BHP Group (ASX:BHP) signed an exploration agreement with the National Copper Corporation of Chile, or Codelco, for its Anillo prospect located in the Antofagasta Region in Chile, according to a Monday statement by Codelco.

BHP agreed to invest up to $40 million to study and explore the mineral potential of Anillo, and partner with Codelco if a favorable business case is established and regulatory approvals are obtained, the statement said.

The prospect is in its early exploration stage and has been the subject of previous campaigns by Codelco and third parties, according to the statement.

BHP shares rose 3% in morning trade on Tuesday.