Business & Finance

Copper Prices Likely to Stay Above $14,000 as Hindustan Copper Focuses on Cost Control for Expansion

By Saptaparno Ghosh

Global benchmark copper prices are expected to remain above $14,000 per tonne, according to Hindustan Copper Chairman and Managing Director Anupam Misra in an exclusive interview with The Hindu. Misra said the current rise in copper prices is largely due to a widening demand‑supply gap, with global demand at about 28 million tonnes and supply around 23 million tonnes. He added that benchmark prices at the London Metal Exchange should stay above $14,000 per tonne. At the time of writing, benchmark prices were trading 0.05% higher than the previous close at $14,508.85 per tonne.

Misra highlighted Hindustan Copper’s cost discipline, noting that the company’s EBITDA margin is above 50%, meaning costs are below 50% of revenue. "That means my costs are about 45% to less than 50%. So, even if benchmark prices go down, I will continue to be profitable," he said, indicating that falling prices would not jeopardise profitability.

The company has announced a capital expenditure programme of more than ₹7,000 crore over the next five to six years to expand mining capacity to 12.2 million tonnes per annum. Misra said the expansion will involve modernisation, capacity additions and equipment replacement across several sites, with unit costs expected to decline as production scales up. He also mentioned intermediate milestones toward 2030 targets to avoid slippages.

The expansion will rely mainly on brownfield development at Khetri, Kolihan and flagship Malanjkhand mines, along with further exploration. Misra noted that public‑sector entities are driving exploration to strengthen India’s resilience amid changing global copper dynamics, as private players are less attracted to projects with long gestation periods of 15 to 18 years.

Hindustan Copper is also pursuing the acquisition of four copper blocks in Chile. Misra said regulatory requirements on both sides mean the process may take time, but the company is working on it. The next step involves forming a joint venture in India and Chile, with potential partners to diversify risk.

Published – October 08, 2026 09:23 pm IST