Lundin Mining reveals largest copper find in 30 years in Argentina

BHP Group’s joint-venture partner Lundin Mining Corp declared that the companies’ Filo del Sol project in South America to be the largest discovery of copper in three decades, based on new drilling and analysis.

The undeveloped mine contains at least 13 million tons of the metal, as well as significant amounts of gold and silver, Lundin said in a statement on Sunday. Drilling is ongoing, and the deposit’s estimated size is increasing, it said.

Copper mines are getting harder and much more costly to develop, even as global demand for the metal is projected to increase given its role in the energy transition. That outlook has prompted a wave of mergers in the industry, as well as forecasts for persistent deficits — and higher prices — in the future.

The initial so-called mineral resource “has highlighted the potential for one of the highest grade undeveloped open-pit copper projects in the world, and one of the largest gold and silver resources globally,” Chief Executive Officer Jack Lundin said. 

BHP acquired Filo Corp in a US$3-billion deal last year, in partnership with Lundin, to gain ownership of two copper projects known as Filo del Sol and Josemaría, which straddle the Argentina-Chile border. The pair will take many years and billions of dollars to develop into new mines.