King #Coal

Coal is Alive & Kicking

Despite all the solar panels, windmills, EV’s and government subsidies to go green, the world has never used as much coal.

Under current trends, coal demand will be higher in 2050 than it was in 2000.

#Copper for Shanghai delivery trades at discount to global benchmark as stocks in #China hit highest levels since 2020

Latest price spike, coupled with tepid consumer demand, has led manufacturers in China to pull back on buying, leading to biggest glut of copper in 4 years in Chinese warehouses. 

Stocks in Shanghai Futures Exchange warehouses have grown to their highest level

Desperately Seeking #Copper

We've known #Copper Production from existing mines has been set to fall sharply in the coming years, but it's just now we're realizing that, the "coming years" of the past, is today's present and immediate future… 😳

Miners need to spend more than

As #Gold rises to all-time highs above $2,400/oz., all eyes are on #China

China's protracted property crisis, volatile stock markets and a weakening yuan are all reasons driving money to gold, says Bloomberg:

Although China is the world's largest gold producer, it still needs to import a lot—and the quantities are only getting larger.

In the last two years, overseas purchases totaled over 2,800 tons — more than all the Gold ETF's around the world, or about a third of the stockpiles held by the US Federal Reserve— and the total amount could be even higher.

And the pace of shipments keeps accelerating. Over the first two months of the year, imports surged 53% higher than in 2023. 

And it's not only privates that are buying.

Gulf states putting their $ into #Mining

"Middle East is looking to diversify and has a war chest."

Interesting article from the FT on the new kids on the Mining block.

#Zambia's Mopani #Copper deal with #UAE's International Resources Holding IRH, part of the $240bn business empire of powerful Abu Dhabi royal Sheikh Tahnoon bin Zayed al-Nahyan, finalized at the end of March marks a new force sweeping through the global mining sector.

"Gulf nations, hungry to diversify their economies beyond fossil fuels, are redirecting petrodollars to secure copper, nickel and other minerals used in power transmission lines, electric cars and renewable power."

"Washington has welcomed the Gulf's expanding role in mining for helping to break Beijing's monopoly over processing critical minerals. The US has been actively brokering Saudi, Emirati and Qatari investment

#China stands out as largest buyer of #gold this year

Central banks have bought 800 tonnes in first nine months of the year, up 14% year-on-year, according to a report by the World Gold Council 

Central banks in emerging markets look to reduce reliance on US dollar for reserves holdings

China has stood out as the largest purchaser of gold this year as part of a 11-month buying streak. The People’s Bank of China has reported snapping up

#China lifts curbs on #Gold imports, Shanghai-London spread drops 40%

Spread between Shanghai gold price and London hit a record $121/oz. last Thursday. It had narrowed to $76 on Monday after PBOC People's Bank of China relaxed curbs on imports last week.

So far this year, China has imported

How #China cornered the market for #CleanTech-Right Under the West's Nose...

Following up on yesterday's FT article "The New Commodities Superpowers" on how #BatteryMetals producers are looking to establish their own cartel, today the FT goes deeper into how China cornered the market for the building blocks of clean technologies.  

"China today is responsible for the production of about 90% of the world’s rare earth elements, at least 80% of all the stages of making solar panels and 60% of wind turbines and electric-car batteries. In some of the materials used in batteries and more niche products, China’s market share is close to 100%."

This has led to serious geopolitical challenges in the West s they seek to transition away from fossil fuels.

#BatteryMetals producers look to establish their own cartel

As the electrification drive continues globally in the search for lower fossil fuel emissions, the producers and refiners of the metals needed for this "revolution" are finding themselves at the intersection of the world's supply chains and geopolitics.

The FT takes on the subject in this latest piece.

The new commodity superpowers

"We're not satisfied. None of these contracts create value for us," says Guy Robert Lukama, head of the DRC's state-owned mining company Gécamines. He would like to see more jobs, revenue and higher-value mineral activities captured by the DRC.

Lukama also advocates government intervention to keep cobalt prices high: "Excess of supply needs to be organised properly. Some export quotas will be useful," he says.