Morning Bites (part 3)

⛏️ Freeport McMoran expects ~35% lower copper output at Grasberg in 2026, compared with its previous estimates, amid the recent fatal accident, the company reports. To recap, Freeport’s previous production guidance for the site in 2026 was ~770kt of Cu. Thus, the 35% decline implies additional ~1% deficit to the market balance in 2026

Grasberg is one of the world’s largest copper and gold mines, accounting for >3% of global mined Cu output. Even with a gradual restart, the anticipated supply drop will additionally affect already tight global Cu supply and support prices, which we expect to reach USD 12,000/t in 1H26 in our base-case scenario

#copper