The copper market is the third largest metal market after iron ore and gold - and it offers opportunities for investors.
After silver, copper is the second most conductive metal and is indispensable for power lines. The price of copper normally corresponds to global economic growth. Copper is considered a critical metal for the USA, the EU and many other countries. Significant demand for the reddish metal comes from renewable energy technologies, power grids and electric vehicles. Electric vehicles require around 2.4 times more copper than conventional vehicles. The same applies to wind and solar energy compared to the copper consumption of fossil fuels. Wind and solar energy, like electromobility, will continue to grow and fuel the demand for copper.
Incidentally, wind and solar parks are often located in remote regions, which in turn requires more grid infrastructure and therefore more copper. Many billions will have to be invested in the electricity grid by 2030 in order to achieve climate targets. According to estimates, electricity demand will increase by around 86 percent by 2050. The grid structure is outdated in many places and needs to be renewed and expanded as part of digitalization. Laying power cables underground also consumes almost twice as much copper as laying power lines above ground. Forecasts predict that the world will need more copper by 2050 than has been produced worldwide to date.
Copper mining is constantly suffering from interruptions and ore grades are declining. A good example is Codelco, the world's largest copper producer, which certainly did not voluntarily accept the lowest copper production in 25 years in 2023. Large new copper discoveries are also becoming increasingly rare.
Aurania Resources - https://www.commodity-tv.com/ondemand/companies/profil/aurania-resources-ltd/ - (in Ecuador, The Lost Cities project) and U.S. GoldMining - https://www.commodity-tv.com/ondemand/companies/profil/us-goldmining-inc/ - own copper and gold in its Whistler project in Alaska. This covers a good 217 square kilometers.
Current company information and press releases from U.S. GoldMining (- https://www.resource-capital.ch/en/companies/us-goldmining-inc/ -) and Aurania Resources (- https://www.resource-capital.ch/en/companies/aurania-resources-ltd/ -).
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 - 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/
After silver, copper is the second most conductive metal and is indispensable for power lines. The price of copper normally corresponds to global economic growth. Copper is considered a critical metal for the USA, the EU and many other countries. Significant demand for the reddish metal comes from renewable energy technologies, power grids and electric vehicles. Electric vehicles require around 2.4 times more copper than conventional vehicles. The same applies to wind and solar energy compared to the copper consumption of fossil fuels. Wind and solar energy, like electromobility, will continue to grow and fuel the demand for copper.
Incidentally, wind and solar parks are often located in remote regions, which in turn requires more grid infrastructure and therefore more copper. Many billions will have to be invested in the electricity grid by 2030 in order to achieve climate targets. According to estimates, electricity demand will increase by around 86 percent by 2050. The grid structure is outdated in many places and needs to be renewed and expanded as part of digitalization. Laying power cables underground also consumes almost twice as much copper as laying power lines above ground. Forecasts predict that the world will need more copper by 2050 than has been produced worldwide to date.
Copper mining is constantly suffering from interruptions and ore grades are declining. A good example is Codelco, the world's largest copper producer, which certainly did not voluntarily accept the lowest copper production in 25 years in 2023. Large new copper discoveries are also becoming increasingly rare.
Aurania Resources - https://www.commodity-tv.com/ondemand/companies/profil/aurania-resources-ltd/ - (in Ecuador, The Lost Cities project) and U.S. GoldMining - https://www.commodity-tv.com/ondemand/companies/profil/us-goldmining-inc/ - own copper and gold in its Whistler project in Alaska. This covers a good 217 square kilometers.
Current company information and press releases from U.S. GoldMining (- https://www.resource-capital.ch/en/companies/us-goldmining-inc/ -) and Aurania Resources (- https://www.resource-capital.ch/en/companies/aurania-resources-ltd/ -).
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 - 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/
