3 ASX copper shares soaring amid 28% surge in commodity price this year

ASX copper shares are benefiting from a surge in the commodity price this year to US$5.08 per pound today.

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Key points

  • ASX copper shares are surging as the copper price rises 28% this year due to global energy transition demands and its recent critical material designation by the US.
  • Sandfire Resources, Cyprium Metals, and Aeris Resources have experienced significant share price increases, benefiting from diversified operations and strategic project developments.
  • Favourable currency conditions and potential regulatory changes in China offer additional tailwinds for copper's market appeal and price growth.

ASX copper shares are benefiting from a 28% surge in the commodity price this year to US$5.08 per pound on Tuesday.

The copper price is on the rise due to higher demand amid the global energy transition.

Copper is essential for electrification and is used in electric vehicles, wind turbines, power grids, and data centres.

Trading Economics analysts say other factors are also pushing the red metal's value higher.

They note that the US Government has recently added copper to its list of critical inputs for the US economy and national security.

Additionally, copper has benefited from a weaker US dollar, which makes dollar-denominated commodities cheaper for overseas buyers.

The analysts also point to potential new tailwinds from China, commenting:

Speculation also grew that Beijing could target the copper refining industry next in its efforts to curb overcapacity, after China's nonferrous metals association urged stricter controls on new smelting projects.

3 ASX copper shares soaring amid the commodity surge

Sandfire Resources Ltd (ASX: SFR)

Sandfire Resources is the largest pure-play ASX copper share on the market.

The Sandfire Resources share price is up 76% in the year to date to $16.34 on Tuesday.

Sandfire Resources has operations in Australia, Botswana, Spain, and the US.

Its principal operating mines are the MATSA project in Huelva Province, Spain, located in the highly prospective Iberian Pyrite Belt, and the Motheo project within the Kalahari Copper Belt of Botswana, which commenced operations in August 2023 and features a central processing facility.

Sandfire ships its copper to smelters around the world. In FY25, it ramped up production at MATSA and Motheo to increase its reserves.

Sandfire Resources shares have a market capitalisation of $7.4 billion.

Cyprium Metals Ltd (ASX: CYM)

The Cyprium Metals share price is up 68% in the year to date at 37 cents today.

Cyprium's main operation is the Nifty Complex in Western Australia, which previously produced significant copper oxide and sulphide.

Cyprium Metals intends to redevelop Nifty, which has operational approvals in place and has attracted recent new financial backing.

Nifty has a Mineral Resource Estimate of 1,038,000 tonnes of copper and a mineral inventory of 91,000 tonnes of copper.

This ASX copper share has a market capitalisation of $185 million.

Aeris Resources Ltd (ASX: AIS)

The Aeris Resources share price is up 146% to 44 cents in the year to date.

Aeris Resources is a diversified miner, with copper dominating its portfolio of assets.

Its main project is Tritton, which is a long life copper mine in Cobar, NSW.

In Victoria's East Gippsland, Aeris has an advanced copper and zinc development project called Stockman.

Aeris Resources shares have a market capitalisation of $471 million.

Motley Fool contributor Bronwyn Allen has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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