Copper is a hot commodity. It plays a crucial role in 3 secular growth areas.
1. The growth of emerging economies: drives demand for big-ticket consumer goods like autos, appliances, electronics and new homes, of which copper is a major ingredient.
2. The growth of technological advances: requires electrical wiring, microchips and semiconductors, where copper is a main component.
3. The green revolution: the growth of battery electric vehicles, green energy storage and infrastructure, of which copper is a vital element.
These are 6 copper projects you should know about
Pebble - Northern Dynasty Minerals
Located in Alaska, it is the largest undeveloped copper resource in the world. It has 6.4 billion tonnes of copper at an average grade of 0.4%, or 25.8 million tonnes of contained metal.
Quellaveco - Anglo American & Mitsubishi
Located in Peru, it is one of the world's largest undeveloped copper deposits. It contains 1.3 billion tonnes of ore with an average grade of 0.57%, or 7.5 million tonnes of contained metal.
Resolution - Rio Tinto & BHP Billiton
Located in Arizona, it is expected to be the largest copper mine in North America, producing 25% of the U.S. demand for the metal each year.
Pumpkin Hollow - Nevada Copper
Located in Nevada (the same state as Tesla’s Gigafactory) it has 23.9 million tonnes of copper reserves at 1.74% Cu equivalent, with significant expansion potential.
BKM - Aisamet Resources
Located in Indonesia, it has 20.5 million tonnes of copper resources at 0.7% Cu equivalent, with significant exploration potential. The company believes that the deposit potentially has “district scale mineralisation”.
Mankayan - Bezant Resources
Located in the Philippines, it has 36.2 million tonnes of inferred copper resources at 0.44% Cu equivalent, with significant expansion potential. A resource estimate put indicated resources at 221.6 million tonnes of copper at 0.49%.
Given an imminent copper supply crunch, a 10 million tonne deficit is anticipated by 2028. New discoveries have dwindled, and there is an impending shortage of quality copper assets. A tight copper market is good for copper prices and especially those involved in developing copper producing projects.