Copper production costs across the world in 2023 revealed notable disparities, with regions such as Kazakhstan, Peru, Mexico, and the Democratic Republic of the Congo (DRC) proving to be highly cost-efficient. In Kazakhstan, KAZ Minerals’ Bozshakol mine reported the lowest cost at $0.95 per pound, driven by the country’s affordable diesel and electricity prices, combined with a skilled workforce. This efficiency is further enhanced by by-product revenues from metals like zinc, lead, and silver.
Southern Copper Corporation, operating major mines in Mexico and Peru, achieved production costs of $1.03 per pound through economies of scale at mines such as Buenavista del Cobre and Toquepala, complemented by by-product sales.
Meanwhile, Chile’s Escondida mine, run by BHP, remains one of the most significant copper producers globally despite rising costs to $1.40 per pound. Its strong mining infrastructure and workforce help maintain its competitiveness.
In the DRC, Ivanhoe Mines’ Kamoa-Kakula project continues to produce copper at some of the world’s lowest costs, thanks to its high-grade ore and efficient operations.
While regions like these remain competitive, the global copper industry has faced rising costs in 2023 due to inflation, higher energy prices, and labor shortages. Nevertheless, companies are responding by improving operational efficiency and increasing revenue from by-products.
