Alchemy Resources Starts Drilling Copper-Gold Targets at Yellow Mountain

Freeport-McMoRan Chief Executive Officer Kathleen Quirk has indicated that the company expects to move forward with the proposed expansion of its Bagdad copper mine in Arizona, marking a stronger commitment to the project ahead of a formal investment decision. Speaking at the Jefferies Global Industrials Conference on September 10, Quirk said the project still requires input from Freeport's board but that she expects the company will proceed. She described the expansion as a roughly three-year construction project and noted that no major permitting hurdles are expected. Freeport's latest project estimates put capital expenditure for the Bagdad expansion at approximately US$4.5 billion, around 30% above the previous US$3.5 billion estimate, reflecting cost escalation, scope changes and additional engineering. The project would more than double concentrator capacity at Bagdad and is expected to add approximately 200–250 million lb, or around 91,000–113,000 tonnes, of copper production annually, alongside an additional 10–12 million lb of molybdenum. Bagdad currently has a reserve life exceeding 80 years. Freeport's Q2 2026 regulatory filing had described the project as being prepared for a potential investment decision during the second half of 2026. The latest comments therefore represent a more positive signal from management on the likelihood of development, although formal board approval has not yet been announced. A decision to proceed with Bagdad would represent one of Freeport's most significant near-term copper growth investments in the US. The potential addition of more than 90,000 tonnes per year of copper would materially increase Freeport's US output, although first production would remain several years away given the expected construction period. Attention will now turn to formal board approval and a final investment decision.

According to foreign media reports citing data from the Chilean Copper Commission (Cochilco), Chile's copper production fell 9.4% year on year in July 2026, as output declined sharply at several major operations in the world's largest copper-producing country. Copper production at state-owned Codelco fell 5% year on year to 112,800 tonnes in July, extending a period of weaker output for the company amid operational challenges at key mines. Production at BHP-controlled Escondida, the world's largest copper mine, dropped more sharply, falling 22.1% year on year to 89,400 tonnes. In contrast, output at Collahuasi, jointly owned by Anglo American and Glencore, increased 12.3% year on year to 38,400 tonnes. Chile's National Statistics Institute (INE) separately reported mine copper production of 403,424 tonnes in July. The country's Mining Production Index fell 7.2% year on year, while metallic mining activity declined 10.7%, mainly due to lower copper extraction and processing. Foreign media reports also cited severe weather in northern Chile and maintenance at major operations as factors weighing on July production. Cochilco currently forecasts Chilean copper production at approximately 5.27 million tonnes in 2026, down 2.6% year on year, before recovering 5.2% to around 5.55 million tonnes in 2027. The sharp July decline highlights continued pressure on Chilean mine supply. The 22.1% year-on-year drop at Escondida is particularly significant given the mine's scale, while lower Codelco production further weighs on national output. Although Collahuasi recorded higher production, the increase was insufficient to offset weakness elsewhere. A recovery in major operations during the remainder of the year will be important if Chile is to limit the full-year decline projected by Cochilco.

Zambia’s refined copper exports rose 7.4% YoY to 446.1 kt in H1 2026, far outpacing the 0.45% increase in national copper production to 447.2 kt. Export growth was concentrated in June, while mine gains at Kansanshi, Sentinel and Lumwana were partly offset by weaker output elsewhere. The data show stronger export flows, but underlying production growth remains modest relative to Zambia’s 3 Mt target for 2031.