Copper's critical role in national security, infrastructure, and renewable energy is widely recognized as a key driver of its demand. However, two often-overlooked contributors are the rapid growth of artificial intelligence (AI) and the expansion of data centers across the United States.
BHP, the world's largest mining company, projects that copper demand will surge by 72% from 2021 levels, reaching 52.5 million tons annually in the coming decades, with AI as a significant driving force. Similarly, the Copper Development Association reports that North American data center infrastructure, valued at $33 billion in 2020, is expected to grow to $70 billion by 2030 and $185 billion by 2040.
This growth will substantially increase copper demand, with consumption for data centers alone projected to rise from 197,000 tonnes in 2020 to 238,000 tonnes in 2030 and 293,000 tonnes by 2040.
What better way to meet the demands of emerging modern technologies than with American-mined copper? Proposed projects such as Twin Metals Minnesota LLC, NewRange Copper Nickel's NorthMet project, and Resolution Copper’s planned mine in Arizona offer promising new sources of the mineral deemed critical by the Department of Energy in the summer of 2023.
BHP Reference:
https://lnkd.in/dUpW3EJV
Copper Development Association Reference:
https://lnkd.in/g4gJmTfU