Codelco and Adani Enterprises have signed a Memorandum of Understanding(MoU) to advance copper exploration in Chile. This alliance aims to ensure long-term security of supply of copper, an essential mineral for India, and to strengthen cooperation between the two countries in the critical minerals sector.
The strategic agreement for copper exploration
The MoU signed by Codelco and Kutch Copper(KCL), a subsidiary of Adani Enterprises, establishes the framework for analyzing and developing three copper projects in the Antofagasta and Atacama regions, near important mining districts such as Sierra Gorda and Diego de Almagro. These projects will allow both companies to share technical and commercial knowledge, while advancing in the feasibility analysis and due diligence of the initiatives.
The agreement highlights the importance of public-private partnershipsto ensure sustainable copper production. sustainable copper production and to face the challenges of the sector, such as investment risks and the increasing global demand for the mineral.
Both countries have recognized that global copper demand is expected to grow by 50% through 2040, driven primarily by electrification and the expansion of renewable energy. This demand presents a unique opportunity for both companies, as they guarantee the long-term supply of a critical resource for India’s industrial development, particularly in sectors such as infrastructure, electric vehicles and clean energy.
Máximo Pacheco, President of Codelco, highlighted the role of these partnerships in creating shared value, adding that by integrating Codelco ‘s mining expertise and Adani’s infrastructure, both companies seek to create a cross-border model that boosts copper supply while promoting sustainable development globally.
This agreement is a continuation of a broader collaboration between Codelco and Adani Enterprises, which had already established an agreement for the supply of copper concentrates for a state-of-the-art smelter in Mundra, India. This smelter, which will have a capacity of
For Codelco, this agreement also represents an important step in strengthening its global leadership position in copper mining. With key divisions in Chile, such as Chuquicamata, Andina, and El Teniente, Codelco maintains a strong presence both in the country and in international markets. Since its nationalization in 1971, it has contributed more than US$158 billion to the State of Chile.
For its part, Adani Enterprises is aligned with its strategic vision of expanding its influence in key sectors such as green hydrogen, renewable energy and the copper industry, which will enable it to improve its infrastructure and support India’s energy self-sufficiency.
Source and photo: Codelco