contract on the Shanghai

Futures Exchange lost 0.3% to 78,280 yuan ($10,889.01)

a ton.

Chilean state-run miner Codelco must produce four reports on

the collapse at its El Teniente copper mine that killed six

people after an earthquake last week, according to a government

document seen by Reuters on Monday, before it can restart its

underground operations there.

The El Teniente mine produced 356,000 tons of copper last

year.

"Traders are now starting to re-export some of the record

shipments they brought into the U.S. in a bid to gain from the

higher prices. These disruptions to trade flows are

overshadowing supply concerns in Chile," ANZ analysts said in a

note on Wednesday.

Copper stored in LME-registered warehouses rose by 14,275 tons to a total of 153,850 tons, marking a gain

of 70% since late June.

Last week, surprisingly weak U.S. jobs data triggered bets

on Federal Reserve interest rate cuts from September that caused

the dollar to weaken and made greenback-priced metals, such as

copper, cheaper for holders of other currencies.

Among other metals in London, aluminium rose 0.5% to

$2,574.5 a ton, nickel advanced 0.5% to $15,100, lead

gained 0.7% to $1,986.5, tin rose 0.4% to

$33,385, and zinc climbed 0.5% to $2,771.5.

SHFE aluminium was up 0.8% at 20,650 yuan,

nickel was up 0.2% at 121,070 yuan, lead

gained 0.8% to 16,850 yuan, tin climbed 0.3% to 266,930

yuan, and zinc was up 0.3% at 22,370 yuan.

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($1 = 7.1889 Chinese yuan)