Chinese mining giant, MMG, has approved a $900 million (P11.8 billion) expansion of Khoemacau Copper Mine, with production from the new project expected in the first half of 2028.
MMG, a Chinese state-majority firm, snapped up Khoemacau in a $1.7 billion deal in 2024, as part of the global quest for critical minerals which are essential for clean energy technologies, defence and consumer electronics.
In a statement earlier today, MMG CEO and executive director, Zhao Jing Ivo, announced that the group’s board had approved Khoemacau’s expansion which will increase annual production capacity to 130,000 tonnes of copper concentrate and associated silver output to four million ounces.
This project will involve extending mining operations to Zone 5 North, Mango and Zeta North-East deposits and building a new 4.5 million tonnes per annum processing plant. Khoemacau’s current production capacity is about 60,000 tonnes of copper concentrate and 1.6 million ounces of silver.
“The life-of-mine average C1 cost is expected to improve to be below US$1.60 per pound, representing a significant reduction from the actual C1 cost of US$2.05 per pound recorded for the six months ended 30 June 2025,” Ivo said. “This expansion is a strategic initiative aimed at enhancing the long-term profitability and scale of the company’s copper portfolio.”
In mining, C1 costs refer to the basic cash costs of running a mining operation such as labour and electricity.
Ivo said looking ahead, Khoemacau has identified a further expansion potential of up to 200,000 tonnes of copper per annum, supported by ongoing exploration activities.
“A pre-feasibility study for the next expansion phase is scheduled to begin in 2026,” he said.
Khoemacau is the largest of the country’s three copper mines, contributing the most to the rising exports of the critical mineral. Bank of Botswana statistics indicate that between January and August, the country exported copper worth P7.5 billion, compared to P6.8 billion over the same period last year.
