Southern Copper evaluates $680 million investment in Peru

Southern Copper, a company linked to Grupo México, is analyzing a proposed investment of approximately $680 million to expand processing capacity at the Cuajone mine in southern Peru. The plan aims to increase daily grinding capacity from 90,000 to 120,000 tons, a 33% increase, which could yield an additional 55,000 tons of copper and 1,400 tons of molybdenum annually.

The company is also considering a larger-scale alternative that could reach a processing capacity of 150,000 tons per day. This move is driven by rising international demand for copper and the need to adapt industrial processes to lower metal concentrations in certain areas of the deposit. A final decision regarding the scale of the expansion is expected in early 2027.

Separately, a McKinsey report titled 'Global Materials Perspective 2026' highlights that productivity improvements in the mining and metals industries could generate between $450 billion and $750 billion in annual value. The report notes that while technological tools like AI and automation are available, mining productivity stagnated in 2025.