The New South Wales Government has approved Aeris Resources‘ (ASX:AIS) Constellation Project, further boosting the state’s copper supply to support the renewable energy transition.
Constellation is a copper mine located near existing operations at the Tritton Copper Mine in western New South Wales, between Nyngan and Cobar. The project includes the development of an open-cut put and underground mine, with an expected average production of 500,000 tonnes of copper ore per year.
Aeris expects to begin construction of the mine shortly, with operations scheduled to begin before the end of 2026, pending completion of construction.
The project is expected to create around 125 jobs during construction and up to 255 jobs during peak operations. Over its anticipated 16-year mine life, Constellation is expected to contribute around $42 million in royalties to New South Wales.
According to the New South Wales Government, about 190,000 tonnes of copper was produced in 2025. It is expected that to fulfill global demand and the transition to the global energy grid, copper production will have to double.
Minister for Natural Resources Courtney Houssos says global demand for copper is rising, with prices climbing more than 20% this year.
“Copper will play a critical role in the global renewable energy transition. In 2024, around 30% of copper demand was for new energy technologies and electrification, and by 2030 this could be around 35%,” Houssos says.
As previously reported, a S&P Global study revealed that the pace of electrification is set to swell copper demand to 42 million tonnes by 2040 – representing a 50% increase from current levels.
Global copper production is forecast to peak in 2030 at 33 million tonnes. The widening disconnect will result in a supply deficit of 10 million tonnes by 2040 – which is 25% below the projected demand.
S&P Global says meeting this demand requires adding the equivalent of roughly 300 Hoover Dams, or more than 650 one-gigawatt nuclear reactors, each year between now and 2040.
According to the Department of Industry, Science and Resources (DISR) December 2025 Resources and Energy Quarterly, output from Australian copper mines is forecast to decrease by as much as 3% in 2026-27.
DISR reports that lower company guidance is expected to impact copper mines in the next financial year. Following on from mine output, copper exports also fell in the first nine months of 2025.
Australian exports have also been revised up by $800,000 million in 2025-26 and $1.6 billion in 2026-27 due to an increase in copper price and export volumes.
At the time of writing, copper futures held above US$5.90 per pound, maintaining recent gains despite expectations of weaker near-term demand as activity in China slows ahead of the Lunar New Year holidays.
Goldman Sachs estimates that the copper market faced a surplus of 600,000 tonnes in 2025, though prices still reached record highs earlier this year. Over the past month, copper’s price has fallen 1.29%, but is still up 27.05% compared to the same time last year, as reported by Trading Economics.
Write to Aaliyah Rogan at Mining.com.au
Images: Aeris Resources
