BHP, Faraday Copper Explore Deal to Revive Arizona Mine

By Connor Hart

BHP Group signed a nonbinding letter of intent with Faraday Copper to explore a deal that could revive the historic San Manuel copper mine in Arizona.

The companies said Friday they will evaluate restarting the San Manuel mine and combining it with Faraday's nearby Copper Creek project to create a larger copper development hub.

Under the proposed terms, Faraday would acquire BHP's San Manuel property. In exchange, BHP would receive a 30% interest in the equity of Faraday, as well as commensurate shareholder and marketing rights.

BHP also agreed to participate in any Faraday equity raises for two years, investing up to $20 million.

San Manuel operated from 1955 to 1999 and was once the largest underground copper mine in the U.S., the companies said. The mine was closed during a prolonged period of low copper prices, though mineral inventory remains.

Catherine Raw, BHP's chief development officer, said the agreement would create a more resilient copper supply chain in the U.S., as well as prompt economic development in the Pinal County region.

Write to Connor Hart at connor.hart@wsj.com

(END) Dow Jones Newswires

February 20, 2026 08:00 ET (13:00 GMT)