The company posted pre-tax profit of $1.97 billion for the first six months of the year, a substantial increase from just $429 million in the same period a year earlier. The improvement was driven almost entirely by favourable copper prices, which climbed to a realised average of 653.2 cents per pound, up from 461.7 cents per pound during the first half of 2025.

Yet beneath those headline earnings, Codelco’s operational picture told a more complicated story.

Production Declines Across Key Mines

Codelco copper production from its own operations fell to 564,000 metric tons in the first half, down from 634,000 tons a year earlier. That 11% drop was the result of disruptions and setbacks at several major assets.

At El Teniente, one of the world’s largest underground copper mines, an accident in July led to operational restrictions that curtailed output. Development of the Andes Norte section at El Teniente was paused after the company encountered higher-than-expected seismic risks. Despite the delay, Codelco still expects production from Andes Norte to begin in 2029.

Lower output at Chuquicamata and weaker ore grades at Ministro Hales further weighed on overall production. These challenges, compounded across the portfolio, made it increasingly difficult for the company to stay on track with its previously stated 2026 production target, which Reuters has reported Codelco may struggle to achieve.

Direct cash costs rose 7% to 231.6 cents per pound, reflecting the operational difficulties and the effect of processing lower-grade material at certain operations. The combination of falling output and climbing costs underscored the scale of the challenge facing Codelco’s management, even as copper prices provided a financial cushion.

CEO Focuses on Restoring Productivity

Codelco chief executive Jorge Gomez has made restoring productivity a central priority. With copper prices buoyant but production volumes moving in the wrong direction, the emphasis on getting more out of existing operations has become urgent.

The contrast between Codelco’s financial results and its operational performance highlights a tension familiar to many large-scale Chile mining operations. Strong commodity prices can mask underlying production weaknesses, but those weaknesses eventually demand attention — particularly for a state miner that contributes directly to government revenues.

For now, the elevated copper prices have given Codelco breathing room. Whether the company can reverse the decline in Codelco copper production while managing costs at mines like El Teniente, Chuquicamata and Ministro Hales will be a defining test in the months ahead. The direct cash costs trajectory and the timeline for Andes Norte remain closely watched indicators of whether the miner can deliver on its stated objectives.

The declaration establishes a cooperation framework rather than committing to specific mine developments or production targets. It signals an intent among the four countries to coordinate more closely on geological information sharing, mining policies, regulatory standards and sector oversight. Together, the signatories hold substantial reserves of both copper and lithium, making their strategic minerals cooperation a matter of considerable interest to downstream industries worldwide.

Scope of the Regional Mining Cooperation Framework

Under the joint declaration, the four nations agreed to develop initiatives spanning geological research, specialised training, technology transfer, innovation and the development of human capital within their respective mining sectors. The framework also covers alignment on regulatory approaches and the exchange of geological data, which could improve exploration efficiency and policy consistency across the region.

The countries further agreed to pursue technical and financial support from multilateral institutions to advance strategic-mineral projects within South America. This aspect of the cooperation framework reflects a recognition that large-scale mineral development often requires external financing alongside domestic investment.

It is important to note that this declaration represents a statement of shared intent. No individual mining projects, investment commitments or production volumes were announced as part of the agreement. The strategic minerals cooperation outlined in the pact is designed to lay groundwork for future coordination rather than deliver immediate changes to output or supply.

Strengthening South America’s Position in Global Supply Chains

The agreement comes at a time when global demand for copper and lithium continues to grow, driven by the energy transition and expanding electrification. South America already accounts for a significant share of world copper production, while Argentina, Bolivia and Chile together form a major part of the so-called lithium triangle.

By aligning their mining policies and pooling geological expertise, the four countries aim to attract greater investment into regional supply chains and present a more unified offering to international buyers and partners. The declaration positions South America as a region committed to maintaining its role in supplying strategic minerals to global markets.

For the mining industry, the agreement underscores the growing importance of regional coordination in a sector where supply security and regulatory predictability are increasingly valued by investors and offtakers alike. Whether this strategic minerals cooperation translates into tangible project-level outcomes will depend on the follow-through from each signatory government and the engagement of multilateral institutions in the months ahead.

