Hudbay Breaks Ground on $11.5B Copper Mountain Expansion
Event summary
- Hudbay began construction on the New Ingerbelle expansion at its Copper Mountain mine on June 18, 2026, following permit approval in February 2026.
- The project is expected to produce 750,000 tonnes of copper, 900,000 ounces of gold, and 5.5 million ounces of silver over its lifespan.
- Expansion will generate C$11.5 billion in provincial GDP and preserve 800 direct jobs beyond 2040.
- Hudbay secured refreshed participation agreements with Upper and Lower Similkameen Indian Bands in February 2026.
The big picture
The expansion solidifies Hudbay's position in Canada's critical minerals sector amid growing global demand for copper. The project's success hinges on balancing economic benefits with environmental stewardship, particularly concerning the Similkameen River ecosystem. This development comes as governments prioritize domestic supply chains for strategic metals, potentially benefiting Hudbay's long-term positioning.
What we're watching
- Execution Risk
- Whether Hudbay can deliver the project on time and within budget, given the scale of infrastructure required.
- Regulatory Headwinds
- How the judicial review application filed by the Lower Similkameen Indian Band may impact project timelines.
- Resource Optimization
- The pace at which Hudbay can upgrade inferred resources to reserves through its targeted drilling program.
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