Copper – a multi-talent, also for investors

Analysts are increasingly predicting that the price of copper may soon exceed USD 10,000 per ton again. This is because copper is one of the raw materials that is most widely used in everyday life. Copper, a construction and functional material, is finding its place in the development of new technologies. In information and communication technology, in renewable energies, in electronics or in architecture, copper is needed in many places. The reasons are its outstanding thermal and electrical conductivity. One of the areas that should see strong copper demand is evident in the USA. There, the power grid is in poor shape. To ensure security of supply, many components have to be replaced. Last year, for example, every U.S. citizen suffered an average power outage lasting almost 500 minutes. In this country, the average was only a good 12 minutes. Experts believe that there will be an imbalance in the copper market in the coming years. This is because every infrastructure measure and every action in the field of renewable energies will make copper scarcer. Wind turbines or electric vehicles could be mentioned here, for example.

Official copper inventories have been dwindling since around mid-2018. Some will probably also be stored in the warehouses of individual processing companies due to supply chain problems. However, this does little to change the current tight market. For example, some predict a possible copper deficit of up to eight million tons by 2032. To meet the demand, eight copper mines would have to be built to match the large Escondida mine, the world’s largest. But the capital invested in new mines is far too little. And it takes seven to ten years or more to develop a new copper mine.

One company that is already producing is Copper Mountain Mining. It owns 75 percent of the Copper Mountain Mine in British Columbia. Copper production at the mine is expected to increase to about 140 million pounds of copper annually.

Aurania Resources and Aztec Minerals are not yet producers, but own promising projects. Both have gold and copper in their projects.

At Aurania – https://www.commodity-tv.com/play/aurania-resources-starting-to-drill-at-tatasham-target-and-looking-for-strategic-partner/ -, it is The Lost Cities project in Ecuador that is of particular interest and at Aztec Minerals – https://www.commodity-tv.com/play/mining-newsflash-with-karora-resources-aztec-minerals-mag-silver-and-cypress-development/ – it is the Cervantes property in Mexico.

Current corporate information and press releases from Copper Mountain Mining (- https://www.resource-capital.ch/en/companies/copper-mountain-mining-corp/ -) and Aurania Resources (- https://www.resource-capital.ch/en/companies/aurania-resources-ltd/ -).

In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.

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