BHP Group has secured an initial environmental permit to begin a $1.3 billion [1] expansion of its Escondida copper mine in Chile.

The approval allows the company to advance its long-term investment program in the Atacama Desert. As global demand for copper rises to support electrification and green energy, increasing the output of the world's largest copper mine is a critical step in BHP's growth strategy.

According to MiningFeeds, the company has received the first key environmental approval required to move forward with the project [4]. While the initial construction phase is valued at $1.3 billion [1], other reports indicate the broader expansion program could reach $14.7 billion [4].

This development is part of a wider push by the company to accelerate its global copper expansion, MSN Australia said [3]. The project aims to modernize operations and increase capacity at the site to ensure a steady supply of the metal for international markets.

Parallel to the expansion, BHP is adjusting its infrastructure portfolio in the region. Bloomberg said the company is exploring the sale of a desalination plant and electricity transmission assets in Chile [5]. This move is intended to monetize existing infrastructure and allow the company to concentrate on its core copper business [5].

BHP has also awarded a separate contract in Australia valued at AU$200 million [6], further signaling a dual-track push to increase copper production across its global assets. The Chilean permit removes a primary regulatory hurdle, clearing the way for the initial phase of construction to begin.

“BHP has received the first key environmental approval required to advance its long-term investment program”

The securing of this permit indicates that BHP is prioritizing copper production over general infrastructure management. By divesting from utilities like desalination and power transmission while investing billions into mine expansion, the company is narrowing its focus to the extraction of critical minerals essential for the global energy transition.