Copper Recovery from Legacy Mine Water Enters Pilot Stage

Starting in August 2026, SiTration and BHP are running an initial small-scale pilot plant at the historic Copper Cities site in Arizona’s Globe-Miami mining district. The first deployment will validate continuous and autonomous copper production from legacy mining water over a one-month period.

The Copper Cities site produced almost 400 000 tonnes of copper between the 1950s and 1980s. SiTration and BHP now see an opportunity to recover value from legacy mining assets like this one, with the potential to create new pathways for domestic US copper supply.

Prior to the pilot, SiTration conducted bench-scale testing using real feedstock from the Copper Cities site. Those tests demonstrated London Metal Exchange Grade A copper production without using any chemicals or generating new waste products. Preliminary energy consumption was reported below 4 kWh/kg to recover copper from the diluted legacy mine water.

BHP and SiTration Test Recovery Technology

The pilot deployments are designed to evaluate SiTration’s mining technology under real operating conditions. BHP legacy assets general manager Kevin Ramsay said the Copper Cities pilot provides an opportunity to assess an innovative approach to copper recovery from mining-impacted water while generating valuable technical and operational insights.

“We are excited to work with SiTration to test this technology under real operating conditions and better understand its potential to recover value from legacy mining water sources,” Ramsay said.

SiTration CEO and co-founder Brendan Smith said the American Southwest region houses billions of dollars’ worth of copper in legacy mining water. “With global copper demand projected to grow by 70% by 2050, tapping into these resources is an excellent pathway to bolster domestic supply chains while producing copper at the bottom of the global cost curve,” Smith added.

Larger Pilot Targets Copper Cathode Production

Following the initial one-month trial, a larger deployment is planned for later in 2026. That larger pilot is targeting production of up to two tonnes of commercial-scale copper cathodes over a two-month period.

The planned progression from small-scale validation to a larger trial reflects the companies’ interest in understanding how the copper recovery from legacy mine water approach performs at increasing scale. Should the pilots deliver positive results, the technology could offer a potential new route to recovering copper from legacy mining assets across the region.

Both deployments remain at the pilot and testing stage. The results will inform whether the technology can move toward broader application for copper recovery from legacy mine water sources.

The two companies have signed a shareholders’ agreement to combine their strengths across copper and other critical minerals. Under the proposed structure, Maaden would hold 51% ownership and Aramco 49%.

Aramco and Maaden Advance Mining Venture

The planned mining joint venture will target exploration across Zone-4, known as the Transition Zone, within the Arabian Platform. The exploration area spans approximately 182,000 square kilometres, covering nearly 10% of Saudi Arabia’s total land area.

Maaden Executive Vice President for Exploration Darryl Clark said the company is focused on unlocking the Kingdom’s mineral potential through targeted exploration. “This joint venture would take that ambition into a new area,” Clark said. “By combining Ma’aden’s exploration and development expertise with Aramco’s extraordinary knowledge of the Arabian Platform, we would have an opportunity to move faster, explore smarter, and create new opportunities to discover the minerals that will power the energy transition.”

Aramco Vice President of Transition Minerals Saleh M Al Saleh pointed to the company’s extensive geological dataset, describing it as the largest amount of geological and geophysical data ever acquired for a single basin in the Kingdom. “This partnership intends to leverage this legacy information to find minerals in the JV area within the basin. Ma’aden’s expertise, our people, high-performance computing, and AI are expected to play a pivotal role in accelerating the discovery of key transition minerals at low cost,” Al Saleh said.

Joint Venture Targets Mineral Exploration and Hard Rock Mining

Copper will be the primary focus for the Saudi copper mining venture. Aramco noted that copper makes up over 20% of the US$1.2 trillion mined metals market, reflecting its importance as a key material in the energy transition.

Maaden already holds a copper-focused joint venture with Barrick Mining at the Jabal Sayid copper operation, located 350 kilometres northeast of Jeddah. That operation shipped its first copper concentrate in December 2015 and began commercial production in July 2016. In 2023, Barrick signed additional joint venture agreements with Maaden for two prospective exploration projects, Jabal Sayid South and Umm Ad Damar, expanding the mineral exploration footprint in Saudi Arabia mining.

