Rio Tinto partners with Amazon to supply copper from Arizona for AI data centres, amid rising demand and tight supply forecasts.
Rio Tinto will provide copper from its Arizona mine to Amazon for use in artificial intelligence data centres, reports Reuters.
The two-year deal will see the companies building parts for Amazon Web Services using copper produced through Rio's Nuton leaching programme at Gunnison Copper. Financial terms and volumes were not disclosed.
Nuton technology employs bacteria that generate heat when applied to rock, aiding in copper extraction. Rio has studied leaching for more than 30 years, naming the programme after Isaac Newton.
The agreement highlights the surging demand for copper in the AI sector, with global consumption forecast to rise 50 percent by 2040. Analysts warn that supplies may fall short, prompting competition for access.
Freeport-McMoRan, the largest US copper producer, already uses leach technology, producing 300 million pounds last year and targeting 800 million pounds annually by 2030.
Copper prices have risen above US$13,000 a tonne on the London Metal Exchange, up 40 percent in a year, as demand from AI-powered data centres collides with tight supply.
Copper's high conductivity makes it vital for power grids, electric vehicles, and infrastructure supporting the energy transition.
