Copper Supply Chain Faces Severe Crunch Amid Growing Demand

The copper supply chain is facing a severe crunch due to declining grades, aging infrastructure, and years of underinvestment in the industry. According to Charles Cryer, CEO of Oroco Resource Corp. (TSXV: OCO), these factors are being exacerbated by growing demand for copper from AI and electrification.

Oroco's Santa Tomas project in Mexico is a 1.1 billion tonne copper resource with a preliminary economic assessment outlining a 23-year mine life and annual production of 100,000 tonnes of copper. The project's current drilling program is aimed at further defining the resource, while an upcoming prefeasibility study will provide more detailed information on the project's viability.

Cryer notes that Mexico's changing approach toward mining could also impact the development of the Santa Tomas project. As the country looks to increase its mining sector's contribution to the economy, Oroco is well-positioned to benefit from these changes.