Saudi Partnership Supports Mining Sector Expansion

The Saudi copper mining venture aligns with Saudi Arabia’s Vision 2030, which recognises mining as a key pillar of the Kingdom’s national economy. The strategy focuses on developing a sustainable mining industry and mineral value chains by leveraging vast resources, local demand and access to global markets.

At the time of the Barrick agreements in 2023, the companies noted a commitment to realising the Saudi Arabian Government’s vision of growing a diversified mining industry. The latest move by Aramco and Maaden to pursue hard rock mining across such a large area reflects continued momentum in Saudi Arabia mining development and mineral exploration.

The proceeds of the loan will be used for general working capital, according to Korea Eximbank. In return, Glencore has agreed to supply copper to Korean companies during the loan period, though the bank did not disclose specific volumes or further details of the supply arrangement.

Korea Eximbank Links $1B Financing to Copper Supply

The financing reflects South Korea’s broader push to strengthen its copper supply chain at a time of rising global demand for the metal. South Korea is heavily reliant on imports of copper, which is used across power grids, data centres and renewable energy equipment. Electricity, telecommunications, construction, machinery and transportation industries all depend on the material.

An Eximbank official said in the statement that the financing and partnership with a company that has established a unique position in the global commodities market would help secure a stable supply of key materials for Korea’s advanced-industry supply chains. The bank framed the deal as a form of economic-security and supply-chain policy financing.

Glencore to Supply Copper to Korean Companies

Glencore is one of the world’s biggest copper miners and commodity traders, operating mines and smelting facilities that produce copper, zinc and nickel. Its trading arm gives the company the ability to source and deliver physical commodities at scale, which underpins its agreement to supply copper to Korean firms under this financing arrangement.

The company did not immediately respond to a request for comment outside of regular business hours.

Copper demand has been boosted by the rapid expansion of AI data centres and rising electricity consumption worldwide. The metal has jumped around 15% this year and is trading near a record high, driven by its essential role in power infrastructure and digital connectivity.

Financing Targets Strategic Copper Supply Security

For South Korea, the deal addresses a clear vulnerability. The country’s advanced industries require large and reliable volumes of copper, yet it produces very little domestically. Strengthening the copper supply base through financing arrangements with major global producers is a practical route to reducing procurement risk.

Korea Eximbank’s decision to link working-capital financing to a copper supply commitment from Glencore shows how resource-importing nations are using financial tools to lock in access to critical materials. The copper supply chain has become a strategic concern for countries investing heavily in AI infrastructure, energy transition and grid modernisation.

The arrangement positions Korea Eximbank as an active player in securing mineral supply chains, while giving Glencore access to substantial working capital to support its global operations.

The EPC agreement was signed with Venturex Sulphur Springs, a wholly owned subsidiary of Develop Global. Formerly known as the Sulphur Springs Project, the Yitirrti Project is now advancing steadily toward its first concentrate delivery, targeted for the June quarter of 2028.

GR Engineering Secures $275M Yitirrti EPC Contract

GR Engineering was initially named the preferred contractor for EPC work at the Yitirrti Project in June 2026. Early works and the ordering of long-lead items had already begun prior to the formal execution of the contract.

GR Engineering Managing Director Tony Patrizi said the company is pleased to be “working again with the Develop team.” He added that the project “further enhances GR Engineering’s reputation as the leading minerals processing EPC contractor in Australia across a broad range of commodities.”

Develop Global Managing Director Bill Beament described the awarding of the EPC contract to GR Engineering as “another major milestone” for the company’s path to production and cash flow at the Yitirrti Project by mid-2028.

Beament noted that GR Engineering “is the leader in its field and has done an outstanding job at Woodlawn, where it refurbished and upgraded the processing plant.” He said the Woodlawn plant “has already achieved steady-state throughput rates and is performing extremely well, particularly given the short time it has been operating.”

Yitirrti Processing Plant Targets 1.5Mtpa Capacity

The total capital cost for the Yitirrti Copper-Silver-Zinc Project is estimated at $450 million, which includes the processing plant. The EPC contract itself is valued separately at $275 million.

The processing plant has a nameplate annual capacity of 1.5 million tonnes and will produce separate copper-silver and zinc concentrates. Develop Global has organised offtake agreements with Trafigura covering both copper and zinc concentrates sourced from the Yitirrti Project.

