Published: November 4, 2026 |
Freeport-McMoRan (FCX) has approved a $4.5 billion expansion and modernization program for its wholly owned Bagdad Copper and Molybdenum Operation in northwest Arizona.
“Freeport’s significant resource base provides an attractive portfolio of value-enhancing, organic growth options as we work to meet growing demand for our products,” said Kathleen Quirk, president and chief executive officer.
“We are pleased to proceed with the Bagdad expansion, an important step in advancing Freeport’s U.S. copper growth strategy. This low-risk brownfield project builds on Bagdad’s substantial reserve base, long operating history, existing infrastructure, and experienced workforce to deliver new U.S. copper and molybdenum production and further strengthen Freeport’s position as America’s Copper Champion®,” added Quirk.
The brownfield project is designed to maximize the full potential of the resource and is expected to more than double Bagdad’s mining and milling rates. This investment would increase annual long-term copper production to more than 400 million pounds of copper per annum (incremental production of approximately 225 million pounds per annum) and molybdenum production to more than 20 million pounds per annum (incremental production of 12 million pounds per annum).
Freeport plans to deploy modern technologies, automation and leverage existing operations to improve Bagdad’s long-term cost position and performance. The expansion would position Bagdad as the second-largest copper mine in the United States, behind FCX’s Morenci Operation, as well as a leading U.S. molybdenum producer and one of the lowest-cost operations in FCX’s U.S. portfolio.
The Bagdad Mine has operated since 1945 and has a current reserve life exceeding 80 years before considering additional mineral resources. In 2025, Bagdad completed its fleet conversion, becoming the first major U.S. mine with a fully autonomous haulage fleet. The expansion will leverage Bagdad’s established operating history and extensive knowledge of the ore body while incorporating modern technology to strengthen Bagdad’s production profile.
FCX is advancing engineering, procurement planning, and early works to support efficient project execution. Planned capital expenditures will be incorporated into FCX’s updated capital expenditure outlook and classified as discretionary under FCX’s financial policy.
PROJECT HIGHLIGHTS
• Expanded processing capacity to support a large mineral reserve base (2.6 billion metric tons of ore with copper equivalent grade of 0.43 percent)
• New concentrator facilities expected to provide approximately 115,000 metric tons per day of incremental nameplate processing capacity with potential to increase over time
• Supporting infrastructure, including a new primary crusher, overland conveyor, water pipeline, power line, mining equipment and related facilities
• Modern technology, including a fully autonomous truck fleet to support efficient increases in mining rates
• Future incremental capital costs for a new concentrator, mining equipment and expanded infrastructure are expected to approximate $4.5 billion
• Construction period of approximately 3.5 years, with initial production targeted in mid-2030
• Significant economic benefits for Arizona, including more than 4,000 direct and indirect jobs during construction and thousands of long-term employment opportunities
Freeport-McMoRan is a leading international metals company with the objective of being foremost in copper. Headquartered in Phoenix, Arizona, Freeport operates large, long-lived, geographically diverse assets with significant proven and probable reserves of copper, gold and molybdenum. Freeport’s portfolio of assets includes the Grasberg minerals district in Indonesia, one of the world’s largest copper and gold deposits; and significant operations in North America and South America, including the large-scale Morenci minerals district in Arizona and the Cerro Verde operation in Peru.
Be in-the-know when you’re on-the-go!
FREE eNews delivery service to your email twice-weekly. With a focus on lead-driven news, our news service will help you develop new business contacts on an on-going basis.
CLICK HERE to register your email address.
Copyright © 2026 Mining Connection LLC. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
For licensing permission, .(JavaScript must be enabled to view this email address)