Codelco, Glencore Move Forward with Large-Scale Copper Smelter Project in Chile
Copper | 2025-12-04 10:50:43
Glencore will now begin a pre-feasibility study, with both parties targeting a finalized agreement in the first half of next year.
By Paul Ploumis
SEATTLE (Scrap Monster): Chile’s state-owned copper giant Codelco has signed a memorandum of understanding with Glencore to move forward with a new large-scale copper smelter in the country, marking a significant step for the nation’s mining and processing capabilities.
Under the agreement, Codelco will supply Glencore with up to 800,000 metric tonnes of copper concentrate annually. In return, Glencore will spearhead the project’s technical and operational development, including design, financing, construction, operation, and maintenance of the facility. The proposed plant is expected to handle 1.5 million dry metric tonnes per year, adhering to stringent environmental standards. Codelco reiterated that it will not directly fund or construct the smelter.
Codelco chair Máximo Pacheco said the partnership supports Chile’s long-term sustainability ambitions and strengthens its role in the growing global market for critical minerals.
Glencore will now begin a pre-feasibility study, with both parties targeting a finalized agreement in the first half of next year. If approved, construction would begin in 2030, with production expected between 2032 and 2033. Glencore CEO Gary Nagle said the selection underscores the company’s longstanding commitment to Chile’s mining industry.
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Will this partnership influence future collaborations between state-owned and private mining companies?
Frequently Asked Questions
- What is the purpose of the Codelco-Glencore partnership?
To develop a large-scale copper smelter in Chile, strengthening the country’s mining capacity and supporting sustainability goals.
- How much copper concentrate will Codelco supply annually?
Up to 800,000 metric tonnes per year.
- When is production expected to start?
Production is expected between 2032 and 2033.
