01 JULY 2026
Today, the Sierra Gorda joint venture, a large open pit copper mine in Chile in which South32 holds a 45% interest, approved execution of the fourth grinding line project.
This followed completion of a feasibility study which confirmed the potential for attractive returns from this brownfield plant expansion.
The project is expected to increase Sierra Gorda's processing capacity from approximately 48Mtpa to approximately 60Mtpa (100% basis) through the installation of a fourth grinding line, expanded crushing and flotation capacity, and associated process infrastructure.
The project is expected to achieve first production in mid FY30, with full production rates in FY31.
Following completion of the project, Sierra Gorda’s annual average payable production is expected to reach approximately 195kt of copper, 6kt of molybdenum, 58koz of gold and 1,700koz of silver. This represents an approximate 30% increase in copper equivalent production relative to current levels.
The expanded processing capacity is also expected to support an approximate 10% reduction in average operating unit costs.
South32 Chief Executive Officer Matt Daley, said:
“The fourth grinding line project will significantly increase copper production, lower operating unit costs and is expected to deliver attractive financial returns through a brownfield expansion that leverages existing infrastructure.
“Beyond this project, Sierra Gorda continues to offer substantial growth potential. The current Catabela pit remains open at depth and at the adjacent Catabela Northeast prospect we recently reported an initial Exploration Target of 1.1Bt @ 0.48% TCu to 2.9Bt @ 0.45% TCu, highlighting further life extension potential.”
Read the full announcement here.
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