Freeport-McMoRan (NYSE: FCX) is placing its bets on a new chemical compound to help achieve its goal of extracting 800 million pounds of copper annually from waste rock. The world’s largest publicly traded copper producer has spent the past three years testing various chemical mixtures to enhance copper leaching from mine waste tailings, which contain over 40 billion pounds of the metal.
The leaching process offers significant advantages, including lower costs compared to traditional hard-rock mining and no need for new permits or smelters. Despite leaching since 2022, Freeport has only reached about 30% of its target, making the development of new extraction methods critical to hitting the 2030 goal.
CEO Kathleen Quirk revealed that a newly developed compound, when combined with heat, could triple copper recovery rates if field tests later this year meet expectations. Quirk emphasized the company’s focus on innovation to maximize copper extraction from existing resources. Freeport’s stock has surged nearly 40% this year, driven by rising copper prices.
Last year, Freeport leached 214 million pounds of copper, offsetting declining mine production but falling short of investor expectations. The company views leaching, along with expansions in Arizona and Chile, as key to its growth strategy, with acquisitions not being a priority. Quirk also confirmed plans to resume full production at the Grasberg mine in Indonesia by the end of 2027/early 2028, following a mud flow incident last year.