Peru's Copper Production Boost Delayed as Deficit Looms in 2026

Peru's Energy and Mining Minister Guillermo Shinno announced plans to cancel 27 mining permits, aiming to boost copper production by 1 million tons annually by 2031-2032.

The new production is expected to be equivalent to approximately 4% of the 23.6 million tons of global mine production in 2026 forecast by ICSG.

However, the increased supply will not arrive until after 2026, when a copper concentrate deficit of around 530,000 tons is projected for that year.

The LME spot copper premium over three-month futures is currently at $93 per ton, indicating recent tight supply.

Peru's copper mine developers are still considered medium-to-long-term investment targets due to falling ore grades and repeated social conflicts affecting production levels.