India’s Adani Group has taken another step towards securing overseas copper resources after its subsidiary, Kutch Copper Ltd (KCL), signed a Memorandum of Understanding (MoU) with Chile’s state-owned mining company Corporación Nacional del Cobre de Chile (Codelco) for the exploration of the Kaburkaala copper project in northern Chile.

The agreement covers a proposed exploration partnership at the Kaburkaala project in the Calama mining district of the Antofagasta Region. The area is part of one of the world’s major copper-producing zones. The agreement could give Adani access to additional copper resources for its operations in India, including its copper smelting and refining complex at Mundra in Gujarat.

The MoU was signed during London Metal Exchange (LME) Week 2026 in London. The signing took place in the presence of Jeet Adani, Director of Kutch Copper Ltd, Dr Vinay Prakash, CEO of Adani Natural Resources, and Bernardo Fontaine, Chairman of Codelco.

The agreement follows discussions between the two companies over the past year. According to Codelco, their teams had examined several copper projects from its exploration portfolio. The process included technical checks and visits to mining sites in Chile. Adani selected Kaburkaala after completing this assessment and submitted a proposal to move forward with its exploration.

For Adani, the proposed arrangement offers a possible route to secure copper supplies from South America. The company plans to connect the Chilean resource base with its operations at Mundra, where Kutch Copper has developed a large copper smelting and refining facility.

Jeet Adani, Director of KCL, said, “Critical resources, led by copper, are at the very heart of our future transformation. More than just a mining asset, we view this strategic partnership as a long-term investment in India’s future. By securing robust access to global copper resources, we are building supply chain resilience for the critical industries driving our nation’s growth, spanning renewable energy, advanced manufacturing, infrastructure, and technology. This partnership is a testament to our commitment to enhancing India’s resource security and supporting its journey to becoming a global economic powerhouse,”

Bernardo Fontaine, Chairman of the Board of Codelco, said, “This MoU represents an important step in the work we have carried out with Adani over the past year. This process demonstrates Codelco’s ability to attract world-class partners and create value from its exploration portfolio, while safeguarding the long-term interests of the company and the State of Chile.”

The agreement comes at a time when India’s copper requirements are increasing. Copper is widely used in electrical wires, power transmission equipment, electric vehicles, renewable energy installations, construction and industrial machinery. Solar and wind power projects also require large quantities of copper for cables, generators, transformers and electrical connections.

India continues to depend heavily on overseas supplies of copper raw materials. The Ministry of Mines has reported that domestic copper smelters rely on imported copper concentrates because local mine production remains limited. The ministry’s Copper Vision Document also recorded copper concentrate imports of around one million tonnes in recent years.

The Ministry of Mines’ Annual Report for 2025-26 puts India’s apparent consumption of refined copper cathodes at 1.542 million tonnes, against domestic supply of 536,000 tonnes. This represents a self-sufficiency level of approximately 35%. The figures underline the gap between domestic requirements and available supplies.

Chile has a major place in the international copper industry. According to the Chilean Copper Commission’s production figures, the country produced approximately 5.42 million tonnes of mined copper in 2025, accounting for around 22.9% of global mine production.

Codelco is among the world’s largest copper producers and is owned by the Chilean state. Its mining operations include major deposits such as Chuquicamata, El Teniente, Radomiro Tomic and Ministro Hales. The company reported total attributable copper production of approximately 1.44 million tonnes in 2025.

The partnership also allows Codelco to bring outside investment into its exploration activities. Under the proposed arrangement, Adani is expected to provide capital, technology-led exploration and project execution capabilities. Codelco will contribute its geological knowledge and experience in the Chilean mining industry.

Such arrangements allow mining companies to share the financial and technical risks involved in examining new deposits. Exploration can require years of geological surveys, drilling, laboratory testing and feasibility studies before a company can decide whether commercial mining is possible.

At present, the announcement concerns exploration. The companies have not disclosed the estimated copper reserves at Kaburkaala, the proposed investment amount, the expected production capacity or a commercial mining schedule. The MoU therefore does not mean that the project has received approval for full-scale mining.

For Kutch Copper, the proposed arrangement has a direct connection with its facility at Mundra in Gujarat. The company, a wholly owned subsidiary of Adani Enterprises Ltd, has established a copper smelting and refining complex with an installed capacity of 500,000 tonnes per year. It has plans to increase this capacity to one million tonnes annually.

The Mundra facility produces refined copper and other metals and by-products, including gold, silver and sulphuric acid. Its operations require a steady supply of suitable copper-bearing raw materials. Access to overseas mining resources could help the company secure supplies for its expanding processing operations.

The agreement also comes as India and Chile seek closer cooperation in critical minerals. Chile’s established mining industry and India’s growing demand for industrial metals provide a basis for further business ties between the two countries.

For India, overseas exploration partnerships could become one way to reduce the risks associated with dependence on imported mineral supplies. However, the commercial value of the Kaburkaala agreement will depend on what geological surveys and future exploration work reveal.

The next stage will be to establish the project’s mineral potential and assess whether the available copper resources can support commercial extraction. The findings will determine how far the proposed partnership can progress and whether Kaburkaala can eventually become a source of raw material for Adani’s copper operations in Gujarat.

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