Australia's Copper Prices Soar to Historic High Amid AI-Driven Demand

Copper prices have reached an historic high in Australia, surpassing $14,700 per tonne in September 2026. This surge reflects a long-standing supply-demand imbalance, with data centers built to power AI workloads driving up copper demand.

A single 230 MW data center requires approximately 10,000 tonnes of copper for various systems, including power cabling and cooling systems.

BHP, Australia's largest mining company by market capitalization, has seen its copper earnings reach $18.2 billion in FY26, overtaking iron ore revenue for the first time in the company's modern history.

The company has earmarked more than half of its growth capital expenditure for future copper projects, while Rio Tinto has also been increasing its copper exposure.