Copper prices reached record highs earlier this month after President Trump tabled a 50% tariff on the metal's imports into the US.
And in recent years, mining giants such as BHP Ltd (ASX: BHP) have been growing their copper portfolios.
In essence, the red metal plays a central role in the global economy thanks to its mass industrial applications.
Amongst others, copper is used in residential and commercial construction, power grids, transportation, and consumer electronics.
It is also crucial to the world's energy transition with significant utilisation in electric vehicles (EVs) and related infrastructure.
However, BHP isn't the only mining titan to boost its exposure to the metal.
There's another ASX 200 diversified miner that just reported a 20% surge in annual copper production thanks to its stake in a long-life Chilean copper mine.
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Mining powerhouse
South32 Ltd (ASX: S32) is a diversified mining company producing a suite of commodities across three geographical regions: Australia, South America, and Southern Africa.
More specifically, its operations include the production of bauxite, aluminium products, nickel, zinc, lead, silver, metallurgical coal, and manganese.
And of course, there's also copper.
Back in 2022, South32 acquired a 45% interest in the Sierra Gorda copper mine in Chile.
The project already boats a mine life of more than 20 years with potential for further upside through improved production efficiency, resource expansion, and exploration.
This vast Chilean mine is now helping to drive copper production for South32.
Strong quarterly performance
South32 released its Q4 FY25 report earlier today, with copper production emerging as the standout.
It announced a 20% year-on-year increase in payable copper equivalent production at its Sierra Gorda operation, beating guidance by 4%.
As a result, South32 received US$54 million in distributions from Sierra Gorda in the fourth quarter alone, bringing its total FY25 share to US$176 million.
What else happened?
Beyond copper, South32 also delivered strong results across its broader portfolio in FY25.
Aluminium production rose by 6% year-on-year, while manganese output exceeded full-year guidance by 9%.
In total, the company beat production guidance across all metals by 2% for the full financial year.
South32 also made significant progress at its Hermosa project in Arizona, which is regarded as a key long-term growth asset focused on zinc, manganese, and silver.
In FY25, it invested US$517 million to advance construction of the Taylor zinc-lead-silver deposit and to progress the Clark battery-grade manganese resource.
A major regulatory milestone was also accomplished with Hermosa securing approval under the FAST-41 federal permitting process.
Bullish tone
South32 struck a confident mood in its quarterly update, with CEO Graham Kerr stating:
With operating momentum, an upgraded portfolio, and a strong balance sheet, we are well positioned to deliver growth and returns.
Investors appeared to share the optimism.
South32 shares were trading at $2.96 each at the time of writing, up 2.4% from yesterday's close.
In contrast, the S&P/ASX All Ordinaries Index (ASX: XAO) was down by 1% at the same time.
Shareholders will now likely shift their focus to South32's full-year results, slated for release in August.
