Adani Enterprises Limited is set to launch the world’s largest metallurgical complex for copper and other metals in the coming weeks. The facility, known as Kutch Copper, will begin smelting copper concentrate in the coming weeks, with Felipe Williams, the company’s head of metals, announcing the news at a conference in Santiago, Chile. The smelter has already started commissioning, with the production of the first anodes, and has environmental approvals to increase capacity.
The timing of the launch is significant, as copper demand in India is expected to surge in the coming years as the country’s economy grows. The smelter is coming online at a time when Asian smelters are facing a tight copper supply, leading to negative treatment and refining charges (TC/RCs). TC/RCs are a key revenue source for smelters, and a gauge of availability for copper concentrates.
Despite the challenges, Williams emphasized that the company sees this as a long-term opportunity. He noted that the TC/RCs are currently negative numbers, but the company is undeterred. The launch comes as copper and other base metals prices rebounded sharply on the news that the US government had paused tariffs on various countries for 90 days. Benchmark three-month copper on the London Metal Exchange gained 3.8% to $8,939 per metric ton. The launch of Kutch Copper is expected to play a significant role in meeting India’s growing copper demand and contributing to the country’s economic growth.