Mitsubishi Corporation, the global investment conglomerate, has agreed to acquire a 30% stake in Hudbay Minerals Inc.’s (NYSE:HBM) Copper World project in Arizona, in a deal valued at $600 million.
The partnership establishes a joint venture centered on critical metals and marks Japan’s growing presence in North America’s copper sector.
The funding will be rolled out in two stages: an initial $420 million upon closing and a further $180 million within the next 18 months. Mitsubishi will continue to provide capital in proportion to the venture’s future funding requirements.
Peter Kukielski, CEO of Hudbay, highlighted the strategic importance of the move, saying that Mitsubishi’s involvement “generates significant value within the company’s copper growth portfolio.” He also noted that the minority stake had attracted interest from investors in Saudi Arabia and the United Arab Emirates.
Demand for copper is expected to rise sharply in the coming decades, driven by electric vehicle adoption, renewable energy expansion, and growth in data centers. This makes regions like Arizona increasingly attractive to mining and trading firms.
Located approximately 257 kilometers from Phoenix, the Copper World project has the potential to produce 85,000 metric tons of copper annually, with an expected mine life of 20 years.
Hudbay, headquartered in Toronto, operates additional copper and gold mines across the Americas. The latest investment is projected to support around $1.5 billion in spending within the U.S. critical minerals supply chain.
Hudbay Minerals Inc stock price
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