Xstrata Copper CEO sees strong demand, tight market
Strong global copper demand and difficulties in bringing new mines on line will keep the red metal market tight, the head of Xstrata Copper, the world’s fourth-largest copper miner, told a Chilean paper’s Monday edition.
A stabilized situation in Europe, recovery in the United States and very robust demand perspectives in key emerging countries will bolster copper consumption, CEO Charlie Sartain said. Lack of new deposits and high rates of interruptions in existing ones will ensure a tight global supply of copper, said the Xstrata executive.
“These factors should maintain the copper market tight in the short-term future,” Sartain told newspaper El Financiero.
“Emerging markets, especially China, will continue to be key drivers of copper demand.”
Xstrata, which has agreed to merge with trading giant Glencore, aims to increase its copper output by
more than 50% to 1.5-million tons a year by the end of 2014.
Sartain said in December demand was holding up despite a “slight” softening in top metals consumer China.
Three-month copper on the London Metal Exchange rose on Monday as sentiment towards risky assets picked up in the wider markets, and as investors awaited data on US home sales, though gains were capped by concern over lackluster demand growth in top consumer China.
The global market for refined copper was in a 358 000 tonnes deficit in 2011, in line with the same period of 2010, the International Copper Study Group said earlier this month.
A stabilized situation in Europe, recovery in the United States and very robust demand perspectives in key emerging countries will bolster copper consumption, CEO Charlie Sartain said. Lack of new deposits and high rates of interruptions in existing ones will ensure a tight global supply of copper, said the Xstrata executive.
“These factors should maintain the copper market tight in the short-term future,” Sartain told newspaper El Financiero.
“Emerging markets, especially China, will continue to be key drivers of copper demand.”
Xstrata, which has agreed to merge with trading giant Glencore, aims to increase its copper output by
more than 50% to 1.5-million tons a year by the end of 2014.
Sartain said in December demand was holding up despite a “slight” softening in top metals consumer China.
Three-month copper on the London Metal Exchange rose on Monday as sentiment towards risky assets picked up in the wider markets, and as investors awaited data on US home sales, though gains were capped by concern over lackluster demand growth in top consumer China.
The global market for refined copper was in a 358 000 tonnes deficit in 2011, in line with the same period of 2010, the International Copper Study Group said earlier this month.
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