The Japan Bank for International Co-operation (JBIC) is teaming up with South Korean and German government-affiliated financial institutions, to provide a $2.5 billion loan for the Chilean copper mine expansion, Nikkei stock exchange reported on Sunday.
This project, led by UK-based Antofagasta and Japanese trading house Marubeni, aims to help Japanese companies secure a stable copper supply, according to the report.
JBIC will contribute up to $950 million to the Centinela mine expansion, with additional support from Export Development Canada (EDC), Sumitomo Mitsui Banking Corp. (SMBC), and Credit Agricole.
The loan will boost production capacity by approximately 140,000 tonnes at the mine, which currently produces 250,000 tonnes annually, the report added.
The growing demand for copper, driven by industries like electric vehicles and renewable energy, has made it a key focus for economic security strategies worldwide.
With limited new mine developments, securing a stable supply of copper has become increasingly competitive.
This funding deal represents one of JBIC’s largest copper-related projects and underscores the importance of strategic mineral resources in the global economy.
As countries like the US, Australia, the European Union (EU), and Canada invest in critical minerals like copper, the competition for industrial metals continues to intensify.
