Gold rally finally attracts investors back to mining stocks after months of outflows

According to LSEG Lipper data, funds investing in physical gold and gold derivatives attracted a net $17.8 billion in 2024, the highest in five years, while funds investing in gold miners lost a net $4.6 billion, the most in a decade. 

Gold mining Funds saw their first net monthly inflow in six months in March, attracting $555.3 million, the highest since November 2023, according to Lipper data.

The Gold ETF's have seen continued interest all around the world:

Global Inflows: Gold ETFs have seen significant inflows in 2025, with a total of

$3000 Gold

Gold’s outperformance continues unabated. It took some time, but we’re finally here!

It would be healthy to see it consolidate at these levels before racing further ahead—but a bull is hard to tame! 

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MasterMetals
@MasterMetals

To those who say you can’t have too much of a good thing…meet Cobalt

DRC suspends cobalt exports for four months trying to rein in oversupply on the international market, as prices crash below $10/lb. Cobalt hydroxide, main form of the metal produced in Congo, slid below $6/lb.—levels not breached for 21 years,apart from a brief dip in late 2015, according to Fastmarkets data.

Cobalt production in the DRC– which produces about 75% of the material used in electric-vehicle batteries – has soared in recent years, as China's CMOC Group Ltd. ramped up output at two large mines in the country causing supply to race ahead of demand and prices to tumble. 

About two-thirds of global cobalt mine supply is owned by companies from China, which accounted for an equivalent share of cobalt demand last year, according to specialist trading house Darton Commodities.

$NGEX.TO Drills 53.50m @ 7.79% CuEq, 75.45m @ 4.95% CuEq, & 15.25m @ 16.56% CuEq at Lunahuasi

Some more excellent results from $NGEX.

DPDH028 (53.5m @7.79% CuEq) and DPDH029 (157m @ 2.16%CuEq) are large step-outs from previously intercepted mineralization.

DPDH028 is deeper and to the west of all previous holes and is open in all directions.

Drilling to date has now encountered mineralization over a minimum north-south extent of just over 1km from DPDH025 in the north to DPDH029 in the south, a minimum vertical extent of just over 1km and a minimum east-west extent of also just over 1km.—That's a lot of Rock—and Copper! 🪨

‘The Opec of nickel’: Indonesia controls the critical metal

Indonesia controls more of the world's supply of nickel than Opec did of oil at the cartel's peak in the 1970s of a critical metal

In 2014 the Indonesian government took the drastic step of announcing a ban on all exports of raw nickel.

The decision encouraged Chinese companies to spend billions of dollars to set up processing plants in Bahodopi and across other parts of the country of 281 million.

The transformation has been a remarkable turnaround for a country that a decade ago was not even a major player in nickel. Although Indonesia held the world's largest reserves — about 55mn tonnes as of 2024, according to the US Geological Survey — most of it was low-grade nickel that it had not yet figured out how to process efficiently.

With the help of Chinese technology, huge investments from Beijing and a dose of protectionism, Indonesia has gained control of the market and cemented itself as the epicentre of global nickel production for years to come.

Last year, Indonesia accounted for 61% of the global refined nickel supply up from just

$GOLD Barrick Q4, 2024 results

Finally some cash generation!

Production 3.91MM Oz. Gold @ AISC $1451/oz.

Net earnings +69% to $2.14 billion,

Adjusted net earnings +51% to $2.21 billion,

Attributable EBITDA +30% to $5.19 billion for 2024 — highest in a decade. 

YOY operating cash flow +20% to $4.49 billion,

Free cash flow, +100% to $1.32 billion,

Quarterly dividend of $0.10/share maintained, bringing total annual dividend paid to shareholders to $696 million, and a further $498 million in share buybacks.

Webinar: https://event.choruscall.com/mediaframe/webcast.html?webcastid=AGDEs6Zp

Full release here:
https://www.barrick.com/English/news/news-details/2025/q4-2024-results/default.aspx

Gulf States' Attraction to Metals Continues

Gulf states are getting further involved in the metals & energy supply chain, setting up trading units for their own production and needs, and setting up funds to take stakes in mining companies and projects.

Abu Dhabi-based International Resources Holding, the mining company part of the conglomerate chaired by powerful Emirati royal Sheikh Tahnoon bin Zayed al-Nahyan, and owner of 51% of Zambia's Mopani Copper mine, has built out a 60-person trading unit to handle energy and metals. 

Minerals Development Oman, the state-owned mining company, is also in the process of hiring a top executive to lead a 25-person trading team, according to MDO's chief executive, Mattar Al Badi.

Saudi Arabia's State-owned miner

WPIC expects platinum market to remain in deficit through 2029

WPIC expects platinum market to remain in deficit through 2029f, averaging 672 koz pa from 2026 to 2029, or ~ 8% of demand.

