Major miner BHP (ASX:BHP,NYSE:BHP,LSE:BHP) welcomed October with the news that it will invest over AU$840 million in its Olympic Dam copper operation in South Australia.
In an October 1 release, the commodities giant said that the funding is for a series of “growth-enabling projects” at the site, focused on strengthening underground mining productivity.
The company outlines several priority projects it intends to pursue at Olympic Dam, namely the construction of an underground access tunnel, a new backfill system, expansion of ore pass capacity and the installation of a new oxygen plant to improve smelter performance and support increased copper-processing capability.
“We expect to grow our copper base from 1.7 million tonnes to around 2.5 million tonnes per annum,” shared BHP COO Edgar Baston. “Achieving that scale requires significant copper growth, and we are fortunate to have a world-class copper province right here in South Australia to do just that.” According to Baston, BHP’s South Australian copper province has been delivering over 300,000 tonnes a year for the past three years.
Copper demand set to rise
In a global trade update shared in May, UN Trade & Development notes that global demand for copper is expected to grow by over 40 percent by 2040. This projected demand increase will drive supply requirements, with the organisation citing the need for around 80 new mines and US$250 billion in investment by 2030 to keep up.
For its part, BHP notes that global copper demand is projected to grow 70 percent by 2050 due to population growth, rising living standards and the energy transition. It adds that this poses a general opportunity for South Australia, underlining that it holds about two-thirds of Australia’s copper resources.
History of Olympic Dam
Olympic Dam was acquired by BHP in 2005 through its acquisition of Western Mining. It has become a cornerstone of BHP’s copper portfolio, with copper accounting for around 70 percent of the asset’s total revenue.
In its 2025 fiscal year, BHP reported a production of over 2 million tonnes of copper for the first time.
Don Farrell, Australian minister for trade and tourism, commented on the company’s investment in Olympic Dam, noting, ‘Australia is at the forefront of the energy transition in which copper is a vital resource and by securing the continued flow of copper from Olympic Dam, BHP is ensuring South Australia’s position as a key global supplier.”
BHP October updates
Also in early October, BHP iron ore cargoes were banned by Chinese iron ore buyer China Mineral Resources Group. The move reportedly stems from pricing disputes and has raised concerns for Australia.
Australia remains China’s top provider of iron ore, and BHP continues to be among the country’s major iron ore exporters, alongside Rio Tinto (ASX:RIO,NYSE:RIO,LSE:RIO) and Fortescue (ASX:FMG,OTCQX:FSUMF).
BHP has not commented on the matter as of writing.
On a positive note, BHP launched the fourth edition of its Xplor Critical Minerals Accelerator Program.
As in previous cohorts, Xplor 2026 participants can receive up to US$500,000 in equity-free funding, mentorship and access to BHP’s global network of suppliers and service providers.
Submissions close on October 15 at 11:59 p.m. AEST.
Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.