Insight
Copper supply: responding to a global pandemic and lower prices
*Please note that this report only includes an Excel data file if this is indicated in "What's included" below
Report summary
The collapse of the copper price and the containment measures taken for the coronavirus pandemic are posing a significant risk to global mine supply and project development. How much mine supply is at risk and where will the price find support ? In this Insight, we summarise the key announcements to date, and place these mine disruptions into global market context. We also look at the supply responses in previous downturns and place some parameters around likely price floors. The analysis includes our estimate of industry costs at current oil prices and exchange rates.
Table of contents
- Executive summary
-
Supply disruptions, directly relating to coronavirus
- What has happened so far ?
- What does this mean for global supply?
- Mine supply beyond 2020: Project delays put future supply growth at risk
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Supply-side response to price
- Fuel prices and exchange rates have reduced costs, and the price floor
Tables and charts
This report includes the following images and tables:
- Previous supply-side responses to lower prices
- Historic copper price and copper mine cost centiles, C1 plus sustaining capex (2020 $)
- Historic global mine disruptions and theoretical impact of Chile & Peru stoppages
- Base case mine supply growth, 2020-2023 (before disruptions)
- Highly probable & probable project deferrals: Q3 2008 project pipeline versus Q3 2009 project pipeline
- Copper mine supply cost curve, C1 plus sustaining capex: 2019 and 2020 (Mark-to-market)
What's included
This report contains:
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