• 4 minutes Trump will meet with executives in the energy industry to discuss the impact of COVID-19
  • 8 minutes Charts of COVID-19 Fatality Rate by Age and Sex
  • 11 minutes Why Trump Is Right to Re-Open the Economy
  • 13 minutes Its going to be an oil bloodbath
  • 17 mins Ten days ago Trump sent New York Hydroxychloroquine. Being administered to infected. Covid deaths dropped last few days. Fewer on ventilators. Hydroxychloroquine "Cause and Effect" ?
  • 5 hours US Shale Resilience: Oil Industry Experts Say Shale Will Rise Again
  • 10 hours Mr
  • 9 mins Russia's Rosneft Oil is screwed
  • 19 hours While China was covering up Covid-19 it went on an international buying spree for ventilators and masks. From Jan 7th until the end of February China bought 2.2 Billion masks !
  • 7 hours Free market or Freeloading off the work of others?
  • 9 hours Marine based energy generation
  • 21 hours What If ‘We’d Adopted A More Conventional Response To This Epidemic?’
  • 22 hours How to Create a Pandemic
  • 7 hours China Takes Axe To Alternative Energy Funding, Slashing Subsidies For Solar And Wind
  • 14 hours Which producers will shut in first?
  • 21 hours Real Death Toll In CCP Virus May Be 12X Official Toll

Breaking News:

WTI Slides On Huge Crude Inventory Build

Alt Text

World's Second Largest Lithium Miner Is Reeling From Low Prices

The world’s second largest lithium…

Alt Text

Are We Really Facing A Battery Metal Shortage?

Electric car builder Tesla foresees…

Dave Forest

Dave Forest

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

More Info

Premium Content

This Copper Giant Is Buying Into An Unexpected Frontier

Copper has been one of the best-performing commodities of the last few months. With the red metal up over 15 percent since late May, to a current $2.88 per pound.

And that price action is spurring some important project activity. Including a little-noticed, but critical move this week from the world’s largest copper mining company.

That’s Chile state mining firm Codelco. Which said it is preparing an entry into a new and far-afield jurisdiction, in pursuit of new copper reserves.

Mongolia.

In an interview Friday with Reuters, CEO Nelson Pizarro said that Codelco is “preparing” to invest in Mongolia copper projects. With Pizarro noting the country holds significant untapped potential for new developments.

Pizarro further suggested that Codelco will be looking for development-stage projects. Which he described as “medium-term” investments — likely meaning Codelco will take a role in proving up and developing new mineral resources here ahead of putting them into production.

That approach makes sense, given that Mongolia currently has only a few advanced copper mining projects. Led by the massive Oyu Tolgoi deposit being mined by Rio Tinto through the former Ivanhoe Mines vehicle, Turquoise Hill.

But mines like that demonstrate Mongolia’s big potential. With Oyu Tolgoi currently containing an appraised 23.5 million tonnes of contained copper metal, along with 36 million ounces of gold. Related: Will Oil Markets Rebalance Before The OPEC Deal Expires?

Here’s the most critical part: this move would be an incredible step-out for Codelco. Up until now, the copper major has been exclusively focused on mining in Chile and exploring in nearby Latin America — with projects in Brazil and Ecuador.

The fact that management is willing to leap from South America to Mongolia shows they see something big in the geology here — a major endorsement for the country, which has struggled lately to attract mining investment.

Mongolia’s government is trying to change that. Just last week, regulators kicked off a new bid round for mineral projects — which may be where Codelco is planning to pick up new licenses.

Watch for confirmation of Codelco’s entry into this high-potential nation. If the move does materialize, it could signal a new wave of project activity coming here.

Here’s to taking a leap.

By Dave Forest

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage






Leave a comment

Leave a comment




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