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Codelco, Pucobre Secure Approval for $870M Tovaku Copper Mine in Chile
Chile has approved the environmental assessment for the $870 million Tovaku copper project, advancing plans for a new mine expected to produce 46,000 tonnes of copper cathodes annually. Construction is targeted for 2027, with production planned around 2030.
By Paul Ploumis | Published November 10, 2026
Key Points
- Environmental approval: Chile's Antofagasta environmental commission approved Tovaku on October 23, 2026.
- Production target: 46,000 tonnes of copper cathodes annually over a proposed 21-year operating life.
- Development schedule: Construction is planned for the second half of 2027, with first production targeted around 2030.
SEATTLE (Scrap Monster): Chile's $870 million Tovaku copper project, jointly developed by state-owned Codelco and private mining company Pucobre, has secured a major environmental approval, allowing the partners to advance development preparations.
The Antofagasta Environmental Evaluation Commission approved the project on October 23, 2026. Chile's Environmental Assessment Service (SEA) subsequently highlighted the decision in its November 4 report on approved investment projects.
Located approximately 70 kilometres east of Tocopilla in northern Chile, the proposed open-pit mine is designed to produce 46,000 tonnes of high-purity copper cathodes annually over an estimated 21-year operating life.
Construction Planned for 2027 Under Codelco-Pucobre Partnership
The project will be developed by Minera Puntilla, a joint venture in which Pucobre holds a 60% interest and Codelco owns the remaining 40%.
The companies have worked together on exploration and technical studies since 2009, formalizing their development partnership in August 2026.
Construction is expected to begin in the second half of 2027 and take approximately three years. Employment could reach 984 workers during peak construction, with around 700 workers expected during operations.
The environmental clearance represents a significant milestone, although additional permits, engineering work and development preparations remain necessary before construction can proceed.
SCRAPMONSTER EDGE | COPPER SUPPLY OUTLOOK
New Copper Capacity Is Still Years Away
Tovaku's planned 46,000 tonnes of annual cathode output would add to Chile's refined copper supply, but not immediately. Construction remains ahead, and the current development schedule targets production around 2030.
Industry takeaway: For copper buyers, recyclers and processors, the project is a longer-term supply development rather than near-term market relief. Permitting, construction progress and commissioning will determine when the planned output becomes available.
Solar Power and Seawater Systems Form Key Project Components
Tovaku will use conventional open-pit mining followed by crushing, leaching, solvent extraction and electrowinning (SX/EW) to produce copper cathodes.
The development includes a 193-megawatt solar installation with approximately 336,600 photovoltaic panels and battery storage.
Water infrastructure will include a 72.5-kilometre seawater pipeline and reverse-osmosis treatment facilities. A separate 220-kV transmission line is also planned to connect the operation to Chile's electricity network.
The environmental approval advances the project toward detailed engineering and remaining regulatory authorizations.
Codelco Expands Copper Development Through Partnerships
Tovaku forms part of Codelco's strategy to develop additional copper resources through partnerships with private mining companies.
The state-owned producer is also pursuing a separate exploration partnership with BHP at the Anillo project in Chile's Antofagasta region.
Also Read: Codelco, BHP Sign US$40M Chile Copper Exploration Deal.
Separately, Codelco is working to address production-reporting discrepancies and strengthen internal controls following the disclosure of irregularities in its historical copper output and inventories.
Related: Codelco Discloses Copper Output Irregularities, Warns of $140M Impact.
Copper Market Context: October Prices Weakened Despite Supply Concerns
The development comes after a weaker October for North American copper scrap benchmarks. ScrapMonster's October Scrap Market Scorecard found that four major clean copper grades declined 15¢/lb during the month, despite ongoing attention to Chilean mine-supply risks.
Those North American scrap-price movements are separate from the Tovaku investment decision, but illustrate the difference between current market pricing and longer-term mine supply expectations.
Sources: Chile's Environmental Assessment Service, November 4, 2026; Codelco, August 25, 2026; The Northern Miner, November 9, 2026.
