BHP, the world’s largest mining company, is preparing for a major expansion of its copper refinery and smelter at Olympic Dam in South Australia. This move comes as global demand for copper surges due to its key role in the transition to greener energy. The company announced that the South Australian government has begun the application and assessment process for this expansion, according to a recent notice in the South Australian Government Gazette.
The expansion is a strategic push by BHP to capitalize on copper’s growing importance in the energy transition. With countries worldwide striving to reduce their carbon footprints, copper has become essential due to its use in renewable energy technologies like electric vehicles, wind turbines, and solar panels.
Anna Wiley, BHP’s asset president for copper in South Australia, highlighted the company’s ambitious goals. “We are already increasing BHP’s copper production in South Australia with multiple projects and studies in progress at all of our operational sites,” Wiley said. “We’re moving quickly to potentially double our current production by the middle of the next decade.”
BHP plans to ramp up its annual copper output from the Olympic Dam site to 500,000 metric tons by the early 2030s, a significant jump from the 322,000 tons produced in the last financial year. The company also has its sights set on boosting production to as much as 650,000 metric tons by the mid-2030s.
This expansion comes as BHP adjusts its focus away from its top revenue source, iron ore, amid slowing economic growth in China, a major customer. The shift reflects a broader trend among global miners to diversify their portfolios and invest more heavily in minerals that support green technologies.
While the plans for the copper refinery expansion are already in motion, BHP will make a final investment decision in 2027. This timeline allows the company to thoroughly evaluate the potential economic and environmental impacts of the project, ensuring that it aligns with both BHP’s long-term strategic goals and the global push for sustainable energy solutions.
The expansion of Olympic Dam is not just about increasing output but also about securing a more significant role for BHP in the future of energy. By betting big on copper, BHP is positioning itself to be a leader in the supply chain for materials critical to renewable energy and sustainable development.