Beament confirmed that the project is funded and offtake contracts are in place. “Construction and underground development at Yitirrti is already well advanced and long-lead items have been secured,” he said.

Construction Progresses Toward First Concentrate in 2028

Construction at the Yitirrti Project is progressing on schedule. Access roads and earthworks are advancing, while underground development is running ahead of the construction schedule.

The first concentrate from the project is expected to be delivered in the June quarter of 2028, marking the transition from construction into production for the copper-silver-zinc operation in Western Australia.

With the EPC contract now formally executed, GR Engineering will take on the central role of delivering the processing plant and associated infrastructure at the Yitirrti Project site.

The agreements were signed during a summit between South Korean President Lee Jae-myung and Chilean President Jose Antonio Kast in Santiago on 30 July. The South Korea Chile Mineral Partnership establishes a long-term framework for cooperation spanning mineral exploration, processing, technology development and supply chain resilience.

Mineral Cooperation Expands Across the Lithium and Copper Value Chain

Under the mineral resources MOU, the two governments agreed to elevate their Joint Committee on Mineral Resources Partnership to the ministerial level while creating a new director-general-level working channel to improve coordination.

The enhanced South Korea Chile Mineral Partnership will support collaboration throughout the lithium and copper value chain, covering exploration, mine development, mineral processing, technology cooperation and workforce exchanges.

According to the South Korean government, the agreement is expected to improve the stability of annual critical mineral imports from Chile, valued at approximately US$2.1 billion. The framework is also intended to provide institutional support for Korean mining, battery and manufacturing companies seeking to expand their operations in Chile.

Investment Agreements Support Critical Minerals Industries

Alongside the mineral partnership, both countries signed an investment cooperation MOU designed to encourage greater two-way investment, facilitate business delegations and improve the exchange of investment information.

The initiative is expected to strengthen cooperation in industries that rely heavily on secure supplies of critical minerals, including battery manufacturing, semiconductors and advanced industrial technologies.

The South Korea Chile Mineral Partnership also complements broader efforts by both governments to build more resilient supply chains for minerals that are increasingly important to the global energy transition.

Alongside the South Korea Chile Mineral Partnership, South Korea and Chile signed additional memorandums of understanding covering investment, public safety, maritime safety and polar research, although the mineral partnership remains the key agreement supporting critical minerals cooperation.

Under the terms of the agreement, shareholders of Carnaby Resources will receive 0.0682 shares in the acquiring company for every share they currently hold. This exchange ratio equates to an offer price of $0.77 per share. The valuation represents a 60.4 percent premium over the previous closing price of $0.48, as well as a 31.4 percent premium compared to the 30-day average price.

The board of directors at Carnaby Resources has given unanimous backing to the Evolution Mining acquisition. Furthermore, the directors intend to vote their combined 7.3 percent stake in favor of the arrangement. To facilitate the integration of the new assets, existing tolling and offtake agreements between Carnaby and Glencore will be terminated.

Strategic Integration and Resource Expansion

The Greater Duchess site is located in the Cloncurry region of Queensland, situated in close proximity to the existing Ernest Henry Operations. The project contains a mineral resource estimated at 29.2 million tonnes at 1.3 percent copper and 0.2 grams per tonne gold. Additionally, it holds an ore reserve of 8.4 million tonnes at 1.7 percent copper and 0.3 grams per tonne gold.

Infrastructure and Production Synergies

Company leadership views this acquisition as a clear pathway to increase copper output by roughly 10,000 tonnes annually. This production boost will be achieved by leveraging the spare mill capacity and established infrastructure at the Ernest Henry site.

Chief Executive Officer Lawrie Conway stated that the purchase strengthens the company’s footprint in the Cloncurry region. Conway noted that the close proximity of the Greater Duchess site offers a practical opportunity to raise copper production at Ernest Henry by utilizing latent mill capacity and current infrastructure. He further explained that combining the Bert project at Ernest Henry with Greater Duchess improves the organization’s capacity to maximize production and growth.

Approvals and Future Steps

Moving forward, the company plans to finalize an updated Feasibility Study for the Greater Duchess project within the next 12 to 18 months. This study will fully integrate the new asset into the broader mine plan for Ernest Henry.

