British Columbia, Canada, October 24, 2026: US-based mining giant Newmont Corporation has estimated development capital of up to US$4.8 billion for the underground expansion of its Red Chris copper-gold mine in British Columbia, Canada. The project is expected to strengthen the company’s copper production capacity while extending the long-term value of one of its key mining assets.
The company outlined the updated investment estimate in its third-quarter 2026 results, with commercial production targeted for 2033. The proposed development represents a major investment in Canada’s mining sector as demand for copper continues to grow amid electrification, renewable energy expansion and increasing infrastructure requirements.
Red Chris Expansion Targets Higher Copper and Gold Production
Newmont estimates development capital for the underground project at between US$4.2 billion and US$4.8 billion, equivalent to approximately C$5.6 billion to C$6.4 billion.
Once operational, the expanded mine is expected to produce an annual average of approximately 275,000–325,000 ounces of gold and 65,000–85,000 tonnes of copper between 2035 and 2040.
The initial development phase is designed to deliver approximately 3 million ounces of gold and more than 850,000 tonnes of copper over an estimated 13-year operating period.
Newmont owns a 70% stake in Red Chris and operates the mine in partnership with Imperial Metals, which holds the remaining 30%.
Engineering Work More Than 60% Complete
Newmont President and Chief Executive Officer Natascha Viljoen said engineering work on the project was more than 60% complete. The updated mine design incorporates improvements to the underground block-cave layout, including adjustments intended to avoid major geological fault lines.
The company is nearing completion of its feasibility study and expects to make a final investment decision in early 2027. Subject to board approval, construction could begin during 2027, with commercial production targeted for 2033.
Key permits were granted by British Columbia in June through a consent-based process involving the Tahltan Nation, an Indigenous community with longstanding connections to the region.
Canadian Government Support Strengthens Project Prospects
The Canadian government is expected to contribute C$500 million towards the Red Chris expansion, although the final conditions of the proposed contribution remain to be settled.
The project has also received support through Canada’s Major Projects Office, which helps coordinate regulatory approvals and financing for strategically important developments.
However, the latest cost estimate is substantially higher than the US$2.1 billion considered in an earlier prefeasibility study by Newcrest in 2021. Newmont has cautioned that the scope of the current development differs from the earlier proposal, making direct cost comparisons difficult.
The current estimate includes contingency provisions and assumes the anticipated government contribution but excludes the cost of transitioning from open-pit to underground mining.
Copper Demand Drives Strategic Investment
Copper is an essential raw material for electricity transmission, renewable energy infrastructure, electric vehicles and data centres. Growing investment in these sectors is strengthening the strategic importance of reliable copper supplies.
The Red Chris expansion could contribute to Canada’s position as a significant supplier of copper and gold while supporting long-term mining investment in British Columbia.
Nevertheless, the project’s financial performance will depend on construction costs, commodity prices, operating efficiency and the successful completion of the remaining development stages.
Newmont expects to finance construction through internal cash flow, subject to the project’s approval and investment criteria. The company will need to balance this major capital commitment against spending requirements across its wider global portfolio.
Outlook: Red Chris Emerges as a Major Growth Project
The proposed expansion represents a significant long-term growth opportunity for Newmont, combining copper production with substantial gold output. If delivered according to plan, the project could strengthen the company’s position in both metals and support Canada’s ambitions to expand critical-mineral production.
The immediate priorities are completing the feasibility study, finalising government funding arrangements and securing board approval for construction.
With investment estimated at up to US$4.8 billion, Red Chris is set to become a major test of Newmont’s ability to deliver large-scale underground mining projects while controlling costs and expanding copper production.