Poland’s KGHM, a state-controlled copper producer, is making strategic moves to bolster its supply chain by investing in Morocco’s burgeoning copper sector. This initiative aims to bring raw materials closer to its smelting facilities in Poland, thereby reducing logistics costs and enhancing supply security while also addressing carbon footprint concerns.
Chief executive Remigiusz Paszkiewicz highlighted Morocco’s significance in KGHM’s international expansion strategy. The company’s focus on aligning its mining operations with domestic processing capabilities reflects a broader trend towards regionalized supply chains within the global metals industry, emphasizing the need for more localized sourcing of raw materials.
Global Mining Portfolio and New Cooperation in Morocco
KGHM’s diverse mining portfolio includes operations such as the Robinson copper mine in the United States and a 55% stake in the Sierra Gorda project in Chile. To further strengthen its resource acquisition, KGHM has recently signed a memorandum of understanding with Morocco’s National Office of Hydrocarbons and Mines, along with local mining group Managem. This agreement aims to foster cooperation in mineral resource development, signaling KGHM’s commitment to deeper engagement in North Africa.
Morocco is positioning itself as a key player in the copper and battery supply chain investment landscape. The introduction of a national digital mining registry is designed to streamline licensing processes and attract foreign investors like KGHM. The country is increasingly recognized as a critical gateway for minerals essential to the global energy transition and electrification efforts.
Major Copper Projects in the Anti-Atlas Belt
The Anti-Atlas mountain range in Morocco hosts significant copper resources, including the Tizert copper project, which is anticipated to be one of the largest mining operations in the nation. With estimated resources of around 100 million tonnes and an expected annual output of approximately 120,000 tonnes of copper concentrate, Tizert represents a substantial opportunity for KGHM.
Other notable assets within Morocco’s copper sector include:
Bouskour mine (Ouarzazate) – estimated at 9 million tonnes of ore grading 1.61% copper; Bleida mine – known for copper-cobalt mineralization; Bel N’Zourk deposit – a cobalt system with copper grades up to 3.44%; and Kharrouba copper mine (Marrakech) – processing roughly 800 tonnes of ore daily.
For KGHM, expanding into Morocco aligns with its broader strategy of establishing shorter and more efficient supply chains for its European smelting operations. By sourcing materials closer to Poland, the company aims to decrease reliance on long-distance imports from regions such as Chile and the United States. This shift illustrates a significant transformation within the global copper industry, where proximity to processing facilities, energy efficiency, and resilience in supply chains are becoming critical factors influencing investment decisions.
