FLSmidth's DKK 405M Deal to Fuel Copper Supply for Energy Transition

COPENHAGEN, Denmark – December 18, 2025 – In a move that underscores the intense global demand for copper, Danish mining technology giant FLSmidth has secured a major order valued at approximately DKK 405 million to supply a suite of key equipment for a new, large-scale copper concentrator in South America. The deal, booked in late 2025, involves providing the foundational crushing and grinding technology for a greenfield project set to come online in a continent pivotal to the world's mineral supply chain.

While the specific client and project location remain undisclosed, the order's significance extends far beyond its financial value. It represents a critical investment in the primary supply of a metal indispensable to the global energy transition. The equipment, scheduled for delivery throughout 2027, will form the heart of the mine's comminution circuit—the process of crushing and grinding raw ore to liberate valuable minerals.

A Response to a Looming Supply Crisis

The timing of the investment is crucial. The world is facing a projected copper supply deficit that threatens to derail decarbonization goals. Copper is a cornerstone of electrification; it is essential for electric vehicles (EVs), wind and solar power generation, grid-scale energy storage, and the modernization of electrical grids. Projections from S&P Global Market Intelligence suggest that global demand, driven by these green technologies, could nearly double by 2035, creating a potential annual supply gap of millions of tonnes.

The market is already showing signs of strain. Copper prices surged past $11,000 per metric ton earlier this year amid tight supply and soaring demand. Analysts at J.P. Morgan have forecast prices could reach $12,500 per metric ton in 2026, driven by what they term "acute supply disruptions." To close the looming gap, industry reports suggest that dozens of new mines, requiring hundreds of billions of dollars in investment, must be developed by 2030. This new South American project, powered by FLSmidth's technology, is a direct response to that urgent call.

The Technology of Efficient Extraction

The order highlights the immense scale and technological sophistication of modern mining. The equipment package includes a massive 1600 x 2400 TSU gyratory crusher, two Rapture 900 cone crushers, two 34-foot diameter dual pinion SAG (Semi-Autogenous Grinding) mills, and two 24-foot diameter dual pinion ball mills. The process is completed by two clusters of advanced gMAX cyclones, which separate finely ground particles for further processing.

This comminution circuit is notoriously the most energy-intensive stage in mineral processing, often accounting for up to 50% of a mine's total electricity consumption. As the industry faces pressure to decarbonize its own operations, the efficiency of this equipment has become paramount. FLSmidth has anchored its corporate strategy in its 'MissionZero' ambition, which aims to enable zero-emissions mining by 2030.

The technologies included in the order reflect this focus. Modern crushers and grinding mills are engineered to maximize throughput while minimizing energy per ton. Advanced control systems, optimized chamber designs, and superior wear materials all contribute to reducing power consumption, lowering operational costs, and shrinking the mine's overall carbon footprint. The gMAX cyclones, for instance, are designed to achieve finer particle separation at lower pressures, directly translating to energy savings in the grinding circuit. For large-scale copper concentrators, upgrades to comminution technology can reduce energy consumption by as much as 30% compared to older methods, a critical step towards more sustainable mining.

A Strategic Bet on South America

This order solidifies FLSmidth's already formidable presence in the South American mining market, a region that holds the world's largest copper reserves. For years, the company has supplied critical systems to the continent's super-pits, establishing a track record that makes it a go-to partner for new developments. The press release noted the deal "further cements FLS’s market-leading position within key comminution technologies and our proven track record in the South American mining market."

Julian Soles, Products Business Line President at FLSmidth, commented, “We are very excited to work with the customer and to supply equipment for this world-class greenfield copper concentrator.”

The investment climate in the region, particularly in copper-rich nations like Chile and Peru, remains robust despite political and regulatory complexities. Chile alone attracted over $790 million in exploration investment in 2024, accounting for more than a quarter of the global copper exploration budget. With a portfolio of planned mining projects valued at over $83 billion for the coming decade, the country is positioning itself to meet future demand. This new greenfield project, wherever its precise location, is part of a wave of investment aimed at capitalizing on South America's geological wealth to power the next generation of global technology.

As the world accelerates its shift away from fossil fuels, the success of the energy transition will be inextricably linked to the mining industry's ability to supply essential materials like copper efficiently and sustainably. This DKK 405 million deal is more than just a transaction; it is a vital building block for a low-carbon future, forged in the heart of the Andes.