Rio Tinto Approves $144 Million for Arizona Copper Project

The funding will cover final design engineering for material-handling equipment in both mine shafts and new water-treatment facilities, along with exploration drilling and purchases of underground and long-lead electrical equipment. It comes on top of about $500 million already earmarked for the project over the next two years. Rio Tinto said the program will create about 50 additional mining and other roles.

“Resolution Copper has the potential to supply up to 25% of America's copper demand for decades, strengthen domestic supply chains and deliver significant economic benefits for Arizona,” Rio Tinto Chief Executive Katie Jackson said.

In March, the U.S. Forest Service and Resolution Copper completed a federal land exchange after the U.S. Court of Appeals for the Ninth Circuit rejected a request to halt the transfer. The exchange involved 2,400 acres adjacent to the historic Magma Copper mine and more than 5,400 acres of environmentally and culturally sensitive land transferred to the Forest Service and Bureau of Land Management. In August, Resolution Copper awarded about $110 million in contracts for exploration and underground development.

The deposit lies between 5,000 and 7,000 feet underground. The companies estimate that, once operating, the mine could create thousands of jobs and add $1 billion a year to Arizona’s economy. The joint venture is 55% owned by Rio Tinto and 45% by BHP.