Freeport-McMoRan weighs boosting molybdenum supply at Colorado Mine

Freeport-McMoRan is considering plans to increase molybdenum production at its Climax mine in Colorado, citing supply challenges and growing demand, CEO Kathleen Quirk said Tuesday, according to Bloomberg. Prices of the metal, which is used in aerospace and semiconductors, have risen more than 50% this year.

About 60% of global molybdenum supply is produced as a byproduct of copper mining, and a major part of the supply squeeze stems from Chile, where operational setbacks have cut output of both copper and molybdenum; Chilean production fell 8% in the first half of 2026 from a year earlier.

Molybdenum demand grew at an average annual rate of 4.4% during 2020–25 before jumping to 8.5% in the first half of this year, and prices have climbed more than 50% year-to-date, BMO Capital said in a note that forecasts a sixth consecutive annual market deficit in 2027.

In addition to raising output at Climax, Freeport's proposed expansion of the Bagdad copper mine in Arizona would add 10 million–12 million lbs per year of molybdenum production. Quirk said boosting copper output remains the company's top priority.