By Penny Langford
The British Columbia government has officially cleared the path for one of Canada’s most significant copper-gold projects to move into its next phase. On June 19, 2026, provincial authorities approved the transition of Newmont Corporation’s Red Chris mine from a traditional open-pit operation to a high-capacity underground block cave.
This regulatory greenlight marks a pivotal moment for North American base metal supply. Located in the prolific "Golden Triangle" of northwest British Columbia, the Red Chris expansion is expected to extend the mine's operational life well into the 2040s. More critically, the shift to underground mining is projected to boost Canada’s overall copper production by as much as 15% once fully operational, positioning the country as an even more central player in the global energy transition.
The Shift to Block Caving
The approval covers an amended Environmental Assessment Certificate and necessary changes to the Mines Act permit. These adjustments allow Newmont: which owns 70% of the project in a joint venture with Imperial Metals: to begin full-scale development of the block cave beneath the existing open pit.
Block caving is an advanced, large-scale underground mining method that utilizes gravity to extract ore. Unlike traditional stoping, block caving involves undercutting the ore body and allowing it to collapse under its own weight into "drawbells." This method is particularly effective for large, lower-grade porphyry deposits like those found at Red Chris, as it allows for much lower operating costs per tonne once the initial infrastructure is in place.
For Newmont, the transition is a strategic necessity. While the open pit has provided steady production, the higher-grade mineralization at Red Chris resides much deeper underground. By employing block caving, the company can access these deeper zones economically, significantly increasing the recovered metal per tonne of ore processed.
Strategic Importance for the Copper Market
The timing of the BC approval coincides with a tightening global copper market. As the world accelerates the deployment of electric vehicles, renewable energy grids, and AI-driven data centers, demand for copper is outstripping new supply discoveries.
Industry analysts suggest that the Red Chris expansion is one of the few "tier-one" copper projects in a stable jurisdiction capable of coming online this decade. While Newmont’s 2026 copper guidance remains slightly lower than 2025: largely due to grade sequencing at its Cadia operation in Australia: the Red Chris underground project is viewed as the long-term anchor for the company’s copper portfolio.
| Metric | Red Chris Current (Open Pit) | Red Chris Future (Block Cave) |
|---|---|---|
| Mine Life | Limited (2030s) | Extended to 2040s+ |
| Mining Method | Open-Pit Truck & Shovel | Underground Block Caving |
| Primary Output | Copper, Gold | Higher-Grade Copper, Gold |
| Ownership | 70% Newmont / 30% Imperial | 70% Newmont / 30% Imperial |
| Estimated FID | N/A | Late 2026 |
The project is also benefiting from federal support. Canada’s Major Projects Office recently noted a conditional C$195 million investment in partnership with British Columbia to support the infrastructure needed for the expansion, including power and transportation upgrades in the remote Tahltan territory.
Regional and Indigenous Partnerships
The Red Chris mine operates within the traditional territory of the Tahltan Nation. A cornerstone of the expansion’s approval has been the ongoing partnership between Newmont and the Tahltan Central Government (TCG). The project is expected to provide decades of employment, contracting opportunities, and revenue sharing for the local communities.
This collaborative approach is increasingly seen as the blueprint for mining in Canada. By securing Indigenous consent and participation early in the environmental assessment process, Newmont has navigated a regulatory landscape that has stalled other major resource projects in the province.
Infrastructure and Technical Challenges
Building a block cave at the scale envisioned for Red Chris is a massive engineering feat. The "Golden Triangle" is known for its rugged terrain and harsh winter conditions. The expansion requires significant underground development, including the construction of a primary crusher, conveyor systems, and extensive ventilation networks thousands of meters below the surface.
The project will also integrate advanced automation. Autonomous loaders and remote-controlled drilling rigs are expected to be deployed to enhance safety and efficiency in the deep underground environment. This shift toward a high-tech, low-emission operation aligns with Newmont’s broader ESG goals and the industry-wide push toward carbon-neutral mining.
Looking Ahead to the Final Investment Decision (FID)
While the provincial permits are a critical milestone, the project still awaits a Final Investment Decision (FID) from Newmont’s board of directors, expected in the latter half of 2026. The decision will hinge on the final capital cost estimates and the prevailing copper price outlook.
However, given the project’s high-grade profile and the strategic importance of copper in Newmont’s diversified portfolio, most industry watchers expect a positive result. The company recently reported 12.5 million tonnes of copper in mineral reserves as of year-end 2025, with Red Chris accounting for a significant portion of that total.
As the industry looks toward the late 2020s, the "greening" of Red Chris represents more than just a mine life extension. It serves as a bellwether for the Canadian mining sector's ability to deliver the critical minerals required for the global energy transition. With the copper demand from AI data centers and electrification continuing to surge, the 15% boost in national production promised by Red Chris could not come at a more opportune time.
For more on the evolving base metals landscape, see our recent analysis on copper supply vs AI data center demand.
Social Media Snippet (LinkedIn/X):
BC gives the green light! ?? Newmont's Red Chris mine is officially transitioning to a massive underground block cave. This expansion is set to boost Canada's copper output by 15% and extend mine life into the 2040s. A major win for North American critical mineral supply. #MiningNews #Copper #EnergyTransition #Newmont #RedChris #BCMining
