• 4 minutes Is $60/Bbl WTI still considered a break even for Shale Oil
  • 7 minutes Oil Price Editorial: Beware Of Saudi Oil Tanker Sabotage Stories
  • 11 minutes Mueller Report Brings Into Focus Obama's Attempted Coup Against Trump
  • 15 minutes Wonders of Shale- Gas,bringing investments and jobs to the US
  • 1 min Apartheid Is Still There: Post-apartheid South Africa Is World’s Most Unequal Country
  • 3 hours Evil Awakens: Fascist Symbols And Rhetoric On Rise In Italian EU Vote
  • 1 day IMO 2020 could create fierce competition for scarce water resources
  • 3 hours Total nonsense in climate debate
  • 4 hours IRAN makes threats, rattles sabre . . . . U.S. makes threats, rattles sabre . . . . IRAQ steps up and plays the mediator. THIS ALLOWS BOTH SIDES TO "SAVE FACE". Then serious negotiations start.
  • 1 day IMO2020 To scrub or not to scrub
  • 15 hours Theresa May to Step Down
  • 1 day Devastating Sanctions: Iran and Venezuela hurting
  • 6 hours Will Canada drop Liberals, vote in Conservatives?
  • 1 day Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
  • 7 hours Canada's Uncivil Oil War : 78% of Voters Cite *Energy* as the Top Issue
  • 3 hours Apple Boycott in China
  • 7 hours Trump needs to educate US companies and citizens on Chinese Communist Party and People's Liberation Army. This is real ECONOMIC WARFARE. To understand Chinese warfare read General Sun Tzu's "Art of War" . . . written 500 B.C.
Alt Text

How To Play A Recovery In Oil Prices?

A realistic correction in the…

Alt Text

What The Market Is Overlooking In The Occidental Deal

Occidental Petroleum has caught a…

Dave Forest

Dave Forest

Dave is Managing Geologist of the Pierce Points Daily E-Letter.

More Info

Trending Discussions

Chinese Mining Giant To Ramp Up Copper Production

The world lost a great mine this week: the Century zinc operation in Australia. Where the operator, China’s MMG, shipped the final loads of concentrates that the operation will ever produce.

But even as Century is dying off, MMG said it is bringing on another giant operation — in a different part of the world, with a completely different metal.

Copper.

MMG said Wednesday that its Las Bambas copper mega-mine in Peru is coming on faster than expected. With the operation likely to exceed previous production forecasts this year.

By a lot. Related: Russian-OPEC Production Cut Remains A Long Shot

MMG announced that it now expects Las Bambas to produce between 250,000 and 300,000 tonnes of copper metal this year. Up 25% to 50% from the 200,000 tonnes of production the company had previously projected for the mine in 2016.

This means a lot more copper is hitting the market from this enormous operation — a lot sooner than expected. MMG in fact said it now sees Las Bambas being one of the top three copper mines in the world by output.

This supply is already being shipped — with the mine having sent its maiden shipment of copper concentrate earlier this month. And MMG said a second shipment of concentrate is expected to sail before the end of January. Related: Weak Economy Could Stifle Oil Price Rally

The company also shed some light on costs at Las Bambas. Saying that C1 production costs are expected to be $0.80 to $0.90 per pound of copper here.

That suggests Las Bambas will be well within the upper quartile of the global copper cost curve. Meaning this operation will be doing just fine in terms of profits at current prices of $2.05/lb.

All of which is another sign of significant new supply hitting the copper market over the coming months. Worth considering as we plan new projects and investments in this space.

Here’s to a giant awakening

By Dave Forest

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage

Trending Discussions


Leave a comment
  • Woodsieowl on January 29 2016 said:
    This would be the fastest ramp-up of a major mine in copper industry history.

    I'm betting against that optimism.

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News