![]() ![]() However, analysts say a lack of new mined resources is the main hurdle. also gained court approval on Monday for the takeover of OZ Minerals Ltd., a deal valued at $6.34 billion. ![]() Glencore PLC recently offered $23 billion for Canadian miner Teck Resources Ltd., potentially creating the third-largest copper producer in the world. Futures on the London Metal Exchange are around $9,000 a ton.Ĭopper miners have been at the center of a recent spurt of deal making. He said that copper was the only metal with locked-in demand growth, but indicated prices would need to rise to $15,000 a metric ton to attract investment in new mines. However, “there’s no slack in the system, no buffer,” said Marex’s head of market analytics Guy Wolf at a recent conference in Switzerland. On paper it’s quite a substantial supply gap opening up over the next 10 years,” he added. “Longer term there’s a narrative around resource scarcity and the green transition with EVs and renewables as well as the build-out of electricity grids. “The market overall is pretty tight,” said Robert Edwards, copper analyst at CRU. In 2021, refined copper demand stood at 25.3 million tons, according to the International Copper Study Group. Electrification is expected to increase annual copper demand to 36.6 million metric tons by 2031, with supply forecast to be around 30.1 million tons, creating a 6.5 million ton shortfall at the start of the next decade, according to consulting firm McKinsey & Co. The other top three countries include China, the Democratic Republic of Congo, and the United States of America, cumulatively produced 4,7667 thousand tonnes of copper in 2021.Copper is used in wiring and construction as well as electric vehicles, solar panels and other green technologies. However, most of the copper mining activities in the country resumed at the end of 2020, but reduced workforces and other restrictions have continued to hamper production levels in the subsequent quarters. The Peruvian copper market witnessed a major slump in production in 2020, due to operational disruption caused by COVID-19. Peru is the world’s second-largest copper-producing country, with a production volume of 2,314 thousand tonnes, up 7.6% YoY. However, with over 20 projects expected to commence between 2020-2024, of which seven are under construction, the country’s production is expected to grow in the coming years. Apart from COVID-19 imposed lockdowns, the country’s production output in the past has been impacted by adverse environmental conditions, labor strikes, etc. The major producing countries are Chile, Peru, China, Congo, and the US, which together accounted for nearly 60% of the total global production in 2021.īy volume, Chile was the leading copper-producing country in 2021, with a production volume of 5,636 thousand tonnes, down 1.7% YoY. However, production recovered in 2021 and is expected to grow at a CAGR of 5% between 20. The pandemic led to the temporary closure of mines and lockdown measures across the major producing countries. The COVID-19 pandemic had a significant impact on global copper mining in 2020, with a fall of 2.6% in overall production compared to 2019. Copper's qualities make it the most cost-effective material for a variety of sustainable energy systems, including cables, batteries, transistors, and inverters. Copper is necessary for transforming and transmitting these sustainable energy sources to a useful final state. ![]() Governments and policymakers, particularly in the US, Europe, and China, have made significant investments in renewable energy sources and technology as worldwide energy consumption is expected to increase in the coming years. Copper production will play a significant part in the global shift to renewable energy over the next decade, as governments increase production of solar and wind technology, as well as electric vehicles, to achieve climate goals.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |