Freeport CEO targets 1Blb US copper surge
Freeport-McMoRan plans to unlock an additional 1Blbpa of copper production from its US assets, tapping into the unique opportunity created by growing global demand and the scarcity of major greenfield projects. The expansion, expected within less than a decade, will stem from three initiatives, chief executive Kathleen Quirk told Mining Journal Intelligence (MJI) in an interview for the forthcoming Leadership Report 2025: Unlocking Growth.[1] The biggest is Freeport's Leach to the Last Drop initiative, which uses new leaching technologies to recover additional copper from its huge stockpiles of previously mined material.
The company plans to increase leaching production from about 200 Mlbpa of copper to 800 Mlbpa using technologies that are currently at an advanced stage of development, Quirk said.
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Freeport is also planning major brownfield expansions of its Bagdad and Safford operations in Arizona. At Bagdad, plans revolve around a new concentrating facility to double capacity, which could be completed within 3-4 years of a final investment decision. At Safford, the company plans to more than double production from about 300 Mlbpa within the next 10 years through an expansion of the Safford/Lone Star district.
"Between those three initiatives, we're looking at 1Blbpa of new copper production in the US, where we're currently producing just over 1.4Blbpa. It's a significant opportunity in a market without big projects," Quirk told MJI. The company is also seeking to deploy new technology to lower production costs in the US, which could make additional resources economically viable in the country, she added.
Positive backdrop
The CEO's comments come against a positive backdrop for US copper producers.
Global copper demand is expected to rise in the coming years, in part driven by growth in electrification and renewable energy, while US President Donald Trump is pushing to expand domestic mining production (Quirk previously described Freeport as the 'poster child'[2] for what the administration is trying to achieve). While the outlook for copper demand is strong, supply remains constrained, presenting a unique opportunity for producers with brownfield growth potential. "Historically, there have been many copper projects in the pipeline, and when demand drivers have turned positive, the industry has responded.
But there are fewer and fewer projects," Quirk said. Many undeveloped assets are technically challenging or in places with geopolitical concerns or community issues, she added. "The industry does not have big greenfield growth in the pipeline, which opens up opportunities for companies like ours to expand existing operations."
The full interview with Kathleen Quirk, including comments on M&A and growth opportunities outside the US, will be published in MJI's Leadership Report 2025: Unlocking Growth later in July.
The report features interviews with executives of more than 15 mining companies and results of an industrywide survey on the growth theme.
Premium subscribers receive the report for free as part of MJI's full suite of research reports.
References
- ^ Leadership Report 2025: Unlocking Growth. (www.mining-journal.com)
- ^ 'poster child' (www.mining-journal.com)