Freeport-McMoRan Approves $4.5 Billion Arizona Mine Expansion

Freeport-McMoRan approved a $4.5 billion expansion of its Bagdad mine in Arizona to more than double its annual copper production. The investment aims to increase output by approximately 225 million pounds to over 400 million pounds, which would establish Bagdad as the second-largest copper mine in the United States. Molybdenum production is also expected to rise to more than 20 million pounds annually.

Construction of the project, which includes a new crusher, conveyor system, and concentrating facilities, is expected to take three-and-a-half years. Initial production is targeted for mid-2030. The company noted that capital costs rose by $1 billion over 2023 estimates due to scope changes and cost escalation.

The expansion aligns with a broader U.S. government strategy to decrease dependence on China's dominance in metals processing. This effort follows a March 2025 minerals order from President Donald Trump, which expanded Defense Production Act authorities and directed federal agencies to expedite priority domestic mineral projects for national security reasons.