Following the declaration of force majeure at its Indonesia Grasberg mine by Freeport-McMoran, Shanghai copper reached a six-month high on Thursday.
Shares of Hindustan Copper increased 6% on September 25 as markets priced in more raw material supply constraints after Freeport-McMoran declared force majeure at its Indonesia Grasberg mine on Thursday, sending Shanghai copper to a six-month high.
Freeport reported on September 24 that the Grasberg, one of the largest copper and gold mines in the world, may have a staggered restart in the first half of 2026 and that its 2026 production might be 35% less than earlier projections.
Since the suspension, the market has been pricing in some tightness for copper raw materials, and the most recent news is encouraging a further higher advance.
On September 25, at 11:05 a.m., Hindustan Copper’s stock was up 5.6% at Rs 326 a share on the NSE. The stock’s 52-week high is Rs 353, while its 52-week low is Rs 184. The stock has a market value of Rs 31,550 crore.
The most traded copper contract on the Shanghai Futures Exchange surged 2.86% at 0310 GMT, reaching its highest level since March 26 at 82,280 yuan ($11,545.64) per metric ton.
In a report, experts at Chinese broker Jinrui Futures said that the impacted production volume from the Grasberg mine was far larger than anticipated, indicating a better short-term price outlook for copper.
As tightness develops, the Freeport event demonstrates how susceptible the copper market is to global supply shocks. After Hudbay Minerals Inc. announced this week that it was closing a mill in Peru because of political demonstrations, it is the most recent setback to the sector.