US-based copper and molybdenum miner Freeport-McMoRan is making steady progress with its technology-driven leaching initiatives across its North and South American mines, unlocking significant volumes of copper production at a fraction of the cost of developing new mines.

This approach focuses on extracting copper from material previously considered waste, using technology, data analytics and operational enhancements.

In 2024, Freeport achieved an incremental run rate of 200-million pounds a year of copper through these initiatives, up from 144-million pounds in 2023. Incremental production reached 214-million pounds in 2024, including 50-million pounds in the fourth quarter alone.

Looking ahead, the company is targeting 300-million pounds by the end of 2025 and 400-million pounds by late 2026, with a long-term goal of 800-million pounds a year.

“We have got 39-billion pounds of copper that has previously been placed that we’ve considered waste, and we’re trying to get as much of that as we can. If we get 20% of it, that’s a huge gain for us,” CEO Kathleen Quirk said in an earning call last week.

The copper extracted through the leaching initiative currently costs less than $1/lb, compared with the current market price of about $3/lb.

“We’re talking about an opportunity where some people are investing $10-billion to achieve that. We're not having to do that,” she pointed out.

In addition to the leaching initiative, Freeport-McMoRan is pursuing broader innovation strategies aimed at improving efficiencies, reducing costs and accelerating project timelines.

“The high-potential innovative leach initiative is a great example of this,” said Quirk. “Innovation is a major priority as we go forward.”

On leaching, some of the company’s technology initiatives include deep raffinate injection and targeted drilling to improve access to previously unreachable areas within its stockpiles. The firm has even employed helicopters to reach challenging sites.

While Freeport is actively pursuing organic growth, the company remains open to opportunistic mergers and acquisitions (M&A). Quirk emphasised that M&A is not central to Freeport’s strategy.

“We do monitor opportunities across the industry on a regular basis. But we don't see, as part of our strategy, getting involved in a competitive auction process or something on that order,” she stated.

Instead, the company will focus on opportunities where it can generate synergies and leverage its technical capabilities to add value to existing operations.

“This leach initiative is one that may give us an opportunity in the future to consolidate more and generate more value from it. But it's not necessary,” Quirk said.