CESCO: Copper heading for deficit as producers stay disciplined, Antofagasta CEO says

Copper is expected to move into deficit in the next year or so, rather than further in the future, with producers continuing to show discipline in their planned investments, according to the chief executive officer of Chilean mining company Antofagasta.

The project pipeline is far less congested than it was a decade ago, when mining companies rushed to commission new projects in an effort to take advantage of soaring copper prices, while the drive to a low-carbon economy has added a strong additional demand component, Ivan Arriagada said. “Some projects have been sanctioned, but few compared with the [number of] projects announced 10 years ago. And they are in fact replacing production lost due to declining grades and other factors, which otherwise would leave the market without replacement,” he told Fastmarkets during an interview at the annual CESCO week in Santiago, Chile. “If you take that into account, we will move to a market which is in deficit. Our projection is that this will happen...

Published

Andrea Hotter

April 12, 2019

07:00 GMT

Santiago, Chile