BHP and Lundin Mining Form Vicuña Corp. to Advance Copper Projects in Argentina and Chile

BHP Group and Lundin Mining have completed their joint acquisition of Filo and established Vicuña, a 50/50 joint venture that will oversee the Filo del Sol and Josemaria copper projects in Argentina and Chile. The total acquisition cost was C$4 billion (approximately USD 3 billion), excluding shares already held by both companies, BHP announced on January 15.

BHP’s subsidiary, BHP Investments Canada, contributed C$2 billion (approximately USD 1.5 billion) in cash to the acquisition. Lundin Mining’s contribution comprised C$877.8 million (approximately USD 660 million) in cash and 94.1 million Lundin Mining shares. Prior to the transaction, Lundin Mining fully owned the Josemaria project. Upon completion, BHP acquired a 50% stake in the project for approximately US$690 million (approximately USD 690 million). Both companies subsequently contributed their respective 50% interests in Filo del Sol and Josemaria to the joint venture.

“Leveraging the complementary capabilities of Lundin Mining and BHP, the development of Vicuña’s projects aims to deliver substantial value to shareholders, as well as to other stakeholders,” said BHP CEO Mike Henry.

The newly formed Vicuña plans to deliver a mineral resource estimate for both the Filo del Sol and Josemaria deposits in the first half of 2025. “This resource estimate will form the basis of an integrated technical report which will outline the development plan for the phased construction of the district,” stated Lundin Mining President and CEO Jack Lundin.

The Vicuña projects are positioned to play a critical role in addressing growing global demand for copper, driven by the energy transition and infrastructure development. The partnership underscores the strategic importance of the region’s rich mineral resources and the companies’ shared commitment to responsible and efficient project development.