Alongside the new units, Sandvik is rebuilding three D75KS rotary blasthole rigs and three DP1500 crawler-based surface drill rigs already on site

Decision Lens

Glencore is targeting first copper production at Bajo de la Alumbrera in 2028, with approximately 73,000 metric tonnes to be produced through June 2031 — a four-year operating window that is tight for the capital being mobilized. The decision to combine new DR413i rigs with rebuilt legacy equipment signals a deliberate approach: preserve sunk-cost value in existing assets while closing the technical gap with current blasthole automation standards. For operations directors watching comparable restarts, the embedded question is whether a mixed-vintage fleet can sustain the drilling precision and availability that a compressed production schedule demands.

90-Second Brief

Now, glencore has contracted Sandvik to supply three new DR413i rotary blasthole drill rigs and rebuild six existing rigs for the restart of its Bajo de la Alumbrera copper mine in Argentina’s Catamarca province. The first new rig is scheduled for delivery in May 2026, with the remaining two arriving in Q4 2026. Glencore expects site operations to resume in 2027 and targets first copper production in 2028. Sandvik will also provide ongoing labor and parts support for the full drilling fleet.

What’s Actually Happening

The Alumbrera restart is not a simple equipment refresh — it is a deliberate fleet architecture decision. Sandvik is delivering three DR413i crawler-mounted rotary blasthole rigs rated for holes between 251 and 349 millimetres in diameter and up to 17 metres in single-pass depth. The DR413i is engineered specifically for high-altitude surface mining, directly addressing a known performance constraint at Alumbrera’s mountainous Catamarca location. Onboard systems include the Sandvik Intelligent Control System Architecture and the iDrill automation module, which provide real-time drilling feedback and hole-to-hole consistency without continuous operator input.

Alongside the new units, Sandvik is rebuilding three D75KS rotary blasthole rigs and three DP1500 crawler-based surface drill rigs already on site. The full-fleet maintenance contract — covering parts and labor — locks Sandvik into the operational lifecycle of the restart, not just the capital deployment phase. Glencore booked this order in Q1 2026; procurement decisions are executed and the restart clock is running.

Why It Matters for Mining Operations Directors?

The Alumbrera case surfaces a decision architecture that applies beyond this single project: when restarting a previously operated open-pit mine, the choice between full fleet replacement and a hybrid rebuild-plus-new approach carries direct implications for blast quality, availability risk, and maintenance complexity.

A mixed-vintage drilling fleet introduces variability in hole geometry unless the newer rigs set the standard and legacy units are held to equivalent tolerance. Inconsistent hole angles and depths translate into fragmentation variability, mill throughput fluctuation, and explosive consumption inefficiency. The iDrill automation on the DR413i is designed to address exactly this — real-time feedback that keeps operators inside specification regardless of rig generation.

The ongoing parts-and-labor contract with Sandvik removes one supply chain uncertainty but concentrates fleet dependency on a single OEM. In a remote, high-altitude operation with a compressed four-year production window, unplanned downtime on any drill rig carries outsized schedule consequence. Directors managing similar restart or brownfield expansion programs should interrogate whether their maintenance contracts are structured to match their production timeline risk, not just their asset replacement cycle.

The Forward View

With the first DR413i arriving in May 2026 and Glencore targeting operational resumption in 2027, the critical path now runs through site mobilization, workforce reconstitution, and integration of rebuilt legacy rigs with new automated equipment. The 2028 first-production target leaves limited buffer for commissioning delays.

Over the medium term, the Alumbrera restart will serve as a case study for the broader industry question of whether mothballed open-pit copper assets can be returned to production at competitive cost and speed. If Glencore achieves its 2028 target and the mixed fleet holds to drilling specification, it will strengthen the argument for restart economics over greenfield development for similarly positioned copper deposits. Sandvik’s embedded service contract means operational performance data will accumulate within its systems — a competitive positioning advantage for future contracts in South America’s copper corridor, where Caterpillar, Komatsu, and Atlas Copco are active rivals.

What We’re Uncertain About?

  • Fleet availability performance in the hybrid configuration. The source confirms the equipment mix but provides no operational benchmark for how rebuilt D75KS and DP1500 rigs will perform alongside new DR413i units under production-rate pressure. What would resolve this: post-commissioning availability and utilization data from the first operating quarter.

  • Actual restart timeline resilience. Glencore’s 2027 operational resumption and 2028 first-production targets are stated expectations, not contractual milestones. Argentine permitting, workforce mobilization at altitude, and commissioning complexity could each compress the production window further. What would resolve this: Glencore’s formal project schedule disclosure or quarterly operational updates.

  • Whether the four-year operating horizon reflects full resource potential or a defined curtailment. The June 2031 production end-date is explicit, but the source does not clarify whether it reflects reserve depletion, an economic cut-off, or a deliberate scope decision. What would resolve this: Glencore’s reserve statement or life-of-mine disclosure for the restart scenario.

  • Long-term copper supply contribution in context. The 73,000-tonne total output figure is confirmed, but its materiality relative to Glencore’s overall copper portfolio and broader market supply forecasts is not established in the source. What would resolve this: Glencore’s capital markets guidance on copper production targets.

One Question to Bring to Your Team

If you were restarting a mothballed open-pit operation on a four-year production window, would your drilling fleet architecture — new rigs, rebuilt legacy units, or full replacement — be optimized for the production schedule or for the asset’s residual value, and does your maintenance contract reflect the difference?

Sources

  • Canadianminingjournal — Sandvik wins major drill rig contract for Argentine copper mine restart (Link)

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