Hudbay Minerals expects copper supply to struggle to meet growing demand from electrification and data centers, president and CEO Peter Kukielski said at RBC Capital Markets’ 2025 Global Mining and Materials Conference. In RBC’s account of the discussion, he cited chronic underinvestment and lengthy mine development timelines as constraints on the industry’s ability to expand supply.
Kukielski pointed to a roughly 15-year development period for new mines. “Long term, with the lack of new copper supply and chronic underinvestment in the space, we believe that supply will be unable to meet demand,” he said, identifying electrification initiatives and powering data centers as sources of growth.
The warning represents Hudbay’s assessment. RBC’s account did not quantify copper demand from data centers or establish their contribution to copper price movements in 2025.
The Canadian miner’s expansion plans include Copper World in Arizona. According to the RBC account, permitting was complete, and Kukielski expected the United States to account for most of Hudbay’s future copper growth. The company had also acquired the Copper Mountain mine in British Columbia after investing in operations in Peru and Manitoba.
Hudbay described technology as another part of its response to operating challenges. Kukielski said teams at its Constancia mill in Peru deployed automated systems. RBC also reported that the company was exploring artificial intelligence and digital tools to improve operational efficiency, without providing measured results from those efforts.
Precious metals reach December highs
Separately, silver reached a record $60.9213 an ounce on December 10, 2025, after crossing $60 for the first time on December 9, Engineering News reported. The publication linked the advance to expectations of Federal Reserve easing and tight physical supplies. It reported that increased deliveries into London vaults had eased an October supply squeeze, although borrowing rates remained elevated and Chinese inventories were at decade lows.
Gold was above $4,200 an ounce on December 8, compared with about $2,600 at the start of 2025, according to CBS News—a rise of roughly 60%.
The Federal Reserve announced a quarter-percentage-point rate cut on December 10, bringing its target range to 3.5%–3.75%. Its September 17 and October 29 statements also documented quarter-point reductions. The December statement said inflation remained somewhat elevated and further adjustments would depend on incoming data, the economic outlook and the balance of risks.