How to profit from the next copper supercycle
Professional investor Jacob White, ETF product manager at Sprott Asset Management, highlights three copper mining stocks set to benefit from surging demand for energy transition
Copper mining has been a standout sector in 2024, bolstered by the copper spot price nearing all-time highs. We believe copper’s growing use as a critical material for surging global energy demand has triggered the next copper supercycle. The proliferation of data centres needed to support artificial intelligence (AI) applications, and the recent increase in their substantive power requirements (and, therefore, their copper requirements) have created a demand shock for the red metal. The growing energy needs of electricity grids, emerging economies and the copper-intensive energy transition have also given miners a major fillip.
Yet the supply of copper has fallen below expanding demand, which may result in escalating copper deficits in years to come. Copper miners are therefore poised to play a pivotal role in providing a critical material necessary for electrifying the global economy. Here are three copper mining stocks within the Sprott Copper Miners ESG-Screened UCITS ETF exemplifying the industry’s efforts to bolster future supply.
Top copper mining stocks to play the boom
Freeport-McMoRan (NYSE: FCX) is the largest pure-play copper producer in the world, with 1.3 million tonnes of copper output in 2023. FCX is renowned for its geographical diversification (it has mines in North America, South America and Indonesia); strong margins and cash flows; large and liquid stock; and its advancing project pipeline, which provides additional growth opportunities owing to 111 billion pounds of copper reserves. Of the copper producers above one million tonnes, FCX is the only publicly listed pure-play (above 50% exposure to copper).
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Lundin Mining Corporation (Toronto: LUN) is a prominent Canadian copper producer, with projects in Argentina, Brazil, Chile, Portugal, Sweden and the US. The company hit a record high in copper production in 2023 and its production guidance for 2024 projects a further increase. Moreover, Lundin and BHP Group agreed to acquire Filo for $3billion, giving them each 50% ownership.
The deal is expected to close in the first quarter of next year, and gives Lundin exposure to the advanced-stage copper exploration project Filo del Sol. It has 4.5 billion pounds of indicated and inferred copper resources, additional gold and silver resources and is located near an existing project owned by Lundin, along the border of Chile and Argentina. More broadly, this acquisition marks a continued strategic interest in pure-play copper miners and provides another tailwind to the industry.
A junior copper stock set to mature rapidly
ERO Copper (Toronto: ERO) is a junior copper producer and developer with operations in Brazil and headquarters in Canada. ERO’s assets are all in Brazil. They include the Caraíba Operations, which contain multiple high-grade copper-producing mines and the Tucumã Project, an imminently producing copper project that is expected to double the company’s total copper production by 2025.
ERO also owns the Xavantina Operations, an operating gold and silver mine. It boasts a leading sustainability position as a lower carbon-intensity copper producer. Operations located in Brazil benefit in this regard as Brazil is a leader in clean energy, generating 91% of its electricity from it in 2023.
This article was first published in MoneyWeek's magazine. Enjoy exclusive early access to news, opinion and analysis from our team of financial experts with a MoneyWeek subscription.
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.

Jacob White joined Sprott Asset Management in July 2020. He is responsible for managing Sprott’s ETF lineup, ETF product development, investment analysis and thought leadership. Prior to Sprott, Mr. White worked in asset management on a proprietary outcome-oriented fund-of-funds platform, OCIO (Outsourced Chief Investment Officer) clients and delegated accounts. He helped manage diversified investment strategies, primarily for Canadian institutional investors. Mr. White holds a Bachelor of Business Administration (Finance Major) from Wilfrid Laurier University, a Bachelor of Mathematics from the University of Waterloo, and is a CFA® charterholder.
-
Financial support for carers: what can you get?Unpaid carers miss out on an average £6,400 a year in annual salary by cutting work to support loved ones. We explore benefits that can plug the financial gap.
-
MoneyWeek news quiz: Will Reeves force you to buy UK shares?Rumours the chancellor will introduce a minimum UK share requirement in ISAs surfaced this week. Test your knowledge of the headlines in MoneyWeek’s news quiz.
-
How to invest in undervalued gold minersThe surge in gold and other precious metals has transformed the economics of the companies that mine them. Investors should cash in, says Rupert Hargreaves
-
Debasing Wall Street's new debasement trade ideaThe debasement trade is a catchy and plausible idea, but there’s no sign that markets are alarmed, says Cris Sholto Heaton
-
Europe’s new single stock market is no panaceaOpinion It is hard to see how a single European stock exchange will fix anything. Friedrich Merz is trying his hand at a failed strategy, says Matthew Lynn
-
Should UK schools ban smartphones?The effects of smartphones on young minds are disturbing, with calls for politicians to make school smartphone bans mandatory. Is radical action needed?
-
Albert Einstein's first violin sells for £860,000 at auctionAlbert Einstein left his first violin behind as he escaped Nazi Germany. Last week, it became the most expensive instrument not owned by a concert violinist
-
Who is Rob Granieri, the mysterious billionaire leader of Jane Street?Profits at Jane Street have exploded, throwing billionaire Rob Granieri into the limelight. But it’s not just the firm’s success that is prompting scrutiny
-
Emerging markets boast top-quality growth stocks at bargain pricesOpinion Lim Wen Loong, investment director at Ashoka WhiteOak Capital, selects three growth stocks where he’d put his money
-
Beware the bubble in bitcoin treasury companiesBitcoin treasury companies are no longer coining it. Short this one, says Matthew Partridge