Codelco and Anglo American are advancing a joint copper project in Chile using a dual-track approval strategy, aiming to improve efficiency and unlock long-term production potential.

On April 16 (Thursday), a document showed that Codelco and global miner Anglo American plan to separately submit environmental study reports to regulators for their proposed shared Andina-Los Bronces copper mine in Chile, using what they called an "unprecedented" dual-track model to streamline the approval process. The document showed that the two companies plan to submit two essentially identical applications in December for a copper mine to be jointly operated by both parties. Chile is currently the world's largest copper-producing country. Against the backdrop of an anticipated tightening in global copper supply, this model could serve as a blueprint for other major miners looking to share infrastructure and operations to boost production. The model would also allow Codelco and Anglo American to move faster and reduce risks. Codelco and Anglo American finalised this cooperation agreement in September 2025, planning to increase annual copper production by approximately 120,000 mt from 2030 to 2051, creating at least $5 billion in pre-tax value. ***"Mirror" Applications*** In areas where operations will overlap, the two companies proposed adopting identical environmental protection measures for each miner. A presentation document showed that they considered a single application submission legally unfeasible, as the Chilean constitution requires Codelco to retain ownership of its mining concessions. The two companies had also considered submitting three applications: one from each miner to extend the life of their respective mines, and a third from a joint entity responsible for operating the shared project. They ruled out this option, as it would require the enterprises to relinquish their existing open-pit mine environmental protection permits to make way for the merged mine. This "dual-track structure" also makes it possible for the two mines to resume independent operations in the future. ***On-Site Operations*** The documents detailed the plan to create a single mine site from the existing operations. Anglo American's Los Bronces mine is adjacent to Codelco's Andina mine. The two companies' plans showed that the rock barrier between them will also be mined, forming a single operating pit while keeping the project essentially within the existing footprint of the mines. A document showed that ore extracted from the shared mine site will be alternately sent to the Los Bronces and Andina processing plants, while waste rock will be dumped in each company's respective waste rock piles. To operate the two mines as an integrated system, modifications to waste rock piles, tailings facilities, pipelines, and supporting infrastructure are still required. The two companies stated that shared infrastructure can avoid redundant construction, reduce freshwater consumption, and alleviate pressure on the surrounding environment. ***Risks of a "Shared" Mine*** The two companies also identified significant risks, such as the need for close coordination with regulators, which could put pressure on Chile's already slow environmental review system. They emphasised that the project has "a very high level of public attention" and that there is a risk that environmentalists and affected communities may argue that the two reviews obscure the scale of the impacts. The Los Bronces mine has been accused for years of impacting air quality, water use, and glaciers in the high Andes region where it is located. Although Codelco and Anglo American believe the dual-track approach can reduce the risk of impacts being underestimated, they also acknowledged that it could lead to duplication of environmental protection management measures. (Wenhua Consolidated)

SMM Morning Meeting Summary: Overnight, LME copper opened at $12,865/mt, dipping to $12,859/mt early in the session. The price center then gradually shifted upward in a volatile manner, touching a high of $13,133/mt near the end of the session, and ultimately closed at $13,123.5/mt, up 2.07%, with trading volume at 27,000 lots and open interest at 292,000 lots, down 1,540 lots from the previous trading day, indicating bears reducing positions. Overnight, the most-traded SHFE copper 2605 contract opened at 99,760 yuan/mt, touching a low of 99,520 yuan/mt early in the session. Copper prices then gradually shifted upward, reaching 100,940 yuan/mt, before moving sideways and ultimately closing at 100,820 yuan/mt, up 1.67%, with trading volume at 50,000 lots and open interest at 170,000 lots, down 1,518 lots from the previous trading day, indicating bears reducing positions.

SMM Morning Meeting Minutes: Last Friday evening, LME copper opened at $12,744/mt, dipping to $12,642/mt early in the session. The price center then fluctuated upward to a high of $12,928/mt before fluctuating downward to finally close at $12,857/mt, up 1.27%, with trading volume at 22,000 lots and open interest at 293,000 lots, down 4,028 lots from the previous trading day, indicating bears reducing positions. Last Friday evening, the most-traded SHFE copper 2605 contract opened at 99,200 yuan/mt, fluctuated upward early in the session to reach 99,750 yuan/mt, then the price center gradually shifted lower to a low of 99,090 yuan/mt, followed by wild swings before finally closing at 99,310 yuan/mt, up 1.04%, with trading volume at 45,000 lots and open interest at 171,700 lots, down 2,724 lots from the previous trading day, indicating bears reducing positions.

SMM Morning Meeting Summary: Last Friday night, LME copper opened at $12,157.5/mt and dipped to $12,106/mt at the start of the session, then fluctuated upward to $12,246.5/mt. Later, the center of copper prices gradually moved lower and finally closed at $12,141/mt, up 0.17%, with trading volume at 15,500 lots and open interest at 295,000 lots, down 991 lots from the previous trading day. Last Friday night, the most-traded SHFE copper 2605 contract opened at 95,080 yuan/mt and touched a low of 95,040 yuan/mt at the start of the session, then the center of copper prices gradually moved higher to 95,880 yuan/mt. Later, it fluctuated downward and finally closed at 95,490 yuan/mt, down 0.22%, with trading volume at 42,900 lots and open interest at 185,500 lots, down 1,897 lots from the previous trading day, mainly due to long liquidation.

Freeport-McMoRan (NYSE: FCX) has begun the environmental permitting process for a $7.5 billion expansion of its majority owned El Abra copper mine in ChileThe project, owned 51% by Freeport and 49% by state-owned Codelco, is the largest mining investment submitted to Chile’s Environmental Assessment Service (SEA) since at least 1992. The plan includes a new concentrator, a desalination plant, a water pumping system, expanded mine infrastructure and continued leaching. Production is expected to begin in 2033 if regulators approve the project, Diario Financiero reported.