It is reported that the new CEO of Freeport-McMoRan Copper and Gold (FCX.US) stated in an interview that she is actively working to extract the value of a large copper mine from a large inventory of waste rock, as global demand continues to rise.

In recent years, the US copper giant has made significant profits from its operations in the United States and Indonesia, sparking speculation that after years of waiting, the company may use these returns for acquisitions. The company has been cutting costs, reducing debt and resolving disputes with the Indonesian government over ownership of the Grasberg copper and gold mine for most of the past decade.

However, Freeport-McMoRan Copper and Gold CEO Kathleen Quirk said she does not feel any pressure to pursue major transformational acquisitions like BHP Group Ltd and other competitors. Instead, the company is betting heavily on extracting copper from its decades-old waste rock.

Quirk said the company hopes to produce up to 800 million pounds of copper per year through this processing technology in the next three to five years, equivalent to one-fifth of its current total production.

"This is the production scale of a large mine. This is significant. Our team is actively working to complete this work," Quirk said in an interview in New York on Tuesday. "I'm very concerned about this issue because we know how difficult it is to develop new supply when we look around."

Freeport-McMoRan Copper and Gold's ambition responds to an increasingly urgent problem facing the industry and the world. Copper is key to the energy transformation, and some estimates suggest that annual demand for copper could double by 2035. However, metal producers have been reluctant to invest in new mines because the construction costs of new mines are getting higher.

Transactions are also difficult to achieve. Last month, BHP Group Ltd abandoned its bid for Anglo American with a value of $49 billion, the largest mining deal in more than a decade.

Producers like Freeport-McMoRan Copper and Gold have turned to their own waste rock supply, accumulated over decades of mining, to extract low-grade metals that were previously unavailable. BHP Group Ltd, Rio Tinto and Antofagasta Plc are all developing similar technology or working with outside partners to find ways to extract metals.

"There are no clearly viable projects to fill this gap in such a tight market. This situation prompts us to be more innovative and find ways to help fill the gap," Quirk said.

Freeport-McMoRan Copper and Gold has already extracted an additional 200 million pounds of copper through the recycling process and plans to extract another 200 million pounds in the next two years. Developing this complex technology has hindered the company's goal of achieving the 800 million pound target, but Quirk said the company is making progress.

"We believe we will achieve this goal--it's just a matter of time," Quirk said.

It is understood that Quirk became CEO on Tuesday, becoming the only female CEO of a large mining company. Quirk joined Freeport-McMoRan Copper and Gold in 1989 and was promoted continuously until she was appointed CFO in 2003. In the past 20 years, she has been in step with former CEO Richard Adkerson, who is still chairman of the company.

Quirk took over the flag of this thriving company. Freeport-McMoRan Copper and Gold's stock price has risen by about 30% in the past year, surpassing the 17% increase in copper futures. The company has become one of the world's largest copper producers and a flagship mining company in the United States. Meanwhile, Western governments are working to ensure the supply of critical metals, and investors are pouring into the copper market.

Nevertheless, Freeport-McMoRan Copper and Gold is still struggling to meet the challenges. In Arizona, the company has begun to convert mining trucks into autonomous vehicles to cope with the continuing labor shortage. Inflation and declining ore grades in old US mines have increased costs.

In a June 9 report, Jefferies Financial Group Inc. analyst Christopher LaFemina wrote:"One criticism of Freeport-McMoRan Copper & Gold is that it has actually become a copper ETF. So the question is, what can Ms. Quirk do to create additional value for shareholders even if copper prices do not rise?"

LaFemina said he would not be surprised if Freeport-McMoRan Copper & Gold eventually turns more to growth through mergers and acquisitions, as opportunities to add value may arise.

The prospect of copper shortage has triggered a wave of mergers and acquisitions throughout the industry, but Freeport-McMoRan Copper & Gold has not made any major acquisitions since its entry into the offshore oil business. Quirk said she did not object to acquisitions but had not prioritized them.

"Currently, the world needs a lot of copper, but not many people are willing to sell," she said, adding that she is still willing to explore opportunities to add value to the company," but we do not see it as our global strategy."