- Copper rose 1.68% to US$6.4365/lb (CAD$8.94/lb) on September 15, 2026, outperforming broader base metals including aluminum and nickel.
- Teck Resources (TSX: TECK.B) closed at CAD$92.03, with its QB2 Chile mine ramping toward 316,000 tonnes of annual copper output at highly profitable spot prices.
- AI datacenter construction is emerging as a major new copper demand driver, with Wood Mackenzie projecting 1.2 million additional tonnes of annual demand by 2028.
- Chilean ore grade decline and a pending strike vote at a Chilean concentrator are tightening global copper concentrate supply, supporting elevated prices.
Copper hit US$6.4365 per pound on September 15, 2026, a gain of 1.68% on the session, pushing the red metal to its highest level in months and translating to approximately CAD$8.94 per pound at the prevailing USD/CAD exchange rate of 1.3887. The move outpaced broader base metals, where aluminum proxy Alcoa fell 2.71% and nickel proxy Vale SA dropped 4.07%, underscoring copper’s unique demand profile in the current macro environment.
AI Datacenters Are Becoming a Structural Copper Demand Driver
The traditional copper demand narrative — EVs and solar panels — has been joined by a powerful new force: artificial intelligence infrastructure. Each hyperscale AI datacenter requires between 15 and 30 tonnes of copper for busbars, cooling systems, power distribution, and server interconnects. With North American hyperscalers committing over US$200 billion in datacenter capital expenditure through 2027, analysts at Wood Mackenzie estimate AI-related copper demand could add 1.2 million tonnes annually to global consumption by 2028. This is a demand category that did not exist at scale three years ago. For Canadian investors, it represents a durable, policy-insulated tailwind for domestic producers.
Teck Resources Holds Steady as Copper Thesis Strengthens
Vancouver-based Teck Resources (TSX: TECK.B) edged up 0.05% to CAD$92.03 on Tuesday — a muted single-session move that belies the company’s growing copper leverage. Following its 2024 divestiture of the steelmaking coal business, Teck is now a pure-play copper and zinc producer, with its Quebrada Blanca Phase 2 (QB2) operation in Chile ramping toward a nameplate capacity of 316,000 tonnes of copper per year. QB2 positions Teck as one of the largest copper producers in the Americas, and at today’s spot price, the project’s economics are significantly ahead of internal planning assumptions made at US$4.00/lb copper. Bay Street consensus has a 12-month price target averaging CAD$108 on TECK.B, implying meaningful upside from current levels.
Chile and Peru Supply Risks Keep the Market Bid
On the supply side, the copper market is contending with structural headwinds from the two largest producing nations. In Chile, ore grades at aging mines including Escondida and Collahuasi have declined an average of 0.8% per year over the past decade, forcing operators to move more rock for the same refined output. In Peru, community-relations disputes near the Las Bambas mine — which alone accounts for roughly 2% of global copper supply — have periodically threatened shipments throughout 2026. A formal strike vote at one Chilean concentrator, expected in late September, is being watched closely by traders. Any disruption to Chilean exports would tighten the already-strained global concentrate market, where treatment and refining charges (TC/RCs) have collapsed to near-zero, signaling smelter desperation for feed material.
Green Grid Expansion Adds Another Layer of Demand
Beyond AI, the buildout of high-voltage direct current (HVDC) transmission lines — critical for connecting remote wind and solar generation to urban load centres — is consuming copper at an accelerating rate. Canada’s own grid modernization agenda, anchored by interprovincial transmission projects in Ontario and British Columbia, calls for an estimated 180,000 km of new or upgraded transmission infrastructure by 2035. Each kilometre of HVDC cable requires approximately one tonne of copper. Combined with EV charging network expansion and industrial reshoring across North America, the demand picture for copper looks structurally elevated for the rest of the decade. At US$6.4365/lb, the market appears to be pricing in exactly that reality.
