Mining Engineering’s Weekly Rundown: Episode 67

First, Copper prices are approaching record highs as the prospect of U.S. import tariffs pulls metal into the United States and tightens supplies elsewhere. Three-month copper on the London Metal Exchange climbed as high as $14,343 per metric ton, close to its all-time record, after large withdrawal orders from LME warehouses. Traders have continued shipping copper into COMEX warehouses ahead of a possible tariff on refined copper beginning in 2027, even though analysts had projected a significant global surplus this year. The U.S. Commerce Department was expected to report to the White House on the copper market, giving President Donald Trump the information needed to decide whether to impose a 15 percent tariff starting in 2027 and raise it to 30 percent in 2028. The potential policy has reshaped copper flows and left inventories outside the United States under increasing pressure.

Next, Lynas Rare Earths is looking to expand its supply chain and establish additional processing capacity as governments and manufacturers seek rare-earth supplies outside China. The Australian company said it is in discussions with project developers around the world to secure new mine supply from ionic clay deposits and is also in early-stage talks to develop a magnet-making facility in the United States. Lynas, the largest rare-earth producer outside China, reported a sharp increase in annual profit as rare-earth prices and demand increased. The company said its average selling price rose 59 percent during the year, while customers continued to prioritize supply chains outside China. The expansion comes as the United States and its allies work to reduce dependence on China, which accounts for roughly 90 percent of global rare-earth product production.

Finally, Highland Copper has received final approval for $50 million in grant funding from the state of Michigan to support development of its Copperwood Project in Gogebic County. The Michigan Strategic Fund approved nearly $45 million for Copperwood Resources, Highland Copper’s subsidiary, to support eligible infrastructure costs, while about $5 million will go to the Gogebic County Road Commission for local infrastructure improvements. The road commission has also secured more than $7.5 million in additional funding from the Michigan Department of Transportation, bringing total support for improvements to County Road 519 to about $12.6 million. The funding will support roads, power and communications infrastructure needed to advance the fully permitted copper project, with no further state approvals required for the grant.

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