LME base metals futures edge lower d-o-d; Freeport targets Grasberg mine restart by Jul’26

• Aurubis Viscaria sign long-term copper offtake deal
• Rio Tinto to cut alumina output at Yarwun refinery

Base metals prices on the London Metal Exchange (LME) inched down d-o-d, with aluminium decreasing by 0.94% to $2,787/tonne (t). Meanwhile, inventories at LME-registered warehouses witnessed positive movements, with zinc recording the highest gain of 8.88%.

Domestic market overview

In India’s non-ferrous metals markets, BigMint assessed copper armature scrap at INR 877,000/t ex-Delhi, stable d-o-d. Aluminium Tense scrap prices were assessed at INR 189,000/t ex-Delhi, down by INR 1,000/t d-o-d, and at INR 184,500/t ex-Chennai, down by INR 500/t.

Other market updates

Rio Tinto to cut alumina output at Yarwun refinery

Rio Tinto will reduce alumina production at its Yarwun refinery by around 1.2 mnt/year from October 2026, as the site’s tailings storage facility cannot operate safely beyond 2035 without new technology, which the company says is not yet economically viable. Yarwun produced 743,000 t of alumina in July-September, up 17% y-o-y, and contributes nearly 39% of Rio Tinto’s total alumina output. Other Australian operations will remain unaffected, though the company continues to face high energy costs and is still negotiating long-term power deals for its Bell Bay and Tomago smelters.

Freeport plans phased restart of Grasberg mine by Jul’26

Freeport-McMoRan will restart production at Indonesia’s Grasberg copper-gold mine by July 2026, following a fatal mudslide in September that killed seven workers and forced a shutdown. The accident occurred when 800,000 t of wet mud flowed through an undetected hole in the old open-pit section and into an active work zone. Grasberg — one of the world’s largest copper mines — has been closely watched by global markets amid tightening supply. Freeport says output in 2026 should be similar to 2025 levels, with production expected to rise further through 2027-2029.

Aurubis, Viscaria sign MoU for long-term copper offtake

Leading non-ferrous metals supplier Aurubis and Swedish mining company Viscaria have signed an MoU outlining plans for a long-term copper offtake agreement. The framework covers around 50% of Viscaria’s expected copper concentrate output from 2028 to 2035, with an option to extend beyond eight years. The partnership aims to secure a stable supply of copper concentrates for Aurubis while supporting Viscaria’s development of its Swedish copper project and strengthening regional raw material availability.

UK inflation eases to 3.6% in Oct’25

UK consumer price inflation fell to 3.6% in October, down from September’s 18-month high of 3.8%, marking the first decline since May and offering some relief to the government and the Bank of England. The drop was in line with expectations, supported by lower electricity and heating bills and cheaper hotel prices. Core inflation also eased slightly to 3.4%, while services inflation dipped to 4.5% — still elevated and a key concern for policymakers. Despite the improvement, the Bank of England expects inflation to stay above its 2% target until mid-2027 due to strong wage growth and structural cost pressures.

Oil prices dip as oversupply concerns intensify

Oil prices eased as US crude inventories rose for the third consecutive week, deepening oversupply concerns. China’s ongoing stockpiling amid weak refinery demand has also contributed to a steady build-up in global reserves. With forecasts pointing to a large supply surplus in 2026, market sentiment remains cautious and pressure on prices is likely to persist in the near term.