Freeport CEO Urges US Copper Incentives Amid Global Expansion Push

Freeport CEO Calls for U.S. Copper Incentives to Compete Globally

Freeport-McMoRan CEO Kathleen Quirk is urging the U.S. government to offer stronger incentives for copper mining. She also wants permitting processes streamlined to support domestic production. Despite Freeport’s large U.S. presence, it faces higher costs and lower ore grades than at its international sites.

In an interview with The Northern Miner, Quirk stressed the need for policy reform. She said it’s essential for meeting the growing demand for critical minerals like copper. U.S. copper mines typically show ore grades of around 0.3%. That is far below the 1% or higher grades found in Chile, Peru, or Indonesia.

These lower grades push up production costs and reduce investor interest. “If there are things in place that can help incentivize the production in the U.S., that would be an advance,” Quirk said. The U.S. currently produces about 1.4 billion pounds of Freeport’s annual copper output. That accounts for nearly 70% of total refined copper made in the country.

Quirk pointed out that while U.S. tax policy is relatively favorable, structural issues remain. Freeport’s U.S. copper production costs around $3 per pound, excluding capital investments. In Indonesia, gold by-products significantly lower unit costs—often close to zero.

As global electrification accelerates, copper demand continues to rise. Quirk believes U.S. miners need long-term strategic support to stay competitive in this changing market.

Expansion Projects and Leaching Innovation Offer Growth Potential

Freeport’s expansion strategy includes three major projects—two in the U.S. and one in Chile. The most advanced is a $3.5 billion expansion of the Bagdad mine in Arizona. If copper prices average at least $4 per pound, the project could proceed, doubling capacity and improving molybdenum output. Meanwhile, feasibility studies are underway at the Lone Star mine, and the $7.5 billion El Abra expansion in Chile could be operational by 2033.

In addition to new development, Freeport is exploring breakthrough recovery methods. The company aims to extract copper from previously untapped stockpiles using a water- and acid-based solution. This leaching process, combined with data analytics and targeted injection, could yield up to 800 million pounds of copper annually by 2030. The company already recovered 214 million pounds last year through this initiative.

“This is an incredible opportunity,” said Quirk. “In this case, the material is already mined, so many of the costs are already incurred. It has risks, but the upside potential is massive.” Freeport estimates 39 billion pounds of copper remain in stockpiles, with half located at the Morenci mine in Arizona.

SuperMetalPrice Commentary:

Freeport-McMoRan’s call for policy support comes at a critical time for the U.S. copper industry. With global demand for battery metals accelerating, ensuring secure, domestic copper supply is more than economic—it’s strategic. While lower ore grades present challenges, innovation and infrastructure investment can unlock significant value. If the U.S. aims to lead in energy transition and critical materials, it must provide the regulatory and financial tools to make domestic production viable. Freeport’s projects and leaching initiatives could offer a blueprint for future-proofing the nation’s copper supply chain.