Adani Enterprises’ subsidiary Kutch Copper (KCL) and Australian Securities Exchange-listed Caravel Minerals on Thursday signed a non-binding memorandum of understanding (MoU) for collaboration on the Caravel Copper Project in Western Australia’s Murchison region, for an undisclosed amount, according to a joint statement.
What does the Adani–Caravel MoU aim to achieve?
The MoU is expected to enable investment collaboration and a life-of-mine offtake covering up to 100 per cent of copper concentrate output—about 62,000 to 71,000 tonnes of payable copper per annum in the early years.
This concentrate will be supplied directly to Kutch Copper’s 500 KTPA (kilo tonnes per annum) smelter in Gujarat, India, which is the world’s largest single-location copper facility worth $1.2 billion, the release said.
“Under the MoU, the companies will explore investment and offtake opportunities to accelerate development of the project towards a final investment decision (FID) in 2026, combining Caravel’s world-class resource with Adani’s proven smelting, processing and logistics capabilities,” the release stated.
“The MoU further outlines collaborative workstreams, including co-engineering to optimise product specifications for Kutch Copper’s downstream facilities, joint procurement to fast-track delivery schedules, and leveraging the India-Australia FTA (Free Trade Agreement) to promote cross-border resource development and workforce skilling.”
How significant is the Caravel Copper Project?
The Caravel Copper Project, located about 150 km northeast of Perth, is one of Australia’s largest undeveloped copper resources, with a potential mine life exceeding 25 years and an estimated 1.3 million tonnes of payable copper.
The project’s all-in sustaining cost (AISC) is forecast at $2.07 per pound, positioning it among the lowest-cost producers globally.
As part of the agreement, KCL has been granted first rights to participate in direct equity or project-level investments during the term of the MoU.
The discussions are aligned with the project’s AUD 1.7 billion initial capital expenditure and designed to support phased development, the release added.
What did Adani and Caravel executives say about the partnership?
“Copper is the backbone of the global energy transition, and our partnership with Caravel Minerals strengthens India’s and Australia’s role in building a resilient and responsible supply chain for this vital metal,” said Vinay Prakash, chief executive officer, Natural Resources, Adani Enterprises, in a statement.
Don Hyma, managing director, Caravel Minerals, said, “This collaboration with Adani’s Kutch Copper marks a pivotal step in realising the full potential of the Caravel Copper Project.
"It brings together complementary strengths—Adani’s downstream expertise and Caravel’s world-scale resource—under a shared vision for responsible, long-term copper production.”
How will the project be financed?
The companies stated that financing discussions are advancing with top-tier banks, targeting a package that includes export credit agency (ECA)-backed solutions for Danish equipment suppliers, traditional debt, equity raises, and innovative funding structures such as streaming and royalties.
These efforts build on a 2023 letter of interest from Denmark’s Export and Investment Fund (EIFO) for Danish-sourced equipment.
Why is this partnership strategically important?
“With global copper demand projected to surge by 50 per cent by 2040 amid electrification and renewable-energy expansion, the Caravel–Kutch Copper collaboration is poised to deliver a significant contribution to critical mineral supply chains while unlocking sustainable economic growth for both nations,” the companies said in a joint statement.
© 2025