U.S. Copper Supply Could Rise with BHP’s Resolution Mine

BHP remains optimistic about the prospects of the Resolution copper mine project in Arizona despite recent setbacks and ongoing challenges. The project, a joint venture between BHP (45%) and Rio Tinto (55%), has the potential to supply roughly 25% of the United States’ copper demand once fully operational. It is expected to produce around 40 billion pounds of copper over a 40-year lifespan, making it one of the largest copper mining ventures in North America.

Resolution Copper’s deposit lies deep underground, between 1,500 and 2,130 meters below the surface, with an estimated copper grade of 1.5%. The mining operation is anticipated to become a cornerstone for the US, fueling a range of critical sectors including renewable energy infrastructure, electric vehicles, and defense industries. Given the growing focus on domestic production of critical minerals, the project stands to significantly reduce America’s reliance on foreign copper supplies.

However, the journey toward full-scale development has been arduous. The project has been in the works for over two decades, facing extensive regulatory hurdles and environmental reviews. The permitting process, led by the U.S. Forest Service, involves detailed assessments under the National Environmental Policy Act and ongoing consultations with local communities and Native American tribes. In early 2025, the Forest Service announced its intent to republish the Final Environmental Impact Statement along with the Draft Record of Decision, marking a significant milestone, but the project still requires the completion of these formal steps before construction can begin.

Opposition from indigenous groups, particularly the San Carlos Apache Tribe, has posed one of the largest obstacles. The tribe asserts that the mining site lies on sacred land and filed legal challenges aiming to halt the land transfer necessary for the project. Recently, a U.S. appeals court temporarily blocked the federal land transfer critical for the mine’s development, adding new uncertainty to the timeline.

Despite these setbacks, BHP’s CEO has expressed a measured confidence in the project’s eventual approval, acknowledging the legal and environmental complexities while emphasizing the project’s long-term strategic value. The US government granted Resolution Copper “fast-track” approval status under the FAST-41 law, designed to accelerate permits for critical infrastructure projects. This federal support reflects the broader recognition of the mine’s importance to the nation’s industrial and energy futures.

The project demands a massive capital investment, with over $2 billion already spent on development and permitting. Once approved, the mine will require about ten years to move from construction to full production. Even with the delays, the scale of the operation could help fill the widening gap left by declining copper production in the US. Domestic copper output has seen a decline in recent years, dropping to a five-year low in 2023, while existing smelting and refining capacity remains limited and stretched to capacity. Increasing copper availability from Resolution could ease pressure on these bottlenecks, though additional investments in smelting infrastructure would also be needed.

BHP continues to invest heavily in copper globally, including expansions in Chile and Australia, reflecting the metal’s essential role in the global energy transition and the electrification of transportation. The joint venture plans to allocate all copper production from Resolution for U.S. consumption, reinforcing the mine’s potential strategic value in securing critical supply chains amidst mounting geopolitical uncertainties.

Resolution Copper demonstrates the complexities and stakes involved in advancing large-scale mining projects in the modern era, balancing regulatory scrutiny, stakeholder concerns, and market demand. Although recent legal hurdles and opposition have caused delays, BHP remains confident that the mine will ultimately move forward, helping the US domestic copper supply secure an important future foothold. 

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