Copper Wire Rod Exports to Rebound in August as Premiums Drop and Demand Recovers

Codelco and Pucobre have formally established a joint venture to develop the Tovaku copper project in Chile’s Antofagasta region, marking a new development milestone in a partnership that dates back to 2009. Under the ownership structure, Pucobre will hold a 60% stake and Codelco 40%. The newly formed company will now advance the project through its next development stages, giving the partners a clearer route toward construction and eventual production.​ Following formation of the joint venture, Codelco and Pucobre plan to move ahead with detailed engineering, environmental and sectoral permitting, early works and procurement of major equipment. The work programme also includes field activities, critical permitting and engineering required to prepare the project for future construction. The current development roadmap targets production by 2030, with estimated investment of approximately US$870 million.​ Tovaku is planned as an open-pit copper operation with estimated annual production of around 46,000 tonnes of copper cathodes. Codelco said the project contains 633 million tonnes of reserves and has a projected operating life of 21 years. The company also highlighted several technical characteristics, including shallow mineralisation, relatively low acid consumption and the planned use of undesalinated seawater in processing, which could reduce pressure on inland freshwater resources.​ Under the agreed financing structure, Codelco will contribute the mining concessions, while Pucobre will contribute studies already completed and assume responsibility for financing the project’s development and construction stages. This allows Codelco to maintain its 40% participation without making direct capital contributions during these phases, with the funds committed by Pucobre expected to be recovered from future distributions corresponding to Codelco’s share of the project.​ The key new development is the formal constitution of the 60/40 joint venture, which moves Tovaku from the earlier exploration and option-based arrangement into a more advanced project development phase. Pucobre had previously disclosed plans for the project, including an indicative production rate of around 43,000 tonnes of copper per year, meaning the latest announcement should not be presented as the first disclosure of Tovaku itself. The updated development plan now points to 46,000 tonnes per year of copper cathode production from 2030, while estimated investment has increased to around US$870 million, giving the project a more defined development pathway and a clearer potential contribution to Chile’s future copper supply.

Rio2 Limited has received regulatory approval for the modified Environmental Impact Study (MEIA) covering the expansion of its Condestable underground copper mine in Peru, clearing a key regulatory hurdle for the company’s plans to increase mine throughput. The approval was received on August 21 following a 14-month review process involving environmental regulators, local communities and other stakeholders.​ Under the approved MEIA, Condestable’s permitted processing capacity can increase to 10,000 tonnes per day (tpd) from the current 8,400 tpd, representing an increase of about 19%. Rio2 is currently completing engineering studies for both the processing plant and mine and is targeting a final investment decision in H2 2026. The company said detailed engineering is already underway with third-party consultants.​ The environmental approval also covers a new dry-stack tailings facility, with an initial permitted capacity of approximately 43 million tonnes and a design allowing staged expansion to as much as 170 million tonnes. In addition, the MEIA extends Condestable’s environmentally approved mine life by a further 10 years, providing regulatory support for longer-term operations and potential future expansion.​ Rio2 is also evaluating additional sources of ore to support the operation. An ore-sorting pilot programme targeting existing low-grade stockpiles and waste dumps is scheduled to begin in Q4 2026, while underground and surface exploration continues across the Condestable concessions. A surface geophysical survey covering the entire land package has recently been completed, with results currently under analysis.​ The approval removes an important regulatory constraint on Condestable’s planned expansion, although additional copper supply will depend on Rio2 completing engineering work and proceeding with the investment decision. Raising permitted throughput from 8,400 tpd to 10,000 tpd could support higher copper production over the medium term, while the additional 10 years of environmental approval and expanded tailings capacity strengthen the mine’s longer-term operating outlook.