BHP has taken another step forward in its copper expansion ambitions in South Australia, awarding a design and supply contract worth more than AU$200 million to China Nerin Engineering Co. Ltd (Nerin).
The contract focuses on key processing facilities for a proposed smelter and refinery expansion project at Olympic Dam, situated in the state’s far north.
Nerin, a top-tier Chinese metallurgical engineering firm, brings a global pedigree to the table, having delivered seven large-scale, modern copper smelters in recent years.
The development is a central piece of BHP’s broader strategy to increase its South Australian copper output. The mining giant aims to ramp up production to 500,000 tonnes per annum (ktpa) through the 2030s, with potential to scale up to 650 ktpa by the end of that decade.
Currently, BHP has over AU$2 billion worth of projects underway in the region, which produced roughly 316,000 tonnes of copper in the financial year 2025.
“BHP is building momentum in South Australia, and this contract award marks another important step in our plans to increase copper production here,” said Anna Wiley, BHP’s Asset President for Copper South Australia.
“Copper South Australia is a globally significant province and we are working at pace to unlock its full potential and supply more of the copper the world needs.”
The deal will roll out in separate stages as BHP progresses its optimisation studies. However, the final supply portion remains strictly contingent on the company making a positive final investment decision, which is slated for calendar year 2027.
BHP Group Procurement Officer Rashpal Bhatti noted that partnering with Nerin reflects a focus on a globally connected supply chain to access innovation and guarantee reliable project delivery as worldwide copper demand intensifies.
Global appetite for copper is projected to skyrocket by 70 per cent by 2050, fuelled by digitalisation and the green energy transition.
With South Australia hosting roughly two-thirds of the nation’s copper resources, the project represents a generational economic opportunity for the state.
