Chile's Codelco and others jointly develop Tovaku copper mine with $870 million investment

en.Wedoany.com Reported - On August 25, Codelco and Pucobre completed the establishment of the Minera Puntilla S.A. joint venture to develop the Tovaku copper project in Chile's Antofagasta Region. Pucobre holds a 60% stake in the joint venture, while Codelco holds 40%; the project is expected to require a total investment of $870 million, with plans to establish an annual production capacity of 46,000 tonnes of high-purity copper cathodes, targeting production start in 2030.

The joint venture arrangement stems from an exploration and company formation agreement signed by both parties in 2009. Codelco will contribute the project's mining rights to the new company, while Pucobre will contribute the exploration and engineering study results already completed, and will be responsible for financing during the development and construction phases. As of the end of June 2026, Pucobre's cumulative investment in the Tovaku project amounts to approximately $40.35 million. Subsequent funding borne by Pucobre will be recovered from Codelco's future project distributions, and Codelco will not need to directly contribute construction capital at this stage.

The Tovaku project is located between María Elena and Tocopilla, approximately 70 kilometers east of Tocopilla, and is planned to use open-pit mining and conventional hydrometallurgical processes. The project involves approximately 633.5 million tonnes of ore, with the ore body being a low-grade oxide copper porphyry with an average copper grade of approximately 0.20%, and a planned mine life of 21 years.

The project scope includes the open-pit mining area, copper hydrometallurgical processing facilities, and supporting energy and water supply systems. Among these, the mining area is planned to include a photovoltaic power station with an installed capacity of 193 MW and battery energy storage facilities; a 72.5-kilometer seawater conveyance system will deliver seawater to the mining area; the project will also construct a 27-kilometer, 220 kV transmission line to connect to Chile's national power system. Production processes are planned to use non-desalinated seawater, with seawater resources supplied by licensed providers.

The feasibility engineering for the Tovaku project has been completed. The joint venture will next advance detailed engineering design, tendering for key equipment, environmental and industry permit processing, and preliminary works. The project's main construction remains subject to approval of the environmental impact assessment, issuance of relevant industry permits, and funding from banks and specialized mining financial institutions. The 2030 production start schedule will proceed in accordance with the completion of these conditions.