US government grants fast-track status to Resolution copper project

News Analysis

23

Apr

2025

US government grants fast-track status to Resolution copper project

The US government has awarded fast-track status to the controversial Resolution copper mining project, jointly owned by Rio Tinto (55%) and BHP (45%) in Arizona. The project has faced significant delays over the years due to environmental concerns and opposition from indigenous communities.

The Resolution copper mining project (Resolution) is among 10 projects to be granted “FAST-41” status, a law signed by former President Obama to streamline approval processes.

The proposed underground mine hosts a copper deposit located between 1,500m and 2,130m below the surface, with an estimated average grade of 1.5% copper. It stands to become North America’s largest copper mine, capable of producing 18Mt of copper over 40 years (~450ktpy), potentially meeting up to 25% of annual US copper demand. Rio Tinto aims to allocate all the copper produced at Resolution for US consumption. The company currently operates Utah’s Kennecott copper mine and smelter, the output of which is also consumed within the USA. The other major smelter in the USA is operated by Freeport-McMoRan.

The mine has been marred by delays for years as it faces opposition from local indigenous groups that state the project is on sacred ground. Earlier this week, a group led by the San Carlos Apache Tribe filed a petition at the US Court of Appeals challenging a ruling that could allow the mine’s development to proceed. Environmentalists have also raised alarms about the potential ecological impact of the mine, including water usage, pollution risks, and habitat destruction.

In 2023, the US Department of Energy (DoE) added copper to its critical materials list for energy applications, and in February 2025, President Trump initiated a Section 232 investigation into US copper imports. In 2024, the US imported approximately 890kt of refined copper, a 16% y-o-y increase. Imports account for around 50% of US copper consumption, with about 80% coming from Chile, Canada, Peru, and Mexico. Notably, the development of the mine would likely necessitate the construction of additional smelting and refining facilities.

The development of Resolution could eventually alleviate copper concentrate tightness, which has been exacerbated in recent years by supply constraints in Chile and Peru and the shutdown of Cobre Panama. However, even with fast-track status, the project is unlikely to begin operations before the middle of the next decade.


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