Expect deficits in Palladium to 2027f (previously 2025f) before market surpluses emerge from 2028f.

The themes previously highlighted are persisting.

Investment demand: forecasts stable growth of ~150 koz off 2024 levels for platinum, using 10-year historic averages.

Automotive sector: slowing demand growth in light vehicle electrification is entrenched. Accordingly, WPIC expects a long tail in automotive platinum group metals (PGM) demand, with modest erosion of -1.4% CAGR for platinum and -1.0% CAGR for palladium through 2029f. Updated automotive outlook includes a deferred fuel cell electric vehicle ramp up.

Jewellery and industrial applications: platinum demand is forecast to record 1% growth p.a. in both to 2029f, while palladium's price pull-back should incentive great use in jewellery and industrial applications over the next five years.

https://platinuminvestment.com/investment-research/essentials/jan25-five-year-supply-demand-outlook-platinum-deficits-persist-palladiums-are-deeper-and-last-longer

See more on Platinum's insufferable price action here: 

Will Platinum ever regain its lustre?: https://mastermetalsblog.blogspot.com/2025/02/will-platinum-ever-regain-its-lustre.html

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bit.ly/MasterMetals

Marking to Market US Gold Reserves would inject ~$800 Billion to Treasury

Those coins in the couch are worth a lot!

FT's Gillian Tett reports, "Hedge fund contemporaries of Scott Bessent, the hedgie-turned-US Treasury secretary, are speculating about a revaluation of America's gold stocks. Currently, these are valued at just $42 an ounce in national accounts. But knowledgeable observers reckon that if these were marked at current values

Gold Miners waking up!

Nice day for the larger miners -- large cap no longer applies to these minnows... the biggest, $NEM & $AEM @ ±USD50BN each, are still worth less than what the mag 7 lose in a day... pic.twitter.com/1v3bDAVNfg

— MasterMetals (@MasterMetals) February 6, 2025

Break out spreading out among the Gold producers—even $SSRM. Can’t really say the same for $BTG… $AAUC.TO $AEM $LUG.TO $FVI.TO $FSM $EQX $MKO.V $CXB.TO $GMIN.TO $SKE.TO pic.twitter.com/M9ZMsbLdEn

— MasterMetals (@MasterMetals) February 5, 2025

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MasterMetals

@MasterMetals

Will Platinum ever regain its lustre?

Some of us remember a time when Platinum traded at a premium to Gold.

Since 2008, the premium turned to a discount—and it has never recovered…

Gold has doubled since then, while platinum is now down 30%…

Will Platinum ever shine again?

https://www.tradingview.com/x/dUiPvtmI/

______________________________

MasterMetals

@MasterMetals

Gold hits record high on safe-haven demand amid tariff threats

Spot gold was up 1.4% at $2,796.15/oz. at 11:07 AM (1603 GMT), hitting a record high at $2798.24 earlier in the session. Futures were up +2% at $2825/oz. in early trading.

Spot silver was up 2.2% at $31.48per ounce.

….

The Fed, meanwhile, held rates steady on Wednesday, in line with expectations, with Chair Jerome Powell saying there would be no rush to cut them again.

Data showed that U.S. economic growth slowed in the fourth quarter, but robust domestic demand will probably keep the Fed on a slow interest rate cut path.

https://www.tradingview.com/news/moneycontrol:9705cf8c4094b:0-gold-hits-record-high-on-safe-haven-demand-amid-tariff-threats/

Greenland for Critical Minerals Is Utter Nonsense

Rare earths are a bit of a misnomer — they are quite abundant. The problem is that rarely are they abundant in a concentration worth mining for…

Are the Greenlandic reserves of rare earths large? Not as far as we know. According to the US Geological Survey, considered an authority in the field, the island contains 1.5 million tons. That puts Greenland in the world's top 10, but well behind the US itself, as well as China, Brazil, Vietnam, India and Australia. Very likely, mining for rare earths in all of those countries would be easier and cheaper than in Greenland.

What about the geopolitical considerations? Let me put it this way: Rare earths aren't oil. Or copper; or uranium; or natural gas. In 2023, the total value of the rare earth compounds and metals the US imported was $190 million. The price of rare earth can surge by 50 times and not be more than a blip for the US economy. And at those prices, American companies would find many projects at home before Greenland. 

See the whole article on Bloomberg here: 

Trump's Folly? Greenland for Critical Minerals Is Utter Nonsense

https://www.bloomberg.com/opinion/articles/2025-01-15/trump-s-folly-greenland-for-critical-minerals-is-utter-nonsense

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bit.ly/MasterMetals