Chilean copper mining firm Codelco has secured US$600 million in climate financing to support its plans to fully decarbonise its energy supply.
The state-owned firm said this latest financing will allow it to continue to transition to “a 100% renewable energy mix” by 2030. This transition will include renewing power purchase agreements (PPAs) already signed for renewable energy, the company said.
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The financing came from HSBC and Santander and was guaranteed by the World Bank group through its Multilateral Investment Guarantee Agency (MIGA). It follows US$532 million in climate financing Codelco secured in 2024 from Crédit Agricole, which the mining giant said contributes to its “commitment to a more sustainable, resilient mining aligned with the highest international environmental standards.”
In March 2024, Codelco signed a PPA for 375GWh of annual power supply with renewables developer Atlas Renewable Energy involving a solar-plus-storage project in Chile. The capacity of the project in this deal was not confirmed, though in April 2025 Atlas secured financing for the 215MW/1.6GWh Estepa solar-plus-storage project, which also had a PPA with Codelco in place.
Codelco—officially called the National Copper Corporation of Chile—is the largest copper mining company in the world and claims to account for 9% of Chile’s total electricity consumption, adding that its transition to renewables “represents a significant contribution to reducing greenhouse gas emissions and fulfilling Chile’s climate commitments.”
The company first committed to reaching a 100% renewable energy mix in 2018. It said it will reach 85% in 2026 and 100% by 2030.
Chile has become a significant growth market for renewables, particularly solar PV and energy storage thanks to its high solar irradiation levels. Along with Brazil, Chile is forecast to lead additions of new solar PV capacity in South America over the next eight years, according to energy market analyst Wood Mackenzie. The two countries will account for 78% of the forecast 160GW of new PV capacity expected on the continent through 2034.
As solar PV has gained more traction in Chile’s grid, curtailment has become a recurring issue; 3.2TWh of solar generation was curtailed in 2025, and the rate of curtailment continues to grow alongside new nameplate generation capacity. While this indicates the need for grid infrastructure development and expansion, rising curtailment has also pushed growth in co-located solar-plus-storage sites, becoming an “absolute necessity” for projects to be viable, PV Tech Premium heard.
