Ivanhoe Electric raises Arizona copper project cost estimate to $1.43 billion

Ivanhoe Electric

23/09/2026 16:52

Sept 23 (Reuters) - Ivanhoe Electric IE.TO said on Wednesday that a preliminary feasibility study for its Santa Cruz copper project in Arizona raised estimated initial capital costs to $1.43 billion, from $1.24 billion previously.
     The project, one of the minerals explorer's key assets, is expected to begin producing copper cathode in 2029 as the US seeks to increase domestic copper supplies and reduce reliance on imports.

Here are more details:
Compared with the company's 2025 estimate, the higher figure reflects construction-cost inflation, mine-development changes, and revised surface, indirect and contingency costs.
Santa Cruz is forecast to produce 74,722 tonnes of copper cathode a year on average during its first 15 years, and 58,385 tonnes annually over its mine life.
Ivanhoe has begun early site preparation and plans to start box-cut development in October, with tunnel-boring-machine work on the decline scheduled to begin in summer 2027.
The company is pursuing project financing and had received a preliminary project letter in August from the US Export-Import Bank for potential debt funding of up to $1.1 billion. 

 (Reporting by Dharna Bafna in Bengaluru; Editing by Vijay Kishore)
 ((Dharna.Bafna@thomsonreuters.com))