Canadian company Hudbay Minerals has secured an air quality permit from the Arizona Department of Environmental Quality (ADEQ) for the development and operation of its Copper World project in Arizona, US.
Located in Pima County, approximately 50km south-east of Tucson, the Copper World project is expected to produce 85,000 tonnes of copper annually during its initial mine life of 20 years.
The project encompasses seven deposits discovered in 2021, along with the East deposit, previously known as the Rosemont deposit.
Following the completion of a new resource model for the preliminary economic assessment in 2022, the project's two-phased mine plan was outlined, with phase one requiring state and local permits and phase two expanding onto federal lands.
With the air quality permit now secured, Hudbay has received all three key state permits for the project, which is set to create up to 3,000 indirect jobs and more than 400 direct jobs in Arizona.
Hudbay president and CEO Peter Kukielski said: “We have completed one of the three key prerequisites in our sanctioning plan for Copper World, and we intend to advance feasibility studies and our prudent financial strategy throughout 2025 as we work toward a sanctioning decision in 2026.
“Copper World is expected to increase Hudbay’s consolidated annual copper production by more than 50% from current levels, and the project will be a key contributor to the domestic US supply chain with our plans to produce Made-in-America copper.
“We look forward to continuing to grow our presence in the US with our planned $1.7bn capital investment to build Copper World. Copper World’s Made-in-America copper cathode is expected to be sold entirely to domestic US customers and would make Copper World the third largest cathode producer in the US.”
Hudbay is now planning to initiate a process to bring on a minority joint venture (JV) partner early in 2025.
The partner is expected to contribute to the financing of the Copper World project’s definitive feasibility study activities and participate in the final design and construction phases of the project.
Last year, Hudbay decided to sell 31.6 million of its common shares through a bought deal to raise $300m.
An agreement was reached with a syndicate of underwriters led by RBC Capital Markets and BMO Capital Markets, including an over-allotment option.
