BHP has announced plans to proceed with a $2bn optimisation project at its Escondida copper mine in Chile as part of its wider $10.8bn investment strategy for the country.
The company confirmed that it will submit the plan for environmental permitting in the near future.
The initiative marks the first phase of BHP’s decade-long investment programme, which was unveiled in November 2024.
Escondida president Alejandro Tapia stated that the project is not only aimed at maintaining production levels but also represents a significant investment in Chile’s economy and the Antofagasta region.
The announcement came as Chile’s Finance Minister Mario Marcel visited the mine, emphasising that most foreign investment in the country comes from existing operators.
He noted that these companies reinvest their earnings into new projects and expansion initiatives.
Located in the Atacama Desert, approximately 170km southeast of Antofagasta, the Escondida mine is considered the world’s largest copper mine.
BHP operates and owns a 57.5% stake in the mine, in partnership with Rio Tinto and Japan-based JECO. Rio Tinto holds a 30% stake in the Chilean copper mine, while JECO owns the remaining 12.5% interest.
The site consists of two open pits that feed three concentrator plants, as well as two leaching operations. The Escondida mine is considered crucial to Chile’s economy, contributing significantly to the country’s GDP.
BHP’s decision to move forward with the investment follows a strong financial performance in the first half of its 2025 fiscal year.
The company reported an attributable profit of $4.4bn for the six months ending 31 December 2024, marking a 376% increase from $927m in the same period the previous year. Copper production for the half-year reached 987kt, up 10% from 894.4kt in HY24, driven by a 22% increase in output from the Escondida mine alongside strong operational results from other assets, including the Carajás mine.
