Aurubis, Viscaria explore copper concentrate supply contract

Nonferrous metals producer Aurubis AG, headquartered in Hamburg, Germany, and Swedish mining company Viscaria have agreed to enter into a memorandum of understanding for a long-term copper concentrate supply contract.

Viscaria is working on reopening the Viscaria mine in Kiruna. The asset is intended to operate as an underground mine. The deposit’s high-grade copper, assessed mineral resources and geographic location provide ideal conditions for becoming an important supplier of high-quality and responsibly produced copper, the company says. The Viscaria project is projected to contain a total of nearly 1 million tons of copper.

The offtake agreement between Viscaria and Aurubis is expected to cover approximately 50 percent of Viscaria’s projected copper concentrate output over an initial eight-year period from 2028 onward and would include an extension option. If annual production increases during the term, the parties would discuss, in good faith, an adjustment to the contracted quantity, according to a news release issued by Aurubis.

The mine in Kiruna, Sweden, is expected to produce more than 25,000 tons of copper annually. Its location in northern Sweden is proximal to Aurubis’ plants, ensuring a low carbon footprint in terms of transportation, Aurubis says.

Most Aurubis sites have been audited according to the international Copper Mark framework, which the company says offers proof that its responsible copper sourcing and production requirements are upheld throughout the group.

Viscaria’s focus on ESG, or environmental, social and corporate governance, also lays the perfect foundation for implementing internationally recognized responsible production standards once the project is operating.

Operating in Sweden, a Tier 1 mining jurisdiction, with an extensive long-term environmental permit, Viscaria aims to rank among the top 5 percent of global copper mines with the lowest carbon emissions. The company recently secured 45 megawatts of carbon-neutral electricity, enabling fully electrified mining operations with minimal climate impact. Technical solutions include electrified vehicles or optimized transport modes.

Additionally, Viscaria inaugurated one of Sweden’s most advanced water treatment plants at the mine site. The water treatment plant sets a completely new standard that exceeds Swedish and international environmental requirements. The project emphasizes promoting biodiversity and responsible land restoration during and after mining operations.

“Securing a long-term partnership with a global market leader such as Aurubis underscores the strength of our strategy, provides significant support to the debt financing process and ensures flexibility in managing our production volumes. The agreement recognizes the high quality of the concentrate produced by Viscaria. This is a positive step forward towards becoming a significant new European copper producer,” Viscaria CEO Jörgen Olsson says.

“This partnership exemplifies the importance of European raw material projects and demonstrates how competitive and responsible our industrial value chains can be,” Aurubis CEO Toralf Haag adds. “I hope this encourages us to pursue such projects more decisively in the future—to strengthen our strategic metal supply and reinforce our industrial resilience.”

According to sector experts, demand for strategic industrial metals such as copper used in data centers, electrification, infrastructure and security is expected to rise by 22 percent in the coming years and even double by 2050.

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The European Commission supports local mine projects within the context of the European Critical Raw Materials Act to strengthen local supply chain resilience and reduce dependence on external sources. The planned agreement between Aurubis and Viscaria represents a key step toward securing the supply chain through critical raw materials, Aurubis says.

Moving forward, due diligence will be conducted as part of the further engagement between the companies. Viscaria and Aurubis say they are committed to continuous engagement, and due diligence is essential to both companies as part of a broader sustainability-focused dialogue.