The completion of this Evolution Mining acquisition remains subject to several standard conditions. These include:

• Shareholder approval
• Regulatory clearance, including merger clearance from the ACCC
• Final Court approval

The transaction is currently projected to close in mid-November 2026. The acquiring entity continues to operate as a major gold and copper producer, managing six mines across Australia and Canada, including Cowal, Ernest Henry, Mt Rawdon, Mungari, Red Lake, and an 80 percent interest in Northparkes.

“It’s highly concentrated and we need to expand the number of places that are buying copper from us,” Pérez Mackenna said, underscoring the country’s intent to reduce its heavy reliance on a single dominant buyer.

Moving from Concentrate to Refined Copper

A central part of Chile’s copper investment strategy involves a fundamental shift in how the country exports the metal. Rather than continuing to ship raw copper concentrate, Chile intends to invest heavily in refining capacity so it can export finished, refined copper, a move that would add value domestically while also making Chilean supply more attractive to a wider range of international buyers.

Pérez Mackenna acknowledged that China would likely remain a key market. “Probably China will continue to be a very significant client for our copper because of the industrial footprint they have,” he said. However, he pointed to the global race to build data centers as a driver that would make copper demand more widespread, extending well beyond China’s industrial base.

Why Copper Demand Is Surging Globally

The urgency behind Chile’s copper investment comes against the backdrop of intensifying global competition for the metal. Copper is a critical material across a wide range of industries — from power grids and electric vehicles to the data centers that are fueling the artificial intelligence boom. Countries around the world are racing to secure reliable copper supplies, making diversification of export markets both strategically and economically important for Chile.

A Shifting Landscape in China’s Copper Market

China has long been the dominant buyer of Chilean copper, historically absorbing more than half of the country’s copper exports. However, the dynamics of that relationship have grown increasingly complex. Mine disruptions have constrained global copper supplies in recent years, while a rapid expansion of China’s smelting industry has intensified competition for copper concentrate, making annual supply negotiations more difficult.

This evolving market environment has already led Chilean producer Antofagasta to propose linking annual copper concentrate contracts to spot-market indexes rather than fixed treatment and refining charges a proposal that would challenge a pricing structure that has underpinned the global copper industry for decades.

New Trade Agreements on the Horizon

In parallel with its copper investment ambitions, Chile has also begun negotiating a free trade agreement with India. The minister said the country would further strengthen existing trade deals with its regional neighbors as part of a broader strategy to open new export markets and reduce dependence on any single buyer.

The combination of major domestic copper investment, a shift toward refined copper exports, and the pursuit of new trade agreements reflects Chile’s comprehensive approach to reshaping its role in the global copper supply chain over the coming decade.

The Chile mining fleet supplied to Mantoverde includes ultra-large hydraulic excavators and mining trucks designed to enhance productivity and operational performance. The deployment also expands Hitachi Construction Machinery’s presence in Chile’s mining sector while strengthening its collaboration with Capstone Copper.

New Fleet to Support Mantoverde Operations

The new Chile mining fleet will be used at the Mantoverde mine to support ongoing copper and gold production. The equipment has been selected to meet the operational requirements of the site while improving loading and haulage efficiency across the mining operation.

In addition to supplying the fleet, Hitachi Construction Machinery will provide aftermarket support through ZAMine Service Chile. The service agreement covers maintenance, spare parts and technical assistance to help maximise equipment availability throughout its operating life.

Deployment Reflects Continued Investment in Chile

The addition of a second Chile mining fleet highlights the continued deployment of advanced mining equipment across Chile’s copper industry. As one of the world’s leading copper-producing countries, Chile continues to see investment in modern fleet solutions that improve operational performance at large-scale mines.

For Hitachi Construction Machinery, the Mantoverde deployment builds on its growing presence in the country’s mining market and expands its portfolio of fleet installations in Chile.

Long-Term Service Supports Fleet Performance

Beyond equipment delivery, the project includes ongoing service and technical support to ensure reliable fleet performance at the Mantoverde mine. Comprehensive maintenance and parts availability are expected to help minimise downtime and support efficient mining operations.

The latest Chile mining fleet deployment reinforces Hitachi Construction Machinery’s role in supplying mining equipment for large-scale operations while supporting Capstone Copper’s production activities at Mantoverde.