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.

Chile’s state-owned copper giant Codelco has reported a sharp drop in production to start this year, leading copper industry analysts and former Codelco executives to question its reports of surging output at the end of 2025 that helped the company meet its annual production target.

Codelco has signed an agreement with Microsoft to explore the use of artificial intelligence, advanced analytics and automation in mining operations. The partnership aims to improve operational efficiency, enhance decision-making and strengthen cybersecurity systems. Analysts say digital technologies are increasingly transforming traditional mining operations.

Codelco and miner Rio Tinto signed a memorandum of understanding on Thursday to explore development and investment opportunities.

[CFO of Codelco: The company will focus on public-private partnerships to increase copper and lithium production] The CFO of Codelco stated that the company will focus on public-private partnerships to increase copper and lithium production. Agreements with private companies will bring additional financing and resources to diversify risks. The partnerships aim to expand production sources but will not include current mining projects.

[Codelco: Codelco to Focus on Public-Private Partnerships to Boost Copper and Lithium Production] Recently, the CFO of Codelco stated that the company will focus on public-private partnerships to increase copper and lithium production. Agreements with private companies will bring additional financing and resources to diversify risks. The partnerships aim to expand production sources but will not include current mining projects.

Codelco expected the production in Q1 this year to be slightly higher than the same period in 2024, maintaining the production guidance even after the nationwide power outage in Chile in February affected the output.

【Chile's Codelco Shifts More Spot Copper Sales to the US】On Friday, March 28, Ruben Alvarado, CEO of Codelco, the world's largest copper producer, stated that the company had already shifted some spot sales to the US.

According to SMM, Ruben Alvarado, CEO of Codelco, the world's largest copper producer, stated that the company has already shifted some spot sales to the US. Alvarado also mentioned that he sees no reason for copper to be subject to sanctions or tariffs, and expects the long-term fundamentals of copper demand to remain strong despite short-term fluctuations. "In 2024, our production successfully emerged from the trough," the company stated in its performance report, adding that the company has reduced costs and addressed some long-standing issues at key plants. The company also indicated that it expects the Andesita and Andesnorth projects to commence production this year.

According to SMM, Codelco announced on its website that it and Rio Tinto have entered into a new cooperation agreement aimed at accelerating the potential development of the mining areas surrounding Nuevo Cobre in the Atacama region of Chile. Nuevo Cobre is a joint venture between Rio Tinto (57.74%) and Codelco (42.26%), established in 2023, with the objective of exploring and developing mineral resources located 10 kilometers southeast of the Potrerillos smelter. San Antonio, a mining company under Codelco, is adjacent to Nuevo Cobre. The geological potential of the area and the proximity of the two projects provide opportunities for establishing a mining district. Through this agreement, both parties will collaborate to assess opportunities, identify synergies, and mitigate risks.