Copper Supply Faces 25% Deficit by 2035 Amid Project Delays and Declining Ore Grades

MMG Limited, a subsidiary controlled by state-owned China Minmetals Corp., has completed the $1.875 billion acquisition of the Khoemacau copper mine in Botswana. Situated in the Kalahari Copper Belt, the asset features copper reserves exceeding 6 million metric tons and mining rights spanning over 4,000 square kilometers. The project marks the largest overseas copper mine acquisition by a Chinese company since 2018 and stands as the single largest investment by a Chinese enterprise in Botswana to date. First commissioned in June 2021, Khoemacau currently targets an annual production baseline of 60,000 tons of copper and 1.6 million ounces of silver in concentrate, with near-term expansion plans positioned to scale output toward 130,000–155,000 tons of copper annually. China currently maintains a domestic copper resource dependency rate exceeding 70%, importing over 60% of its copper ore from Chile and Peru. This strategic transaction diversifies Chinese supply channels beyond South America, bolstering raw material security amidst accelerating demand driven by global decarbonization, electric vehicles, power grid infrastructure, and emerging clean technologies.

Santacruz Silver reported Q2 2026 production of 1.57 million oz of silver, 23,240 mt of zinc, 3,165 mt of lead and 337 mt of copper across its operations in Bolivia and Mexico. This was equivalent to 2.81 million silver-equivalent oz, or 59,680 zinc-equivalent mt. Silver production at the Bolivar mine increased 32% QoQ.